Dada Nexus Limited (NASDAQ: DADA)

This lawsuit is for anyone who acquired securities in Dada Nexus Limited (NASDAQ: DADA) securities from May 11, 2023 through January 8, 2024.

The lawsuit alleges that the Company and certain of its executives violated federal law. Specifically, the lawsuit alleges that, throughout the time period mentioned above, the Company misled investors regarding its financial condition. More specifically, the lawsuit alleges that the Company misled investors by materially overstating revenues from online advertising, marketing services, and operations.

On January 8, 2024, Dada disclosed that an internal audit had identified “certain suspicious practices” that “may cast doubt on certain revenues from the Company’s online advertising and marketing services in 2023.” The Company estimated that “approximately RMB500 million of revenues from online advertising and marketing services and RMB500 million of operations and support costs may have been overstated, respectively, for the first three quarters of 2023.” Additionally, the Company advised that its previously stated revenue guidance for the fourth quarter and full year of 2023 should “no longer be relied upon.” On this news, the price of the Company’s stock dropped precipitously on unusually heavy trading volume.

The Law Offices of Howard G. Smith seeks to recover damages on behalf of class members. If you acquired securities in Dada Nexus Limited (NASDAQ: DADA) securities from May 11, 2023 through January 8, 2024 you may join the lawsuit by submitting your information online, or you may call the Law Offices of Howard G. Smith and speak to Mr. Smith directly to learn how he can protect your rights.