Zamansky & Associates Continued Investigation of Coinstar, Inc. (CSTR)
Zamansky & Associates (“Zamansky”) is continuing its investigation into Coinstar, Inc. (”Coinstar” or the “Company”) (NASDAQ: CSTR) to determine whether the Company violated federal securities laws by making false and misleading statements regarding its financial condition and prospects.
On January 13, 2011, after the market closed, Coinstar reported results for the fourth quarter and full year 2010 and dramatically lowered its guidance. Shares of the Company fell from a close of $56.95 per share on Jan. 13, 2011 to a close of $41.50 per share on Jan. 14, 2011.
On February 3, 2011, after the market closed, Coinstar reported that its forecast for first-quarter profit missed analysts’ estimates, causing the stock to drop after-hours. Specifically, the Company announced that it bought too many under-performing DVDs in the fourth quarter, and was now trying to gauge demand. In reaction, shares of Coinstar fell from a close of $44.24 per share on February 3, 2011 to an opening price of $39.98 per share on February 4, 2011 – an overnight drop of over 10%.
What You May Do
If you have information that would assist Zamansky in its investigation or would like to discuss your legal rights, you may, without obligation or cost to you, e-mail jake@zamansky.com or call (212) 742-1414. Zamansky also encourages anyone with information regarding Coinstar’s conduct during the period from October 28, 2010 and February 3, 2011, to contact the Firm, including whistleblowers, former employees, shareholders, and others.
About Zamansky & Associates
Zamansky & Associates is one of the leading law firms specializing in securities fraud and financial services arbitration and litigation. We represent both individual and institutional investors. Our practice is nationally recognized for our unrivaled ability to aggressively prosecute cases and recover losses.
To learn more about Zamansky, please visit our website, www.zamansky.com.
Jacob H. Zamansky
Zamansky & Associates, LLC
50 Broadway, 32nd Floor
New York, New York 10004
(212) 742-1414
jake@zamansky.com