NEW YORK, Nov. 07, 2022 (GLOBE NEWSWIRE) — Pomerantz LLP is investigating claims on behalf of investors of Olaplex Holdings, Inc. (“Olaplex” or the “Company”) (NASDAQ: OLPX). Those investors are advised to contact Robert S. Willoughby at [email protected] or 888-476-6529, extension 7980.

The investigation concerns whether Olaplex and certain of its officers and/or directors have engaged in securities fraud or other illegal business practices.

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On or about September 29, 2021, Olaplex began its initial public offering (“IPO”), selling 73.7 million shares at $21.00 per share. Then, on September 29, 2022, a Piper Sandler analyst downgraded Olaplex from Overweight to Neutral, stating her work had found that “competition and misinformation pose growing risks to the company.”

As a result of this news, Olaplex’s stock price fell $1.33 per share, or 12.15%, to close at $9.62 per share on September 29, 2022.

Then, on October 18, 2022, Olaplex issued a press release stating “the company revised its guidance for fiscal 2022.” Olaplex said it now expects fiscal 2022 revenue to be between $704 million and $711 million, well below its previous guidance range of $796 million to $826 million. Olaplex stated that “[t]The company’s updated guidance primarily reflects a slowing in sales momentum, which it attributes to macroeconomic pressures, increased competitive activity, including price discounting, and a moderation in new customer acquisition, as well as a rebalancing of inventories at certain customers that the company believes are they are responding to the same macroeconomic pressures.”

As a result of this news, Olaplex’s stock price fell $5.55 per share, or 56.69%, to close at $4.24 per share on October 19, 2022.

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