PlayAGS designs and supplies electronic gaming machines. On August 7, 2019, PlayAGS reported a net loss of $7.6 million for the second quarter of 2019, including two different impairment charges of $3.5million to goodwill and $1.3 million to intangible assets. On this news, the stock price fell approximately 52% in one day, from an August 7, 2019 close of $17.30 per share to an August 8, 2019 close of $8.99 per share.
The lawsuit, filed in the U.S. District Court for the District of Nevada, alleges that PlayAGS failed to disclose to investors that it was experiencing challenges in its businesses both in Oklahoma and in its Interactive business segment, that the Company’s recurring revenue would be negatively impacted, and that PlayAGS was likely to record a goodwill impairment charge.
Investors who have lost money on their PlayAGS shares may be able to recover some of those losses, and should contact us using the form below.