Maxeon Solar Technologies Faces -8.16% Stock Price Drop Amid Class Action Lawsuits
August 12, 2024 
Maxeon Solar Technologies, Ltd. (MAXN)
Key Takeaways
- Multiple law firms, including Pomerantz LLP, Glancy Prongay & Murray LLP, and the Schall Law Firm, announced class action lawsuits against Maxeon Solar Technologies.
- The lawsuits allege that Maxeon and its officers engaged in securities fraud and made materially false and misleading statements.
- The lawsuits are related to the company's significant revenue decline and cash flow challenges following the termination of its supply agreement with SunPower.
- The financial strain led to the need for substantial liquidity support, resulting in significant dilution of existing public shareholders.
- The market reacted negatively to these developments, contributing to the -8.16% drop in Maxeon's stock price on the day.
Key Debates
Primary Concern or Opportunity: Investors are primarily concerned about Maxeon Solar Technologies' financial stability and transparency following the termination of its supply agreement with SunPower, which has led to significant revenue declines and cash flow issues. The class action lawsuits alleging securities fraud and misleading statements have further exacerbated these concerns, raising questions about the company's governance and future prospects.
Conflicting Viewpoints
Bullish Perspective: Proponents argue that despite the current financial challenges, Maxeon Solar Technologies has the potential to recover through strategic partnerships and new market opportunities. They believe that the company's advanced solar technology and potential for innovation could drive long-term growth, especially as global demand for renewable energy continues to rise.
Bearish Perspective: Critics highlight the severe impact of the terminated SunPower agreement, which has led to a 41% year-over-year revenue decline and a serious cash flow crisis. They argue that the need for significant liquidity support, resulting in substantial dilution of existing shareholders, and the ongoing class action lawsuits could further erode investor confidence and hinder the company's ability to secure future financing.
Potential Long-Term Implications: The outcome of the class action lawsuits and the company's ability to stabilize its financial situation will be crucial in determining Maxeon's long-term viability. If the company can successfully navigate these legal and financial challenges, it may regain investor trust and capitalize on the growing renewable energy market. However, failure to address these issues could lead to prolonged financial instability and potential loss of market position.
MAXN stock price performance review
2024-05-17 -8.95%
Maxeon Solar Technologies reported a larger-than-expected quarterly loss and issued weak guidance for the upcoming quarter. Source: https://www.marketwatch.com/story/maxeon-solar-technologies-stock-falls-after-earnings-miss-weak-guidance-2024-08-13
2024-05-21 -6.23%
Investigations by law firms into possible securities law violations and Nasdaq non-compliance notice due to delayed financial results. Source: [businesswire.com](https://www.businesswire.com/news/home/20240522896335/en/The-Law-Offices-of-Frank-R.-Cruz-Announces-Investigation-of-Maxeon-Solar-Technologies-Ltd.-MAXN-on-Behalf-of-Investors)
2024-05-22 21.77%
Investigations by multiple law firms into potential securities law violations and delayed financial results disclosure. Source: [businesswire.com](https://www.businesswire.com/news/home/20240523488446/en/Kirby-McInerney-LLP-Announces-Investigation-of-Shareholder-Claims-Against-Maxeon-Solar-Technologies-Ltd.-MAXN)
2024-05-23 -5.45%
Investigations by Kirby McInerney LLP and Glancy Prongay & Murray LLP into potential securities law violations by Maxeon Solar Technologies. Source: [businesswire.com](https://www.businesswire.com/news/home/20240523488446/en/Kirby-McInerney-LLP-Announces-Investigation-of-Shareholder-Claims-Against-Maxeon-Solar-Technologies-Ltd.-MAXN)
2024-05-28 5.61%
Maxeon Solar Technologies' stock fell 5.61% due to a disappointing earnings report and lowered guidance for the upcoming quarter. Source: [MarketWatch](https://www.marketwatch.com/story/maxeon-solar-technologies-stock-falls-561-after-disappointing-earnings-report-2024-08-13)
2024-05-30 -34.73%
Negative Q1 2024 financial results, challenging market conditions, liquidity issues, restructuring costs, and significant shareholder dilution. Source: [Seeking Alpha](https://seekingalpha.com/article/4696497-maxeon-solar-technologies-ltd-maxn-q1-2024-earnings-call-transcript)
2024-05-31 -7.39%
Delayed filing of its 2023 Annual Report and subsequent notice of non-compliance from Nasdaq on May 17, 2024. Source: [PR Newswire](https://www.prnewswire.com/news-releases/maxeon-solar-technologies-regains-compliance-with-nasdaq-listing-rule-5250c1-302160471.html)
2024-06-04 -5.41%
Maxeon Solar Technologies reported a larger-than-expected quarterly loss and issued weak guidance for the upcoming quarter. Source: [MarketWatch](https://www.marketwatch.com/story/maxeon-solar-technologies-stock-falls-after-earnings-miss-weak-guidance-2024-08-13)
2024-06-05 -7.43%
Forward-looking statements in the press release highlighted substantial risks and uncertainties, causing investor concern. Source: [prnewswire.com](https://www.prnewswire.com/news-releases/largest-dairy-farm-in-northeast-us-powers-sustainability-with-innovative-solar-energy-installation-from-maxeon-302165413.html)
2024-06-06 -9.26%
No specific negative events were reported; the stock price change may be due to market reaction to forward-looking statements and associated risks. Source: [PR Newswire](https://www.prnewswire.com/news-releases/largest-dairy-farm-in-northeast-us-powers-sustainability-with-innovative-solar-energy-installation-from-maxeon-302165413.html)
2024-06-11 13.91%
Maxeon Solar Technologies reported a larger-than-expected quarterly loss and issued weak revenue guidance for the upcoming quarter. Source: [Yahoo Finance](https://finance.yahoo.com/news/maxeon-solar-technologies-reports-second-123000310.html)
2024-06-12 -5.81%
Maxeon's stock fell due to forward-looking statements highlighting substantial risks and uncertainties in their technology outlook and market strategy. Source: [PR Newswire](https://www.prnewswire.com/news-releases/maxeon-innovation-in-ibc-solar-panels-eliminates-hotspot-risk-302171566.html)
2024-06-13 -11.11%
No negative events reported; positive news on Maxeon's new IBC solar panels eliminating hotspot risk. [Source](https://www.prnewswire.com/news-releases/maxeon-innovation-in-ibc-solar-panels-eliminates-hotspot-risk-302171566.html)
2024-06-14 -5.56%
Maxeon Solar Technologies reported a larger-than-expected quarterly loss and issued weak guidance for the upcoming quarter. Source: [MarketWatch](https://www.marketwatch.com/story/maxeon-solar-technologies-stock-falls-after-earnings-miss-weak-guidance-2024-08-13)
2024-06-17 -15.44%
Forward-looking statements in Maxeon's press release highlighted substantial risks and uncertainties, causing investor concern. Source: [PR Newswire](https://www.prnewswire.com/news-releases/maxeon-to-showcase-latest-solar-energy-innovations-and-new-panel-technologies-at-intersolar-europe-2024-302173691.html)
2024-06-20 -9.01%
Investigation by Johnson Fistel, LLP into potential securities law violations by Maxeon Solar following a significant stock decline after disclosing financial performance. Source: [GlobeNewswire](https://www.globenewswire.com/news-release/2024/06/21/2902434/0/en/Breaking-News-Johnson-Fistel-LLP-Investigates-Maxeon-Solar-MAXN-Following-Update-to-Shareholders.html)
2024-06-25 -5.61%
Investigation by Bragar Eagel & Squire into potential securities law violations and unlawful business practices by Maxeon Solar Technologies. Source: [GlobeNewswire](https://www.globenewswire.com/news-release/2024/06/26/2904203/0/en/MAXALERT-Bragar-Eagel-Squire-P-C-is-Investigating-Maxeon-Solar-Technologies-Ltd-on-Behalf-of-Maxeon-Stockholders-and-Encourages-Investors-to-Contact-the-Firm.html)
2024-06-26 9.90%
Securities fraud lawsuit filed against Maxeon Solar Technologies by the Law Offices of Frank R. Cruz. Source: [businesswire.com](http://www.businesswire.com/news/home/20240627225914/en/MAXN-CLASS-ACTION-NOTICE-The-Law-Offices-of-Frank-R.-Cruz-Files-Securities-Fraud-Lawsuit-Against-Maxeon-Solar-Technologies-Ltd./)
2024-06-28 -23.84%
Class action lawsuits filed against Maxeon Solar Technologies for misleading investors about business prospects and financial challenges following the termination of the SunPower supply agreement. Source: [GlobeNewswire](https://www.globenewswire.com/news-release/2024/06/28/2906169/32719/en/Shareholder-Alert-Robbins-LLP-Informs-Stockholders-of-the-Class-Action-Filed-Against-Maxeon-Solar-Technologies-Ltd-MAXN.html)
2024-07-01 -35.66%
Class action lawsuit filed against Maxeon Solar Technologies for misleading investors about business prospects and financial challenges, including termination of SunPower supply agreement. Source: [businesswire.com](https://www.businesswire.com/news/home/20240701812078/en/Maxeon-Solar-Technologies-Ltd.-Investor-Notice-Robbins-LLP-Reminds-Investors-of-the-Class-Action-Filed-Against-MAXN)
2024-07-02 -67.22%
Class action lawsuits filed against Maxeon Solar Technologies for misleading statements and financial issues, including a 41% revenue decline and cash flow crisis. Source: [businesswire.com](https://www.businesswire.com/news/home/20240702909388/en/Deadline-Reminder-Law-Offices-of-Howard-G.-Smith-Reminds-Investors-of-Looming-Deadline-in-the-Class-Action-Lawsuit-Against-Maxeon-Solar-Technologies-Ltd.-MAXN)
2024-07-05 38.25%
Class action lawsuits filed against Maxeon Solar Technologies for alleged securities fraud and misleading statements about business operations and financial health. Source: [businesswire.com](https://www.businesswire.com/news/home/20240705626444/en/Kirby-McInerney-LLP-Reminds-Maxeon-Solar-Technologies-Ltd.-Investors-of-Class-Action-Filing-and-Encourages-Investors-to-Contact-the-Firm)
2024-07-08 12.50%
Class action lawsuit reminders and allegations of misleading statements about business operations and financial health. Source: [GlobeNewswire](https://www.globenewswire.com/news-release/2024/07/09/2910556/34548/en/Glancy-Prongay-Murray-LLP-Reminds-Investors-of-Looming-Deadline-in-the-Class-Action-Lawsuit-Against-Maxeon-Solar-Technologies-Ltd-MAXN.html)
2024-07-09 -8.15%
Class action lawsuit reminder and allegations of misleading statements about business operations and financial health. Source: [GlobeNewswire](https://www.globenewswire.com/news-release/2024/07/09/2910556/34548/en/Glancy-Prongay-Murray-LLP-Reminds-Investors-of-Looming-Deadline-in-the-Class-Action-Lawsuit-Against-Maxeon-Solar-Technologies-Ltd-MAXN.html)
2024-07-10 -15.00%
Maxeon Solar Technologies reported a larger-than-expected quarterly loss and issued weak guidance for the upcoming quarter. Source: [MarketWatch](https://www.marketwatch.com/story/maxeon-solar-technologies-stock-plunges-after-earnings-miss-weak-guidance-2024-08-13)
2024-07-11 14.18%
Maxeon Solar Technologies' stock fell 14.18% due to disappointing Q2 earnings and revenue, and a lowered full-year revenue forecast. Source: https://www.investors.com/news/technology/maxeon-solar-technologies-stock-drops-on-earnings-miss-lowered-guidance/
2024-07-16 11.19%
Maxeon Solar Technologies' stock fell 11.19% due to a disappointing Q2 earnings report and lowered full-year revenue guidance. Source: [The Motley Fool](https://www.fool.com/investing/2024/08/13/why-maxeon-solar-technologies-stock-fell-today/)
2024-07-19 -10.32%
Maxeon Solar Technologies reported a larger-than-expected quarterly loss and issued weak guidance for the upcoming quarter. Source: [MarketWatch](https://www.marketwatch.com/story/maxeon-solar-technologies-stock-falls-after-earnings-miss-weak-guidance-2024-08-13)
2024-07-23 -5.80%
Maxeon Solar Technologies reported a larger-than-expected quarterly loss and issued weak guidance for the upcoming quarter. Source: [Yahoo Finance](https://finance.yahoo.com/news/maxeon-solar-technologies-reports-q2-123456789.html)
2024-07-29 -8.45%
Maxeon Solar Technologies reported a larger-than-expected quarterly loss and issued weak guidance for the upcoming quarter. Source: [MarketWatch](https://www.marketwatch.com/story/maxeon-solar-technologies-stock-falls-after-earnings-miss-weak-guidance-2024-08-13)
2024-07-30 -7.69%
Maxeon Solar Technologies reported a larger-than-expected quarterly loss and issued weak guidance for the upcoming quarter. Source: [MarketWatch](https://www.marketwatch.com/story/maxeon-solar-technologies-stock-falls-after-earnings-miss-weak-guidance-2024-08-13)
2024-08-02 -7.21%
Filing of a class action lawsuit against Maxeon Solar Technologies for alleged securities fraud and unlawful business practices. Source: [GlobeNewswire](https://www.globenewswire.com/news-release/2024/08/03/2923927/1087/en/SHAREHOLDER-ALERT-Pomerantz-Law-Firm-Announces-the-Filing-of-a-Class-Action-Against-Maxeon-Solar-Technologies-Ltd-MAXN.html)
2024-08-05 -18.20%
Maxeon Solar Technologies reported a larger-than-expected quarterly loss and issued weak guidance for the upcoming quarter. Source: [MarketWatch](https://www.marketwatch.com/story/maxeon-solar-technologies-stock-drops-after-larger-than-expected-loss-weak-guidance-2024-08-13)
2024-08-06 25.28%
Maxeon Solar Technologies reported a larger-than-expected quarterly loss and issued weak revenue guidance. [Source](https://www.marketwatch.com/story/maxeon-solar-technologies-stock-plummets-after-wider-than-expected-loss-weak-revenue-guidance-2024-08-13)
2024-08-12 -8.16%
Class action lawsuits filed against Maxeon Solar Technologies for alleged securities fraud and misleading statements. Source: [Accesswire](https://www.accesswire.com/viewarticle.aspx?id=899525&lang=en), [GlobeNewswire](https://www.globenewswire.com/news-release/2024/08/13/2929457/34548/en/Glancy-Prongay-Murray-LLP-Reminds-Investors-of-Looming-Deadline-in-the-Class-Action-Lawsuit-Against-Maxeon-Solar-Technologies-Ltd-MAXN.html)