DMC Global, Inc. (NASDAQ: BOOM)

This investigation is for anyone who acquired securities in DMC Global, Inc. (NASDAQ: BOOM) prior to October 22, 2024.

The Law Offices of Howard G. Smith believes that the Company and certain of its executives violated federal law. Specifically, the Law Offices of Howard G. Smith believes that the Company misled investors regarding its financial condition. More specifically, the Law Offices of Howard G. Smith believes that the Company misled investors by overstating non-cash goodwill of the Company’s 2021 Arcadia acquisition.

On October 21, 2024, DMC disclosed that it was “revising its guidance” for the quarter ended September 30, 2024, stating that the Company’s adjusted EBITDA is now expected to be approximately $5 million, down from prior guidance for $15-18 million, and that the third quarter financial results “will include inventory and bad debt charges at DynaEnergetics totaling approximately $5 million, as well as lower fixed overhead absorption on reduced sales at both Arcadia and DynaEnergetics.” Further, the Company revealed that the financial results will include an approximate $142 million non-cash goodwill impairment charge “associated with DMC’s December 2021 acquisition of a controlling interest in Arcadia.” 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 DMC Global, Inc. (NASDAQ: BOOM) prior to October 22, 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.