Important Notice to Long-Term Shareholders of Badger Meter, Inc. (NYSE: BMI); Commvault Systems, Inc. (NASDAQ: CVLT); New Era Energy & Digital, Inc. (NASDAQ: NUAI); and Power Solutions International, Inc. (NASDAQ: PSIX): Grabar Law Office is Investigating Claims on Your Behalf

Legal scrutiny clouds all four companies; no hard numbers, just allegations and risk.

What the company is saying

The companies named—Badger Meter (NYSE:BMI), Commvault Systems (NASDAQ:CVLT), New Era Energy & Digital (NASDAQ:NUAI), and Power Solutions International (NASDAQ:PSIX)—are not directly making statements in this announcement; rather, the narrative is constructed by Grabar Law Office and the content of class action complaints. The core message is that these companies, through certain officers and directors, are accused of misleading investors by overstating business strength, underreporting risks, or failing to disclose material information. For Badger Meter, the complaint alleges management attributed strong results to robust demand and industry trends, while allegedly masking weakening fundamentals by accelerating customer orders. Commvault is accused of providing misleading guidance on annual recurring revenue (ARR) growth for fiscal 2026, allegedly omitting key variables in their projections. New Era Energy & Digital is alleged to have overstated progress on its Texas data center project and engaged in questionable related-party transactions, with the New Mexico Attorney General filing suit against the company and its CEO, Everett Willard Gray II, for a purported fraudulent oil-and-gas scheme. Power Solutions International is accused of overstating its ability to capture data center market demand and understating the costs and inefficiencies of manufacturing enhancements. The announcement emphasizes the existence of legal investigations and lawsuits, the nature of the alleged misstatements, and the periods during which shareholders may have been affected. It buries or omits any company responses, actual financial results, or operational data that might contextualize or rebut the allegations. The tone is strictly legalistic and negative, projecting a sense of urgency and seriousness but offering no direct company defense or counter-narrative. Notable individuals include Joshua Grabar (presumably of Grabar Law Office) and Everett Willard Gray II (CEO of NUAI), with Gray’s involvement significant due to his direct naming in a state-level fraud suit. The narrative fits a broader investor relations strategy of legal firms seeking to aggregate shareholder claims, not of the companies themselves. There is no evidence of a shift in messaging from the companies, as their voices are absent from this announcement.

What the data suggests

The disclosed data is almost entirely qualitative and legal in nature, with no concrete financial figures, operational metrics, or period-over-period comparisons provided for any of the four companies. The only numerical references are to shareholding periods (e.g., 'Badger Meter stock between April 18, 2024 and April 16, 2026') and the date of the New Mexico Attorney General’s lawsuit against New Era (December 29, 2025). There are no revenue, margin, earnings, ARR, or sales figures disclosed, nor any quantification of the alleged order pull-forwards, cost understatements, or project progress. As a result, the financial trajectory of each company is impossible to assess from this announcement alone. The gap between the legal claims and the evidence is wide: while the complaints allege slowing growth, declining margins, and missed projections, there is no supporting data to validate or refute these assertions. There is also no indication of whether prior guidance was met or missed, nor any context for how severe the alleged shortfalls might be. The quality of disclosure is poor from an investor’s perspective—key metrics are missing, and the announcement is not designed to inform on financial health but to notify of legal action. An independent analyst, relying solely on this data, would conclude that the companies face material legal risk but could not make any judgment about their underlying business performance or financial direction.

Analysis

The announcement is a legal notice summarizing ongoing investigations and recently filed class action complaints against four companies. The tone is negative, focusing on alleged misstatements and failures to disclose, but the language is factual and does not attempt to inflate positive sentiment or future prospects. Most claims are allegations or summaries of complaints, not forward-looking projections or promotional statements. There is no evidence of narrative inflation or overstatement; the text does not tout future benefits or attempt to reframe negative developments as positive. While some forward-looking claims are referenced (e.g., projected ARR growth, expected costs), these are cited as the subject of the complaints, not as company-promoted aspirations. The announcement references capital-intensive projects (e.g., data center campus, manufacturing enhancements), but does not pair these with exaggerated claims of imminent benefit. The gap between narrative and evidence is minimal, as the text is strictly legal and procedural.

Risk flags

• ●Operational risk is high for all four companies due to the nature of the allegations—claims of overstated demand, underreported costs, and misleading project progress suggest potential weaknesses in internal controls and governance. If substantiated, these issues could impair ongoing operations and erode customer and partner trust.
• ●Financial disclosure risk is acute: none of the companies have provided actual financial data or operational metrics in response to the allegations, making it impossible for investors to independently verify or contextualize the claims. This lack of transparency increases the risk of negative surprises in future reporting periods.
• ●Legal risk is front and center, with active investigations and class action lawsuits underway for each company. The involvement of the New Mexico Attorney General in the New Era case, and the direct naming of CEO Everett Willard Gray II, elevates the seriousness and potential consequences of the proceedings.
• ●Forward-looking risk is substantial, as a significant portion of the claims relate to projections, guidance, or future project milestones (e.g., ARR growth for CVLT, data center progress for NUAI, manufacturing enhancements for PSIX). These claims are inherently uncertain and, in this context, are specifically alleged to be misleading or unsupported.
• ●Capital intensity risk is flagged for New Era and Power Solutions, both of which are alleged to be pursuing large-scale, capital-intensive projects (data centers, manufacturing upgrades) without clear evidence of demand or cost control. If these projects underperform or overrun budgets, shareholder value could be severely impaired.
• ●Pattern-based risk is evident in the repeated theme of management allegedly overstating strengths and underreporting risks across multiple companies and sectors. This suggests a broader issue of aggressive or overly optimistic disclosure practices, which could signal systemic governance weaknesses.
• ●Timeline/execution risk is high: even if the legal actions ultimately result in reforms or recoveries, the process will be lengthy and uncertain, with no guarantee of material benefit to current shareholders. Investors exposed to these names should be prepared for extended periods of volatility and headline risk.
• ●Geographic and regulatory risk is present in the New Era case, with legal action initiated by the New Mexico Attorney General and references to projects in Texas and Mexico. Cross-jurisdictional legal and environmental liabilities could complicate resolution and increase potential costs.

Bottom line

For investors, this announcement signals that all four companies—Badger Meter, Commvault, New Era Energy & Digital, and Power Solutions International—are under serious legal scrutiny for alleged misstatements, governance failures, or misleading disclosures. The credibility of the narrative is difficult to assess, as the announcement provides no hard financial data, operational metrics, or company responses—only the existence of investigations and the content of legal complaints. The direct involvement of a named CEO (Everett Willard Gray II) in a state-level fraud suit is a red flag, but does not guarantee any particular outcome or recovery for shareholders. To change this assessment, the companies would need to disclose detailed, period-specific financial results, address the allegations directly, and provide evidence of internal reforms or third-party validation of their disclosures. Investors should watch for upcoming quarterly reports, regulatory filings, and any company statements responding to the lawsuits, as well as the progress of the legal proceedings themselves. At present, the information is a clear risk signal rather than an actionable investment opportunity; it is best used as a prompt for heightened due diligence and portfolio risk review, not as a buy or sell trigger. The single most important takeaway is that, in the absence of hard numbers or company-side transparency, legal risk and uncertainty now dominate the investment case for all four companies.

Announcement summary

(NYSE: BMI) Badger Meter, Inc. is the subject of an investigation by Grabar Law Office regarding whether certain officers and directors breached fiduciary duties owed to the company. The investigation follows a federal securities class action alleging that Badger Meter's reported results were materially impacted by the acceleration or pull-forward of customer orders, which allegedly masked weakening demand trends and depleted future-period revenue opportunities. The complaint claims that the truth emerged through a series of disappointing quarterly announcements during 2025 and 2026, including reports of slowing revenue growth, declining margins, lower utility water sales, weaker municipal customer ordering activity, and reduced earnings performance. (NASDAQ: CVLT) Commvault Systems, Inc. is also under investigation for allegedly making materially false and misleading statements and/or failing to disclose material information pertaining to Commvault’s projected ARR growth for fiscal year 2026. The complaint alleges that Commvault’s ARR growth guidance failed to properly factor in crucial variables, such as the type of sale. (NASDAQ: NUAI) New Era Energy & Digital, Inc. is being investigated for allegedly making false and misleading statements concerning its Texas Critical Data Centers project, permitting progress, environmental liabilities, and related-party oil and gas transactions, with a lawsuit filed by the New Mexico Attorney General on December 29, 2025. (NASDAQ: PSIX) Power Solutions International, Inc. is under investigation for allegedly overstating its ability to capture sales demand for its power systems solutions, particularly within the data center market, and understating the impact and expected costs of enhancements to manufacturing capacity. The companies project or claim that shareholders who purchased shares within specified periods may seek corporate reforms, the return of funds back to the company, and a court approved incentive award at no cost.

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