In January, Apple shares fell 10% a day after issuing a revenue warning. The tech giant blamed poor iPhone sales, particularly in China, which has been embroiled in a trade dispute with the US.
Investors who bought shares in Apple two months before the warning have filed a lawsuit against the firm on allegations of securities fraud.
The investors claim Apple knew the extent of the decline in iPhone sales well before it downgraded its revenue forecasts on January 2.
Chief executive Tim Cook and chief financial officer Luca Maestri have been named as defendants in the lawsuit, which was filed in California by the City of Roseville Employees’ Retirement System.