Feb. 25, 2013 (Shareholders Foundation) -- An investigation on behalf of investors of Cyberonics, Inc. (NASDAQ:CYBX) shares over potential securities laws violations by Cyberonics, Inc. and certain of its directors and officers in connection certain financial statements was announced.

The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of Cyberonics, Inc. (NASDAQ:CYBX) concerning whether a series of statements by Cyberonics, Inc. regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

Cyberonics, Inc. (NASDAQ:CYBX) reported that its Total Revenue rose from $167.78 million for the 53 weeks period that ended on April 30, 2009, to $218.50 million for the 52 weeks period that ended on April 27, 2012. However its Net Income for those time periods declined from $78.45 million to $36.08 million.
On Nov. 16, 2012, Cyberonics, Inc. reported its Fiscal 2013 Second Quarter Results. Among other things, Cyberonics also increased its guidance for its fiscal 2013 year.

Shares of Cyberonics, Inc. (NASDAQ:CYBX) grew from as low as $12.48 per share in May 2009 to as high as $55.42 per share in early January 2013.

Then shares of Cyberonics, Inc. (NASDAQ:CYBX) sharply declined from as high as over $55 per share in early January to as low as $42.56 per share in late January 2013.

On February 3, 2013, Cyberonics, Inc. announced that the lawsuit filed by former employee Andrew Hagertyin federal district court in Massachusetts was voluntarily dismissed without prejudice by Mr. Hagerty on February 1, 2013. Cyberonics, Inc said that it asserted that, under the terms of his employment, Mr. Hagerty's claims are subject to binding arbitration. The company said that Mr. Hagerty has the right to re-file the lawsuit or to pursue a resolution through binding arbitration.

On Feb. 25, 2013, NASDAQ:CYBX shares closed at $46.20 per share.