Why LifeLock (LOCK) Stock Is Plunging Today

NEW YORK (TheStreet) -- LifeLock  (LOCK) plunged Monday after the identity theft protection company pulled its popular Wallet app from app stores and deleted all user data amid security concerns.

"We have determined that certain aspects of the mobile app may not be fully compliant with payment card industry (PCI) security standards," says LifeLock CEO and Chairman Todd Davis in a blog post."For that reason, we are removing the LifeLock Wallet application from the App Store, Amazon Apps, and Google Play, and when users open the LifeLock Wallet, their information will be deleted in the app."

Davis added the company had no evidence that user information had been compromised but felt deleting all current user data was "the right thing to do."

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The company had a conference call scheduled for 8:30 a.m. ET to address the status of its mobile business.

The stock was down 16.72% to $10.81 at 11:44 a.m.

Separately, TheStreet Ratings team rates LIFELOCK INC as a "sell" with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:

"We rate LIFELOCK INC (LOCK) a SELL. This is driven by a number of negative factors, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its unimpressive growth in net income and feeble growth in its earnings per share."

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