Investors can contact the law firm at no cost to learn more about recovering their losses
LOS ANGELES, Feb. 29, 2024 (GLOBE NEWSWIRE) -- The Portnoy Law Firm advises Dick's Sporting Goods, Inc. (NYSE: DKS) investors that a lawsuit was filed on behalf of investors that purchased Dick's Sporting Goods securities between May 25, 2022 and August 21, 2023, inclusive (the “Class Period”).
Investors are encouraged to contact attorney Lesley F. Portnoy, by phone 310-692-8883 or email: lesley@portnoylaw.com, to discuss their legal rights, or click here to join the case via www.portnoylaw.com. The Portnoy Law Firm can provide a complimentary case evaluation and discuss investors’ options for pursuing claims to recover their losses.
The lawsuit alleges that the defendants provided misleading information about Dick's Sporting Goods' inventory levels, profit margins, and future business prospects. In particular, it is claimed that the defendants did not reveal that: (a) the demand for products within Dick’s Outdoor segment was decreasing more rapidly than they had indicated, leading to an accumulation of unsold inventory; (b) the “structural changes” praised by the defendants, such as unique product offerings, enhanced pricing technology, and more efficient clearance strategies, were insufficient in managing the surplus inventory without adversely affecting the company’s profitability; and (c) the necessity to sell off the excess inventory, especially from the Outdoor segment, would significantly harm the company’s profit margins.
On August 22, 2023, Dick's Sporting Goods reported unsatisfactory financial results for the second quarter of the fiscal year 2023, citing major losses in margins and profitability due to the need to discount excessive Outdoor inventory. This disclosure led to a 24% drop in the price of Dick's common stock, which closed at $111.53 per share.
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The Portnoy Law Firm represents investors in pursuing claims caused by corporate wrongdoing. The Firm’s founding partner has recovered over $5.5 billion for aggrieved investors. Attorney advertising. Prior results do not guarantee similar outcomes.
Lesley F. Portnoy, Esq.
Admitted CA and NY Bar
lesley@portnoylaw.com
310-692-8883
www.portnoylaw.com
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