SAN DIEGO, April 03, 2024 (GLOBE NEWSWIRE) -- Robbins LLP reminds investors that a shareholder filed a class action on behalf of purchasers of Dick's Sporting Goods, Inc. (NYSE: NYSE:DKS) common stock between May 25, 2022 and August 21, 2023. Dick's is a leading sporting goods retailer that sells sports equipment, apparel, footwear, and accessories to retail consumers throughout the United States.
For more information, submit a form, email attorney Aaron Dumas, Jr., or give us a call at (800) 350-6003.
The Allegations: According to the complaint, defendants misrepresented Dick's inventory, margins, and prospects. Specifically, defendants failed to disclose that: (a) demand for products in Dick's Outdoor segment was slowing faster than defendants represented, resulting in excess inventory; (b) the structural changes that defendants repeatedly touted, including differentiated products, improved pricing technology, and more efficient clearance channels, did not allow the Company to manage its excess inventory without hurting the Company's profitability; and (c) the need to liquidate excess inventory, including in the Outdoor segment, would have a materially negative effect on the Company's profitability.
On August 22, 2023, Dick's announced disappointing results for the second quarter of fiscal 2023 and attributed significantly reduced margins and profitability primarily to promotional sales of excess Outdoor inventory. Following this announcement, the price of Dick's common stock declined 24% to close at $111.53 per share.
What Now: You may be eligible to participate in the class action against Dick's Sporting Goods, Inc. Shareholders who want to serve as lead plaintiff for the class must file their papers with the court by April 22, 2024. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. You do not have to participate in the case to be eligible for a recovery. If you choose to take no action, you can remain an absent class member. For more information, click here.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.
About Robbins LLP: Some law firms issuing releases about this matter do not actually litigate securities class actions; Robbins LLP does. A recognized leader in shareholder rights litigation, the attorneys and staff of Robbins LLP have been dedicated to helping shareholders recover losses, improve corporate governance structures, and hold company executives accountable for their wrongdoing since 2002. Since our inception, we have obtained over $1 billion for shareholders.
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