Grocery Outlet(US:GO) Prnewswireยท2025-03-05 16:10Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Grocery Outlet Holding Corp. due to allegations of violations of federal securities laws related to misleading statements and undisclosed issues affecting the company's performance and profitability [2][4]. Group 1: Legal Investigation - The law firm is encouraging investors who suffered losses in Grocery Outlet between November 7, 2023, and May 7, 2024, to discuss their legal rights [1]. - A federal securities class action has been filed against Grocery Outlet, with a deadline of March 31, 2025, for investors to seek the role of lead plaintiff [2]. - The firm has a history of recovering hundreds of millions of dollars for investors since its founding in 1995 [3]. Group 2: Company Performance Issues - The complaint alleges that Grocery Outlet and its executives disseminated materially false and misleading statements regarding the company's transition to new systems, failing to disclose potential setbacks to profitability [4]. - On May 7, 2024, Grocery Outlet reported Q1 2024 earnings that fell below expectations and subsequently lowered its guidance for the year, attributing the decrease to disruptions from new technology implementations [5]. - Following the earnings report, Grocery Outlet's stock price dropped by $5.02 per share, approximately 19.38%, closing at $20.88 per share on May 8, 2024 [6].