CTO Realty Growth(US:CTO) GlobeNewswire News Roomยท2025-09-03 13:05Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against CTO Realty Growth, Inc. due to allegations of misleading statements regarding the sustainability of dividends and financial practices [3][5]. Group 1: Legal Investigation - The firm is reminding investors of the October 7, 2025 deadline to seek the role of lead plaintiff in a federal securities class action against CTO [3]. - Investors who suffered losses in CTO between February 18, 2021, and June 24, 2025, are encouraged to contact the firm to discuss their legal rights [1][3]. Group 2: Allegations Against CTO - The complaint alleges that CTO and its executives violated federal securities laws by making false statements and failing to disclose critical financial information [5]. - Specific allegations include that CTO's dividends were less sustainable than claimed, and that deceptive practices were used to inflate its Adjusted Funds From Operations (AFFO) [5]. - The Wolfpack Research report criticized CTO for not generating enough cash to cover dividends and capital expenditures, leading to a reliance on share dilution [6]. Group 3: Financial Impact - Following the release of the Wolfpack Report, CTO's stock price fell by $0.98, or 5.42%, closing at $17.10 per share on June 25, 2025 [7]. - The report highlighted that CTO has only $8.4 million in cash while facing quarterly dividends of $14 million and average recurring capital expenditures of $5.7 million [6].