Dow(US:DOW) Globenewswireยท2025-09-25 22:15Core Viewpoint - The article discusses a class action lawsuit against Dow Inc. for alleged violations of the Securities Exchange Act of 1934, focusing on misleading statements regarding the company's financial health and the impact of macroeconomic factors on its performance [1][3]. Summary by Sections Class Action Lawsuit Details - The lawsuit, titled Sarti v. Dow Inc., allows purchasers of Dow securities between January 30, 2025, and July 23, 2025, to seek lead plaintiff status by October 28, 2025 [1]. - The allegations include that Dow and its executives overstated the company's ability to handle macroeconomic challenges and downplayed the negative impacts on its business [3]. Financial Performance and Market Reaction - On June 23, 2025, BMO Capital downgraded Dow's stock from "Market Perform" to "Underperform," reducing the price target from $29.00 to $22.00, which led to a stock price drop of over 3% [4]. - Dow reported a non-GAAP loss per share of $0.42 for Q2 2025, significantly worse than the expected loss of $0.17 to $0.18, with net sales of $10.1 billion, a 7.3% year-over-year decline, missing estimates by $130 million [5]. - Following the disappointing results, Dow's stock price fell by more than 17%, and the company announced a dividend cut from $0.70 to $0.35 per share due to a challenging macroeconomic environment [5]. Legal Process and Firm Background - The Private Securities Litigation Reform Act of 1995 allows investors to seek lead plaintiff status, with the lead plaintiff representing the interests of the class [6]. - Robbins Geller Rudman & Dowd LLP, the law firm handling the case, is noted for its significant recoveries in securities fraud cases, having recovered over $2.5 billion for investors in 2024 alone [7][8].