Quanex Building Products (US:NX) Prnewswire·2025-10-02 14:43Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Quanex Building Products Corporation due to alleged violations of federal securities laws, particularly related to misleading statements about the company's operational issues and maintenance practices [2][4]. Group 1: Legal Investigation - The law firm is encouraging investors who suffered losses in Quanex between December 12, 2024, and September 5, 2025, to discuss their legal options [1]. - There is a deadline of November 18, 2025, for investors to seek the role of lead plaintiff in a federal securities class action against Quanex [2]. Group 2: Allegations Against Quanex - The complaint alleges that Quanex's tooling and equipment maintenance policies in its Tyman Mexico facility were significantly underinvested, leading to degraded conditions [4]. - It is claimed that these operational issues were known to the company, which misled investors about its business prospects [4]. Group 3: Financial Impact - On September 4, 2025, Quanex reported a diluted EPS of ($6.04), a significant decline from $0.77 in the prior year period, and an adjusted EBITDA of $70.30 [5]. - The CEO indicated that operational challenges in the Tyman facility negatively impacted EBITDA by almost $5 million in the third quarter of 2025 [6]. - Following the announcement of these issues, Quanex's stock price fell by 13.1% to $18.18 per share on September 5, 2025, and continued to decline by 10.9% to $16.20 per share on September 8, 2025 [6].