BellRing Brands(US:BRBR) Businesswire·2026-01-26 17:07Core Viewpoint - A class action lawsuit has been filed against BellRing Brands, Inc. for alleged securities fraud, impacting shareholders who acquired the company's securities between November 19, 2024, and August 4, 2025 [1][5]. Group 1: Events Leading to the Lawsuit - On May 6, 2025, BellRing disclosed that several key retailers had lowered their weeks of supply on hand, which was expected to negatively impact the company's third quarter growth, leading to a stock price drop of $14.88, or 19%, closing at $63.55 per share [3]. - On August 4, 2025, BellRing released its third quarter 2025 financial results and lowered its net sales outlook for fiscal 2025 due to competitive headwinds, resulting in a further stock price decline of $17.46, or 32.6%, closing at $36.18 per share on August 5, 2025 [4]. Group 2: Allegations in the Lawsuit - The lawsuit alleges that throughout the Class Period, the defendants made materially false and misleading statements and failed to disclose adverse facts about the company's business and operations [5]. - Specific allegations include that the strong sales results reported by the company did not reflect genuine consumer demand but were due to customers hoarding inventory to avoid shortages, which later led to reduced orders once confidence returned [5]. - The complaint also states that competitive pressures were weakening demand, contradicting the defendants' positive statements about the company's prospects [5].