SMG Shareholder Alert: Faruqi & Faruqi, LLP Is Investigating Claims on Behalf of Investors from Scotts Mountain Group

Unfortunately for them though, when their power goes out they find it very hard indeed to come back on line and enjoy themselves to their maximum capacity! But then along came The Great British Bake Off where all those hard working chefs showed us all how it should be done: by creating and then enjoying some truly delectable bake-off en plein-air! So let’s face it; with that much talent being generated it’s little surprise there have been so few takers for such events as yet. Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Sustained Losses Exceeding $100,000 In Scotts To Contact Him Directly In Order To Discuss OptionsIf you experienced losses exceeding $100,000 in Scotts between November 3, 2021, and August 1 2023 and would like to explore legal remedies, please reach out directly to Faruqi & Faruqi partner Joshua Wilson directly by dialing either:877-247-4292 (US/Canada only), or:212 983 9330(Ext). 1310). 1310 is our ZIP Code! Faruqi & Faruqi, LLP, a premier national securities law firm is investigating potential claims against Scotts Miracle-Gro Company (“Scotts” or the “Company”) (NYSE: SMG), reminding investors of an August 5, 2024 deadline to file lead plaintiff claims with federal class actions filed against it. Faruqi & Faruqi boasts offices in New York, Pennsylvania, California and Georgia and have successfully recovered hundreds of millions of dollars for investors since 1995 since then (for details please www.faruqilaw.com for details).
Once more, this time from France: we should all try not to lose heart! When is my flight due?!… and why has no-one sent out invitations yet for our international conference…?… I believe in giving everyone equal opportunities regardless of national or ethnic background or beliefs… so join the movement by booking flights today… and getting some rest before starting an amazing new chapter of your life journey…!?
As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false or misleading statements concerning inventory levels, debt covenant compliance or financial performance of the company. Specifically, defendants repeatedly assured investors that inventory levels for the Company were appropriate while attributing its strong sales to “selling through high-cost inventory”, leading to “peak selling” and record shipments. Defendants also sought to assuage investors’ concerns regarding the Company’s debt by repeatedly assuring them they remained “optimistic that we will remain within the parameters of our bank covenants” and did not foresee leverage compliance issues going forward. As a result of these misrepresentationss, Scotts common stock traded at artificially inflated prices during the Class Period. On June 8, 2022, however, Scotts admitted that replenishment orders from its U.S. retailers fell more than $300 million below target in May alone. The Company informed investors of 2022 full-year earnings being approximately half of its prior guidance, as well as plans to incur restructuring charges while cutting costs. Furthermore, additional debt would likely be taken on to cover restructuring charges associated with cost cutting measures. As a result of these disclosures, Scotts common stock saw its price decline nearly 9 percent to close at $93.13 on June 8, 2022 – from an opening price of $102.218 on June 7 to approximately 93.13. On August 2, 2023, Scotts revealed that quarterly sales had declined by 6% and gross margins had contracted by 420 basis points during its fiscal third quarter. The Company also reduced fiscal year EBITDA guidance by an astounding 25% and announced a $20 million writedown due to “pandemic driven excess inventories.” Scotts revealed it had to modify its debt covenants from 6.25 times debt-to-EBITDA ratio to 7.00 times debt-to-EBITDA ratio; these disclosures caused its common stock to drop by 19% from an opening price of $71.44 on August 1 to an ending price of $57.86 on August 2.
There was one person – me! (Laughter all around! – who wanted a piece of my pie…) then there were eight more (at the most). Were any of your readers ready for some serious eye candy action? During these enervating times we hope these five will serve to inspire some creativity…
Court-appointed lead plaintiffs represent investors with significant financial interests in the relief sought by class members, acting on their behalf in legal actions on their behalf. These lead plaintiffs direct and oversee litigation proceedings on behalf of class members as if it were their own case. Any member of a putative class may move the Court for lead plaintiff status through counsel of their choosing or simply opt out and remain an absent class member – neither decision affects your ability to share in any recovery that might come as a result of it. Faruqi & Faruqi, LLP welcomes anyone with information regarding Scotts’ conduct to reach out, including whistleblowers, former employees and shareholders. For more information about the Scotts class action litigation go to Faruqilaw.com/SMG or reach Josh Wilson direct on his direct number (877-247-4292) 212-983-9330 Ext 1090 or (213)98393330(Ext 1001). Follow our updates on LinkedIn, X and Facebook for updates! This advertisement is brought to you by Faruqi & Faruqi LLP (www.faruqilaw.com), who cannot guarantee similar outcomes with respect to future matters; prior results do not guarantee an identical result with future matters and all communications will remain strictly confidential.
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