Scotts Miracle-Gro Investigation Continued: Kahn Swick & Foti, LLC Continues to Investigate the Officers and Directors of The Scotts Miracle-Gro Company - SMG
Kahn Swick & Foti, LLC, via partner and former Louisiana Attorney General Charles C. Foti, Jr., announced it is continuing its investigation into whether officers and directors of The Scotts Miracle-Gro Company breached fiduciary duties to shareholders or violated state or federal laws. The investigation follows the company's August 2, 2023 disclosure of a 6% decline in fiscal third-quarter sales, a 420 basis point gross margin contraction, a 25% cut to fiscal-year EBITDA guidance, and a $20 million write down of pandemic-driven excess inventories, on which news the stock fell 19% from $71.44 to $57.86.
Key figures
- Event date
- 2023-08-02
- Close after drop
- 57.86
- Share price drop
- $13.58 per share
- Close before drop
- 71.44
- Ebitda guidance cut
- 25%
- Inventory writedown
- $20 million
- Gross margin decline
- 420 basis points
- Share price drop pct
- 19%
- Quarterly sales decline
- 6%
AI analysis
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