The legal action claims that the company concealed significant operational failures during the specified period, including an inability to halt a steady decline in market share. According to the filing, executives allegedly painted a rosier picture of the company’s competitive standing while internal struggles required a desperate pivot toward aggressive, costly promotional strategies. These omissions, the firm argues, left investors with a distorted view of the company’s actual financial health and future prospects.

Shareholders who incurred losses due to these discrepancies have until November 2, 2026, to apply for lead plaintiff status. While the lawsuit seeks to recover damages for the affected class, the law firm noted that individual investors do not need to take on the lead plaintiff role to be eligible for a potential settlement. Peretz Bronstein, founding partner of the firm, stated that the litigation aims to restore investor capital and enforce corporate accountability. The firm operates on a contingency basis, meaning legal fees are tied strictly to the successful recovery of funds.