RM LAW, P.C. announces that a class action lawsuit has been filed on behalf of all persons or entities that purchased Campbell Soup Company (NYSE: CPB) (“Campbell Soup” or the “Company”) common stock between August 31, 2017 and May 17, 2018, inclusive (the “Class Period”).
Campbell Soup shareholders may, no later than November 27, 2018, move the Court for appointment as a lead plaintiff of the Class. If you purchased shares of Campbell Soup and would like to learn more about these claims or if you wish to discuss these matters and have any questions concerning this announcement or your rights, contact Richard A. Maniskas, Esquire toll-free at (844) 291-9299 or to sign up online, click here.
Campbell is a global food company that sells soups, packaged meals, beverages, snacks, and packaged fresh foods. Through its “Campbell Fresh” division, Campbell sells refrigerated beverages, salad dressings, and fresh carrots and carrot ingredients under the Bolthouse Farms brand name, and salsa and hummus under the Garden Fresh Gourmet brand name.
This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934.
The complaint alleges that, throughout the Class Period, the defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the company’s business, operations, and prospects. Specifically, the complaint alleges that: (i) the defendants failed to disclose known trends that were negatively impacting the profitability of the Campbell Fresh division; and (ii) as a result of the foregoing, the defendants’ positive statements about Campbell’s and the Campbell Fresh division’s business, operations, and prospects were materially false and/or misleading and/or lacked a reasonable basis.
Investors began to learn the truth about the Campbell’s operations through a series of disclosures throughout the Class Period, in which the Company reported disappointing results but continued to assure investors about the Company’s prospects.
Finally, on May 18, 2018, Campbell announced disappointing financial results for the third straight quarter, including a $19 million loss for the Campbell Fresh division in the third quarter fiscal 2018, forcing the company to take a $619 million pre-tax non-cash impairment charge for the division and to further revise its fiscal year 2018 earnings guidance. Campbell simultaneously announced that Denise Morrison was stepping down immediately as Chief Executive Officer of the Company.
Following this news, the price of Campbell common stock fell over 12%, from a close of $39.22 per share on May 17, 2018, to close at $34.37 per share on May 18, 2018.
If you are a member of the class, you may, no later than November 27, 2018, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as “lead plaintiff.” Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain RM LAW, P.C. or other counsel of your choice, to serve as your counsel in this action.