DiCello Levitt LLP Announces Investor Class Action Lawsuit Filed Against Dick's Sporting Goods, Inc. (NYSE: DKS) and Lead Plaintiff Deadline

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Feb 22, 2024, 08:00 ET

SAN DIEGO, Feb. 22, 2024 /PRNewswire/ -- DiCello Levitt LLP announces that purchasers or acquirers of Dick's Sporting Goods, Inc. ("Dick's" or the "Company") (NYSE: DKS) common stock between May 25, 2022 and August 21, 2023, inclusive (the "Class Period"), have until April 16, 2024 to seek appointment as lead plaintiff of the Dick's class action lawsuit. The lawsuit charges Dick's and certain of its senior executive officers with violations of the Securities Exchange Act of 1934.

If you purchased shares of Dick's common stock between May 25, 2022 and August 21, 2023, and suffered substantial losses, and you wish to serve as lead plaintiff in this lawsuit, you may submit your information here: https://dicellolevitt.com/securities/dicks/.

You can also contact DiCello Levitt partner Brian O'Mara by calling (888) 287-9005 or at [email protected].

No Class Has Been Certified. Until a class is certified, you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. An investor's ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.

Allegations

The Dick's lawsuit alleges that during the Class Period, Defendants misrepresented the Company's business and financial condition by issuing misleading statements and omissions regarding the Company's financial performance, and particularly the Company's inventory, margins, and prospects. As the post-pandemic macroeconomic climate normalized in 2022, Dick's touted its ability to maintain significantly improved post-pandemic margins and earnings but misrepresented and omitted to state the extent to which demand for certain inventory, especially in the Outdoor segment, had fallen, negatively impacting earnings and margins.

On August 22, 2023, Dick's announced its financial results for the second quarter of fiscal year 2023, ended July 29, 2023. The Company's press release revealed that profitability for the second quarter was significantly lower than previously represented. Specifically, the Company's net income was $244 million (versus the analyst consensus estimate of $338 million), earnings per share were $2.82 (versus the analyst consensus estimate of $3.81), gross margin was 34.4% (versus the analyst consensus estimate of 36.3%), and pre-tax margin was 10.2% (below the Company's previously issued guidance of 11.7%). The Company also lowered its profitability guidance for the rest of fiscal year 2023. On this news, the price of Dick's common stock declined 24%, or $35.51 per share, to close at $111.53 per share.

About DiCello Levitt

At DiCello Levitt, we are dedicated to achieving justice for our clients through securities, class action, business-to-business, public client, whistleblower, personal injury, civil and human rights, and mass tort litigation. Our lawyers are highly respected for their ability to litigate and win cases—whether by trial, settlement, or otherwise—for people who have suffered harm, global corporations that have sustained significant economic losses, and public clients seeking to protect their citizens' rights and interests. Every day, we put our reputations—and our capital—on the line for our clients.

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SOURCE DiCello Levitt LLP