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CLASS ACTION NOTICE: Berger Montague Advises CTO Realty Growth, Inc. (NYSE: CTO) Investors to Inquire About a Securities Fraud Class Action

1. CTO Realty Growth faces class action lawsuit regarding misleading statements. 2. Lawsuit claims false information about dividends and profitability affecting investors. 3. Stock fell 5.42% after report alleging financial irregularities. 4. Shareholder dilution of 70% noted since December 2022. 5. Deadline to join lawsuit as lead plaintiff is October 7, 2025.

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FAQ

Why Very Bearish?

The lawsuit and allegations of financial mismanagement reflect severe operational issues, paralleling historical cases where stock prices plummeted following similar incidents (e.g., Lehman Brothers). Potential loss of investor trust may lead to continued stock decline.

How important is it?

Legal challenges significantly affect stock prices, as seen with other companies that faced lawsuits for misleading investors. The lawsuit directly targets CTO, indicating potential liability that investors are wary of.

Why Long Term?

The repercussions of a class action lawsuit typically unfold over an extended period, affecting shareholder confidence and market perception for years, similar to past cases such as Enron, which had long-lasting impacts.

Related Companies

PHILADELPHIA, Aug. 19, 2025 /PRNewswire/ -- National plaintiffs' law firm Berger Montague PC announces a class action lawsuit against CTO Realty Growth, Inc. (NYSE:CTO) ("CTO" or the "Company") on behalf of investors who purchased or otherwise acquired publicly traded securities of CTO between February 18, 2021 through June 24, 2025 (the "Class Period").

Investor Deadline: Investors who purchased or acquired CTO securities during the Class Period may, no later than October 7, 2025, seek to be appointed as a lead plaintiff representative of the class. To learn your rights, CLICK HERE.

CTO, headquartered in Winter Park, Florida, is a real estate investment trust (REIT).

According to the complaint, CTO made materially false and misleading statements about the sustainability of its dividend, the profitability of its Ashford Lane property, and the true condition of its business. On June 25, 2025, Wolfpack Research released a report alleging that CTO has failed to generate enough cash to fund recurring capital expenditures and dividends since 2021 and instead has relied on issuing more shares—diluting shareholders by 70% since December 2022—to cover a $38 million shortfall. The report also accused CTO of manipulating its critical Adjusted Funds From Operations metric.

Following this announcement, CTO's stock fell 5.42%, closing at $17.10 per share on June 25, 2025.

If you are a CTO investor and would like to learn more about this action, CLICK HERE or please contact Berger Montague: Andrew Abramowitz at aabramowitz@bergermontague.com or (215) 875-3015, or Caitlin Adorni at cadorni@bergermontague.com or (267)764-4865.

About Berger Montague

Berger Montague, with offices in Philadelphia, Minneapolis, Delaware, Washington, D.C., San Diego, San Francisco, Chicago, Malvern, PA, and Toronto has been a pioneer in securities class action litigation since its founding in 1970. Berger Montague has represented individual and institutional investors for over five decades and serves as lead counsel in courts throughout the United States.

For more information or to discuss your rights, please contact:

Andrew Abramowitz, Senior Counsel

Berger Montague

(215) 875-3015

aabramowitz@bergermontague.com

Caitlin Adorni

Berger Montague

(267) 764-4865

cadorni@bergermontague.com

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/class-action-notice-berger-montague-advises-cto-realty-growth-inc-nyse-cto-investors-to-inquire-about-a-securities-fraud-class-action-302533608.html

SOURCE Berger Montague

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