1. Lakeland Industries is under investigation for potential securities fraud. 2. The company withdrew formal guidance after a poor Q3 earnings report. 3. Lakeland's stock plummeted 39% following the announcement and loss of guidance. 4. Pomerantz LLP, a major law firm, is leading the investigation. 5. This investigation may invoke significant liabilities for Lakeland.
FAQ
Why Very Bearish?
The substantial drop in stock price illustrates investor panic and loss of confidence. Historical cases show that such investigations often lead to prolonged declines.
How important is it?
The investigation and consequent stock drop are critical developments affecting shareholder sentiment. Legal ramifications from securities fraud allegations carry serious implications for company valuation.
Why Short Term?
The immediate legal scrutiny could cause volatility in the stock. Past cases indicate short-term impacts often extend during investigations.
Investor Alert: Pomerantz Law Firm Investigates Lakeland Industries, Inc. (NASDAQ: LAKE)
NEW YORK, Dec. 30, 2025 (GLOBE NEWSWIRE) -- Pomerantz LLP is actively investigating potential claims on behalf of investors of Lakeland Industries, Inc. (“Lakeland” or the “Company”) (NASDAQ: LAKE). This investigation seeks to determine whether Lakeland and certain of its officers and directors have engaged in securities fraud or other unlawful business practices.
Contact Information for Investors
Investors affected by these developments are encouraged to reach out to Danielle Peyton for further information at newaction@pomlaw.com or by calling 646-581-9980, ext. 7980.
Financial Performance and Market Response
On December 8, 2025, Lakeland released its third-quarter financial results, revealing significant changes in its operational strategy. The Company stated that it would be withdrawing formal guidance and transitioning to a more disciplined operational model focused on measurable execution, cash generation, and transparency.
This announcement led to a steep decline in Lakeland's stock price, falling by $5.85 per share, or 38.97%, to close at $9.16 per share on December 10, 2025.
Pomerantz LLP’s Role in Securities Litigation
Pomerantz LLP is recognized as one of the leading firms specializing in corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, a pioneer in securities class actions, the firm has a rich history of advocating for victims of securities fraud and corporate misconduct.
With over 85 years of experience, Pomerantz has successfully recovered numerous multimillion-dollar damages awards on behalf of its clients in class action lawsuits. The firm operates from multiple offices, including New York, Chicago, Los Angeles, London, Paris, and Tel Aviv.
Next Steps for Investors
Investors seeking to learn more about their rights or who are interested in joining the class action should not hesitate to contact Pomerantz LLP. For more information about the investigation, visit the Pomerantz website.