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SHAREHOLDER ACTION REMINDER: Faruqi & Faruqi, LLP Investigates Claims on Behalf of Investors of Grocery Outlet

1. Grocery Outlet faces a securities class action for misleading statements. 2. Claims involve issues from a transition to new technology impacting profitability. 3. 1Q 2024 earnings fell below expectations, with a 19.38% stock price drop. 4. Investors have until March 31, 2025, to seek lead plaintiff status. 5. Legal firm encourages investors with information to come forward.

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FAQ

Why Very Bearish?

The stock’s recent drop and impending legal troubles can lead to further declines. Past instances, like the Wells Fargo scandal, showed rapid stock price decreases amid lawsuits.

How important is it?

The legal issues directly impact investor confidence and stock performance. Ongoing litigation can increase uncertainty and volatility, affecting managerial decisions and market perception.

Why Short Term?

Immediate stock reactions will likely come from ongoing legal developments and quarterly reporting updates. Recent earnings report volatility suggests continued pressure.

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Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In Grocery Outlet To Contact Him Directly To Discuss Their OptionsIf you purchase securities in Grocery Outlet between November 7, 2023 and May 7, 2024 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).[You may also click here for additional information], /PRNewswire/ -- Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Grocery Outlet Holding Corp. ("Grocery Outlet" or the "Company") (NASDAQ: GO) and reminds investors of the March 31, 2025 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company. Faruqi & Faruqi Logo (PRNewsfoto/Faruqi & Faruqi, LLP) Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com. As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by disseminating materially false and misleading statements and/or concealing material adverse facts concerning the true state of Grocery Outlet's transition to new and upgrad systems; notably, that the Company was either not truly equipped to timely and effectively execute on the transition or otherwise failed to disclose the potential for significant setbacks to Grocery Outlet's profitability as a result of delays and implementation issues which impacted the Company's visibility and performance. On May 7, 2024, Grocery Outlet reported 1Q 2024 earnings that fell well below expectations and then lowered its guidance for the year. Management attributed the decrease to disruptions resulting from the implementation of new technology platforms in August 2023 and self-imposed commission support, following the system upgrade challenges. Analysts expressed concern at the Company's slower-than-expected system upgrade, which has caused issues in product and data visibility, as well as operating challenges.Following this news, Grocery Outlet's stock price fell by $5.02 per share, or approximately 19.38% to close at $20.88 per share on May 8, 2024.The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not. Faruqi & Faruqi, LLP also encourages anyone with information regarding Grocery Outlet's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.To learn more about the Grocery Outlet class action, go to www.faruqilaw.com/GO or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).Follow us for updates on LinkedIn, on X, or on Facebook.Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.SOURCE Faruqi & Faruqi, LLP WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM? 440k+ Newsrooms & Influencers 9k+ Digital Media Outlets 270k+ Journalists Opted In

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