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SHAREHOLDER REMINDER: Faruqi & Faruqi, LLP Investigates Claims on Behalf of Investors of CTO Realty Growth

1. Faruqi & Faruqi investigates claims against CTO Realty Growth. 2. Allegations include misleading statements about dividends and profitability. 3. Wolfpack Report criticizes CTO's cash flow and capital management. 4. CTO's stock fell 5.42% following Wolfpack's report. 5. Potential class action deadline for investors is October 7, 2025.

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FAQ

Why Bearish?

The revelations of financial mismanagement and potential class action lawsuits typically lead to decreased investor confidence, often resulting in a downturn in stock prices. Historical instances where companies faced similar allegations saw significant price declines, making this situation likely to impact CTO adversely.

How important is it?

The ongoing legal scrutiny and financial allegations against CTO present significant risks that investors must consider. These risks can lead to increased volatility in CTO's stock price due to market emotions surrounding legal proceedings.

Why Short Term?

The impending class action and recent negative reports will likely affect CTO's stock price rapidly. Investors usually react swiftly to such news, indicating a short-term bearish impact.

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Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In CTO To Contact Him Directly To Discuss Their Options If you purchased or acquired securities in CTO between February 18, 2021 and June 24, 2025 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] NEW YORK, Sept. 19, 2025 (GLOBE NEWSWIRE) -- Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against CTO Realty Growth, Inc. (“CTO” or the “Company”) (NYSE: CTO) and reminds investors of the October 7, 2025 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company. 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 making false and/or misleading statements and/or failing to disclose that: (i) CTO's dividends were less sustainable than Defendants had led investors to believe; (ii) the Company used deceptive and unsustainable practices to artificially inflate its AFFO and overstate the true profitability of its Ashford Lane property; (iii) accordingly, CTO's business and/or financial prospects were overstated; and (iv) as a result, Defendants' public statements were materially false and misleading at all relevant times. On June 25, 2025, Wolfpack Research ("Wolfpack") published a report entitled "CTO: The B. Riley of REITs" (the "Wolfpack Report" or the "Report"), which compared CTO unfavorably to B. Riley, a financial services company that recently lost more than 90% of its value amid three years of losses, soured investments, delayed financial reports and revelations that the SEC had been investigating whether the firm gave shareholders an accurate picture of its health. Citing interviews with former employees and whistleblowers, the Wolfpack Report accused CTO of, among other things, "not generat[ing] enough cash to pay its recurring capex and cover its dividends since converting to a REIT in 2021" and instead "rel[ying] on dilution (increasing shares outstanding by 70% since December 2022) to cover a $38 million dividend shortfall from 2021 to 2024," employing a "manipulative definition of [AFFO] where they exclude recurring capex, unlike all of their self-identified shopping center REIT peers," and "us[ing] a sham loan to hide the collapse of a top tenant from shareholders at Ashford Lane." (Emphasis in original). Further, Wolfpack predicted imminent further dilution of the Company, noting that CTO has just $8.4 million in cash while facing quarterly dividends of $14 million and average recurring capital expenditures of $5.7 million per quarter, along with approximately $12 million in additional planned capital expenditures. On this news, CTO's stock price fell $0.98 per share, or 5.42%, to close at $17.10 per share on June 25, 2025. 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 CTO’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others. To learn more about the CTO Realty Growth class action, go to www.faruqilaw.com/CTO 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. A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/3a3fa937-87cb-45e3-b706-966046064eee

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