1. SJM is under investigation for potentially misleading investor statements. 2. The company reported a significant $867 million impairment charge recently. 3. SJM's shares dropped over 18% following financial result announcements. 4. Investors are encouraged to participate in the ongoing investigation. 5. The investigation targets SJM's previous claims about its snack acquisitions.
The significant drop in stock price indicates investor loss of confidence, reminiscent of past incidents when companies faced legal challenges for financial misconduct, leading to a decrease in share value.
The ongoing legal investigation poses a substantial risk to SJM's reputation and financial stability, which is crucial for investor decisions.
The immediate market reaction to news like this usually occurs quickly, as seen in past lawsuits against companies, but prolonged litigation can have ongoing effects.
LOS ANGELES, Aug. 25, 2025 /PRNewswire/ -- The Schall Law Firm, a national shareholder rights litigation firm, announces that it is investigating claims on behalf of investors of The J. M. Smucker Company ("Smucker" or "the Company") (NYSE: SJM) for violations of the securities laws.
The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. Smucker announced its Q4 2025 financial results on June 10, 2025. The Company announced a $867 million impairment charge related to the goodwill of its Sweet Baked Snacks segment and a $113 million impairment charge to the Hostess trademark due to "continued underperformance of the Sweet Baked Snacks segment." The Company had previously referred to its acquisition of Hostess Brands as "highly complementary" and claimed to investors that "underlying trends in snacking and specifically sweet snacking still bode well for the category." Based on this news, shares of Smucker fell by more than 18% on the same day.
If you are a shareholder who suffered a loss, click here to participate.
We also encourage you to contact Brian Schall of the Schall Law Firm, 2049 Century Park East, Suite 2460, Los Angeles, CA 90067, at 310-301-3335, to discuss your rights free of charge. You can also reach us through the firm's website at www.schallfirm.com, or by email at bschall@schallfirm.com.
The Schall Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and rules of ethics.
CONTACT:
The Schall Law Firm
Brian Schall, Esq.
310-301-3335
info@schallfirm.com
www.schallfirm.com
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SOURCE The Schall Law Firm