LEAD PLAINTIFF DEADLINE IS JANUARY 26, 2026.
If you have suffered losses and would like to discuss your rights, please fill out this form or you may contact Jonathan Naji, Esq. at (484) 270-1453 or via e-mail at info@ktmc.com.
Case Background:
A class action lawsuit was filed on behalf of those who purchased or otherwise acquired Sprouts Farmers Market, Inc. (“Sprouts”) (NASDAQ: SFM) securities between June 4, 2025, and October 29, 2025, inclusive (the “Class Period”).
The Class Period begins on June 4, 2025, when Sprouts presented at the 2025 dbAccess Global Consumer Conference. During the presentation, Sprouts differentiated the company from its competition when discussing the impact of “volatile consumer confidence,” claiming Sprouts’ consumer base remains resilient regardless of the macroeconomic impact. Specifically, Sprouts touted that its “customer base is a little bit more resilient to what's going on in the macro environment… [with] customers who are very health focused,” and that “irrespective of what happens in this pretty significantly uncertain time that we're going to be able to cope and deal with the changes as they come to us.”
On October 29, 2025, Sprouts announced disappointing top-line results for the third quarter of fiscal 2025, with comparable stores growth faltering below the company’s expectations. Likewise, Sprouts announced disappointing fourth quarter guidance and further slashed its full year estimates, despite raising them only one quarter prior. Sprouts attributed its poor results and lowered guidance on “challenging year-on-year comparisons as well as signs of a softening consumer.” On this news, the price of Sprouts’ stock fell $27.30 per share, or 26.11%, from a closing price of $104.55 per share on October 29, 2025, to close at $77.25 per share on October 30, 2025.
The complaint alleges that, throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose that: (1) Sprouts’ optimistic reports of growth and stability in the face of macroeconomic instability fell short of reality; (2) Sprouts’ consumer base was not as resilient to macroeconomic pressures as the company contended and ultimately reduced spending; (3) the perceived tailwinds from such pressures failed to manifest, and Sprouts’ ability to lap its prior comparables was well overstated, ultimately resulting in Sprouts being unable to meet its lofty growth projections; and (4) as a result of the foregoing, Defendants’ positive statements about the company’s business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis.
What is a Lead Plaintiff?
A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Filling out the online form above or communicating with any counsel is not necessary to participate or share in any recovery achieved in this case. Any member of the purported class may move the court to serve as a lead plaintiff through counsel of his/her choice, or may choose to do nothing and remain an inactive class member.