
A securities class action names DICK'S Sporting Goods Executive Chairman Edward W. Stack, Chief Executive Officer Lauren R. Hobart, and Chief Financial Officer Navdeep Gupta as individual defendants, alleging they controlled public statements assuring investors that Foot Locker's inventory and promotional problems had been resolved.
NEW YORK, Sept. 16, 2026 /PRNewswire/ -- Levi & Korsinsky, LLP alerts investors in DICK'S Sporting Goods, Inc. (NYSE: DKS) that a securities class action naming three senior officers as individual defendants is pending on behalf of shareholders who purchased common stock between September 8, 2025 and August 24, 2026. Find out if you may be eligible to recover losses. You may also contact Joseph E. Levi, Esq. at [email protected] or (212) 363-7500.
DKS common stock fell $55.02 per share, or approximately 30%, closing at $124.31 on August 25, 2026. The window to apply for lead plaintiff closes on November 3, 2026.
The Named Individual Defendants
The action names Executive Chairman of the Board Edward W. Stack, Chief Executive Officer and Director Lauren R. Hobart, and Chief Financial Officer and Executive Vice President Navdeep Gupta, each of whom held those roles at all relevant times. As pleaded, their positions gave them the power and authority to control the contents of the Company's quarterly reports, press releases, and presentations to securities analysts, portfolio managers, and institutional investors.
Section 20(a) of the Securities Exchange Act of 1934 allows shareholders to pursue individuals who allegedly controlled a company that violated the securities laws. The practical meaning for DKS investors is that recovery is sought from these officers personally, in addition to the Company's alleged primary violation of Section 10(b) and Rule 10b-5.
Alleged Control Person Liability
- The pleading asserts each individual defendant controlled the Company's public messaging about the Foot Locker integration following the $2.5 billion acquisition.
- The complaint charges that each received copies of the reports and releases alleged to be misleading before or shortly after issuance, with the ability and opportunity to prevent or correct them.
- Statements attributed to management about the completion of Foot Locker's inventory cleanup are alleged to have been materially false when made.
- Statements attributed to management that no promotional concerns were on the horizon are alleged to have lacked a reasonable basis.
- Each officer is alleged to have had access to material non-public information about Foot Locker's continuing exposure to stagnant legacy footwear that shareholders did not have.
- Plaintiffs seek to hold each officer personally answerable for losses tied to the alleged inflation in the DKS share price during the Class Period.
Sarbanes-Oxley Certification Obligations
Under Sections 302 and 906 of the Sarbanes-Oxley Act, senior officers personally certify that the periodic reports they sign do not contain untrue statements of material fact. For shareholders, that signature is the link between corporate disclosure and individual accountability.
"Corporate officers have a duty to ensure their companies' public statements are accurate and complete, and the certifications they sign are not a formality. This action asks whether the officers who repeatedly assured the market about Foot Locker's condition should answer personally for the approximately 30% single-day decline that followed." -- Joseph E. Levi, Esq.
Submit your information to learn more or call (212) 363-7500.
Levi & Korsinsky, LLP is a nationally recognized shareholder rights firm. Over the past 20 years, the firm has secured hundreds of millions of dollars for aggrieved shareholders. Ranked in ISS Top 50 for seven consecutive years.
Frequently Asked Questions About the DKS Lawsuit
Q: What court was the DKS class action filed in? A: The case was filed in the United States District Court for the Western District of Pennsylvania, governed by the Private Securities Litigation Reform Act of 1995.
Q: Who are the defendants named in the DKS lawsuit? A: The complaint names DICK'S Sporting Goods, Inc. and individual defendants including Edward W. Stack, Chairman of the Board, Lauren R. Hobart, CEO and director, and Navdeep Gupta, CFO and Executive VP.
Q: What is the DKS class action lawsuit about? A: A securities class action has been filed against DICK'S Sporting Goods, Inc. (NYSE: DKS) alleging materially false and misleading statements between September 8, 2025 and August 24, 2026. Shares fell approximately 30% after the Company disclosed disappointing second-quarter 2026 results, reduced full-year sales guidance, and a sharply lowered Foot Locker proforma comparable sales outlook of negative 2.0% to 0.0%. Investors who purchased shares during the Class Period and suffered losses may be eligible to seek compensation.
Q: What is a lead plaintiff and why does it matter? A: A lead plaintiff is the investor appointed by the court to represent the entire class. Lead plaintiffs are typically investors with the largest documented losses. Being appointed does not increase individual recovery but gives direct oversight of how the case is run.
Q: What do DKS investors need to do right now? A: Investors may gather brokerage records showing purchase dates, share quantities, and prices paid. Submit your information for a no-cost, no-obligation evaluation of your potential recovery. No immediate action is required to remain eligible as an absent class member.
Q: What if I already sold my DKS shares -- can I still recover losses? A: Yes. Eligibility is based on when you purchased, not whether you still hold the shares. Investors who bought during the Class Period and sold at a loss may still be eligible to participate.
Q: Do I need to go to court or give testimony? A: No. The overwhelming majority of class members never appear in court or give depositions. If there is a settlement or recovery, eligible class members generally submit a claim form to seek their portion.
Q: What does it cost me to participate? A: There is no upfront cost to submit your information and review whether you may be eligible to recover. Should you choose to participate in the securities class action, they are generally handled on a contingency basis, with any attorneys' fees and expenses subject to court approval.
CONTACT:
Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 27th Floor
New York, NY 10004
[email protected]
Tel: (212) 363-7500
Fax: (212) 363-7171
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SOURCE Levi & Korsinsky, LLP
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