SMPL Shareholder Alert: The Simply Good Foods Company Securities Class Action Lawsuit - Investors Should Contact SueWallSt

Key dates in the alleged Simply Good Foods disclosure sequence: from the October 2024 assurance that the $280 million OWYN integration was "progressing as planned" to the April 2026 $187 million impairment charge and a share price below $11.

NEW YORK, Aug. 27, 2026 /PRNewswire/ -- SueWallSt reminds purchasers of The Simply Good Foods Company (NASDAQ: SMPL) securities of a pending securities class action on behalf of shareholders who purchased between October 24, 2024 and April 8, 2026. See if you could be eligible to recover. You may also contact Joseph E. Levi, Esq. at [email protected] or (888) SueWallSt.

SMPL fell from $14.41 to $10.44, a decline exceeding 27%, in a two-day trading period following the key disclosures. Investors have until October 13, 2026 to seek lead plaintiff status.

Chronology of Material Events

June 13, 2024: The Company completes its $280 million all-cash acquisition of OWYN, a plant-based ready-to-drink protein shake brand.

October 24, 2024 (Class Period begins): Fourth quarter fiscal 2024 results are reported, with quarterly revenue of $376 million. The Company guides fiscal 2025 OWYN net sales to $135 million to $145 million, a projected increase of 20% to 30%, and describes the integration as underway and on plan. October 24, 2024 (Class Period begins): The filing failed to disclose that key managers had already departed and that a switch to a different pea protein supplier had been set in motion.

October 23, 2025: Fourth quarter fiscal 2025 results disclose slowing OWYN sales growth and, for the first time, a raw material sourcing decision for pea protein that produced taste and texture problems as product aged. Fiscal 2026 net sales guidance of negative 2% to positive 2% follows fiscal 2025 growth of 9%. Shares fell $4.37, or more than 17%, to close at $20.63 on above-average volume.

April 9, 2026: Second quarter fiscal 2026 results show OWYN sales contracting nearly 17% year over year, a $187 million impairment charge against OWYN intangible assets, and a slashed fiscal 2026 outlook of negative 7% to negative 10%. Cumulative impairments reach $200 million, more than 70% of the purchase price.

Timeline of Alleged Disclosure Failures

• Departures of key OWYN managerial personnel after closing were allegedly not disclosed as the integration was described as on plan.
• Increased general and administrative spending and what the complaint calls a bloated, layered structure were allegedly omitted.
• The inferior pea protein sourcing decision and resulting shelf-life problems were allegedly withheld for roughly 16 months.
• Discounting above historical practice, used to prop up short-term sales, allegedly eroded margins without disclosure.
• Cuts to OWYN brand support and marketing allegedly deepened the sales decline.
• Risk factor language stating the Company "may not accomplish the integration of an acquired business smoothly" allegedly described contingent risk while integration failures had already occurred.

"Timely disclosure of material developments is fundamental to fair and efficient markets. Here the complaint alleges that a pea protein sourcing problem and the loss of key OWYN personnel were known internally well before shareholders learned of them." -- Joseph E. Levi, Esq.

Calculate your potential recovery or call (888) SueWallSt.

WHY SUEWALLST: SueWallSt is powered by Levi & Korsinsky LLP. Levi & Korsinsky LLP has established itself as a nationally-recognized securities litigation firm that has secured hundreds of millions of dollars for aggrieved shareholders and built a track record of winning high-stakes cases. The firm has extensive expertise representing investors in complex securities litigation and a team of over 70 employees to serve our clients. For seven years in a row, Levi & Korsinsky has ranked in ISS Securities Class Action Services' Top 50 Report as one of the top securities litigation firms in the United States.

Frequently Asked Questions About the SMPL Lawsuit

Q: How much did SMPL stock drop? A: The action contends that shares declined more than 70% from Class Period highs of more than $40 per share. Specifically, over a two-day period, shares declined approximately 27%, or nearly $4 per share, to close at $10.44 per share on April 10, 2026. Investors who purchased shares during the Class Period at artificially inflated prices and suffered losses may be eligible to seek compensation.

Q: What specific misstatements does the SMPL lawsuit allege? A: The complaint alleges The Simply Good Foods Company made materially false or misleading statements regarding the integration and performance of the OWYN acquisition, including that the integration was "progressing as planned" and later "largely completed," during the Class Period. When the OWYN sales contraction, product quality issues, and $187 million impairment were disclosed, the stock price declined sharply.

Q: When did The Simply Good Foods Company allegedly mislead investors? A: The Class Period runs from October 24, 2024 to April 8, 2026. The complaint alleges that corrective disclosures revealed information that caused a significant stock decline.

Q: What do SMPL 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 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 if I already sold my SMPL 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: How long will the lawsuit take to resolve? A: Securities class actions typically take two to four years from initial filing to resolution. Timing depends on the court schedule, case developments, and whether the matter is dismissed, settled, or litigated further.

CONTACT:

Levi & Korsinsky, LLP

Joseph E. Levi, Esq.

33 Whitehall Street, 27th Floor

New York, NY 10004

[email protected]

Tel: (888) SueWallSt

Fax: (212) 363-7171

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SOURCE SueWallSt.com