Robbins LLP is Investigating Allegations that Sprouts Farmers Market, Inc. (SFM) Misled Investors Regarding its Growth Potential
Robbins LLP informs stockholders that a class action was filed on behalf of all investors who purchased or otherwise acquired Sprouts Farmers Market, Inc. (NASDAQ: SFM) securities between June 4, 2025 and October 29, 2025. Sprouts is a specialty grocery store chain that operates in the U.S.
The Allegations:
According to the complaint, defendants provided investors with material information concerning Sprouts’ growth potential for the fiscal year 2025. Defendants’ statements included, among other things, confidence in the Company’s customer base to remain resilient to macroeconomic pressures and that Sprouts would instead benefit from the perceived tailwinds from a more cautious consumer. At the same time, defendants concealed material adverse facts concerning the true state of Sprouts’ growth potential; notably, that a more cautious consumer could result in significant slowdown in sales growth and the purported tailwinds with be unable to dampen the slowdown or would otherwise fail to manifest entirely.
On October 29, 2025, Sprouts announced disappointing top-line results for the third quarter of fiscal 2025 with comparable stores growth faltering below Company expectations. Sprouts further announced disappointing fourth quarter guidance and further slashed its full year estimates, despite raising them only one quarter prior. The Company attributed its 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’ common stock fell from a closing market price of $104.55 per share on October 29, 2025, to $77.25 per share on October 30, 2025, a decline of about 26.11%.
What Now: You may be eligible to participate in the class action against Sprouts Farmers Market, Inc. Shareholders who wish to serve as lead plaintiff for the class should contact Robbins LLP. The lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. You do not have to participate in the case to be eligible for a recovery. If you choose to take no action, you can remain an absent class member.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.