Robbins LLP is Investigating the Allegations Against Fox Factory Holding Corp.
Robbins LLP informs investors that a shareholder filed a class action on behalf of all persons who purchased or otherwise acquired Fox Factory Holding Corp. (NASDAQ:FOXF) common stock between May 6, 2021 and November 2, 2023. Fox Factory engineers, manufactures, and markets high-performance suspension products for numerous applications throughout the world.
The Allegations: According to the complaint, during the class period, defendants misled the market concerning demand for Fox Factory’s products and inventory levels.
On November 2, 2023, after the markets closed, Fox Factory filed a Form 8-K with the SEC, reporting that its net sales for the third quarter of fiscal year 2023 decreased 19.1% year-over-year due to “higher levels of inventory across various channels.” In addition, Fox Factory cut its full-year sales guidance from between $1.67B and $1.70B to between $1.45B and $1.47B, citing continued inventory destocking in its SSG segment. On this news, the price of Fox Factory’s common stock declined $22.60, or 37.34%, to close at $60.53 per share on November 3, 2023, harming investors.
What Now: You may be eligible to participate in the class action against Fox Factory Holding Corp. Shareholders who want to serve as lead plaintiff for the class must file their papers with the court by April 22, 2024. A 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.
