Spectrum Brands Holdings Inc. (SPB) Accused of Inflating Stock Price

According to the complaint against the company for alleged violations of the Securities and Exchange Act of 1934 between June 14, 2016 and April 25, 2018, Spectrum Brands Holdings Inc. (SPB) assured investors of its progress with its improvement initiatives, which included the development of its Ohio and Kansas facilities, since 2017. While telling investors that the distribution centers were on track to help reduce expenses and inventory, Spectrum Brands failed to mention the self-inflicting, recurring operational issues in those facilities. Previous CEO Andreas Rouve repeatedly downplayed the glitches regarding the construction and operation of the distribution centers. However, the truth was revealed in an April 2018 conference call when new CEO David Maura admitted to long term problems with the facilities and the prolonged recovery period. On this news, Spectrum Brands’ stock fell approximately 20%, to close at $75.01 per share on April 26, 2018. Since then, the stock has continued to plummet and now trades significantly below the stock’s class period high.

Spectrum Brands Holdings Inc. (SPB) Shareholders Have Legal Options

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