Kuznicki Law PLLC notifies investors that a class action has commenced in the United States District Court for the Eastern District of Wisconsin on behalf of shareholders of Kohl’s Corporation who purchased shares between October 20, 2020 and May 19, 2022.
Kohl’s and certain of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.
On May 19, 2022, the Company disclosed disappointing 1Q2022 fiscal results including net sales growth and earnings per share below analyst expectations, as well as a cut to its full year earnings forecast, due to “macro headwinds related to lapping last year’s stimulus and an inflationary consumer environment.” Then, on May 20, 2022, Macellum Advisors GP, LLC, “a long-term holder of nearly 5% of the outstanding common shares of Kohl’s”, issued a statement addressing “[t]his quarter’s extremely disappointing results,” which it attributed to a “flawed strategic plan and an inability to execute,” and that “the current Board appears to have withheld material information from shareholders about the state of Kohl’s in the lead-up to this year’s pivotal annual meeting,” which “suggests to us a clear breach of fiduciary duty.”
On this news, shares of Kohl’s declined $5.84 per share, or 12.97%, to close at $39.20 per share on May 20, 2022.
If you wish to choose counsel to represent you and the class, you must apply to be appointed lead plaintiff and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement for the class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the respective securities during the class periods. Members of the class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. No class has yet been certified in the above action. Appointment as Lead Plaintiff is not required to partake in any recovery.
Shareholders have until November 1, 2022 to request that the court appoint them lead plaintiff.