Class Action Filed Against Dow Inc. Over Alleged Misconduct

Dow Inc., an American materials science company serving customers in various industries, has been accused of failing to disclose the truth about its business prospects. The alleged misconduct occurred between January 30, 2025, and July 23, 2025. A class action lawsuit was filed on behalf of persons and entities that purchased or acquired Dow Inc. securities during this period. The complaint alleges that the company failed to disclose the true scope and severity of negative impacts on its business and financial condition, including competitive and pricing pressures, softening global sales and demand for its products, and an oversupply of products in global markets.

Key Takeaways:

  • A class action lawsuit was filed against Dow Inc. alleging misconduct between January 30, 2025, and July 23, 2025.
  • The complaint alleges that Dow Inc. failed to disclose the true scope and severity of negative impacts on its business and financial condition.
  • On June 23, 2025, BMO downgraded Dow from "Market Perform" to "Underperform" while cutting its price target to $22.00 per share from $29.00 per share, causing Dow's stock price to fall 3.21%.
  • On July 24, 2025, Dow announced disappointing financial results for Q2 2025, including a non-GAAP loss per share of $0.42 and net sales of $10.1 billion, representing a 7.3% year-over-year decline.
  • Dow revealed that it was cutting its dividend in half on the same day, causing its stock price to fall 17.45%.

Statistics:

  • Dow Inc.'s stock price fell $0.89 per share, or 3.21%, to close at $26.87 per share on June 23, 2025.
  • Dow Inc.'s stock price fell $5.30 per share, or 17.45%, to close at $25.07 per share on July 24, 2025.
  • Dow Inc. reported a non-GAAP loss per share of $0.42 in Q2 2025.
  • Dow Inc.'s net sales declined 7.3% year-over-year in Q2 2025.
  • The class action lawsuit alleges that Dow Inc.'s failure to disclose the true scope and severity of negative impacts on its business and financial condition resulted in artificial inflation of the company's stock price.

Sources:

  • "Investigation of Dow Inc. (DOW)". Robbins LLP.
  • "Shareholders of Dow Inc. Encouraged to Contact Law Firm About Class Action Lawsuit".
  • Dow Inc. (NYSE: DOW).
  • Robbins LLP.