Sprouts and Avantor hit with lawsuits after October stock market crashes
Two major US companies, Sprouts Farmers Market and Avantor, are facing class action lawsuits after sharp stock market declines in late October 2025. Investors claim both firms misled shareholders about their financial health. The lawsuits, filed by Bragar Eagel & Squire, P.C., allege hidden weaknesses in growth and competition were not properly disclosed.
The troubles began on October 29, 2025, when both companies reported disappointing stock market today results. Sprouts Farmers Market announced weaker-than-expected top-line figures and cut its guidance, causing its stock to plummet by 26.11%. The lawsuit accuses the grocery chain of overstating growth potential for 2025 while hiding a slowdown in sales.
The lawsuits will now proceed under the appointed lead plaintiffs, with deadlines approaching for additional investor participation. Both companies face legal challenges over claims they withheld key financial risks from shareholders. The outcomes could affect how future corporate disclosures are handled in similar cases.