Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In Sprouts To Contact Him Directly To Discuss Their Options
If you purchased or acquired securities in Sprouts between June 4, 2025 and October 29, 2025 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
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NEW YORK, Dec. 20, 2025 (GLOBE NEWSWIRE) — Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Sprouts Farmers Market, Inc. (“Sprouts” or the “Company”) (NASDAQ: SFM) and reminds investors of the January 26, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com.
As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that: Defendants provided overwhelmingly positive statements to investors while, at the same time, disseminating materially false and misleading statements and/or concealing material adverse facts concerning the true state of Sprouts’ growth potential; notably, that a more cautious consumer could result in significant slowdown in sales growth and the purported tailwinds with be unable to dampen the slowdown or would otherwise fail to manifest entirely. Such statements absent these material facts caused Plaintiff and other shareholders to purchase Sprouts’ securities at artificially inflated prices.
On October 29, 2025, Sprouts unveiled its third quarter fiscal 2025 results, which highlighted a worrying 4.3% decrease in comparable stores growth compared to the prior quarter, below the company’s previous projections. Management further unveiled a continued reduction of comp sales into the fourth quarter, projecting only a 0%-2% growth, and reduced their full year expectations ass well from 7.5% – 9% last quarter to only 7%. While Sprouts is attributing its shortfall to challenging year-over-year comparisons and a softening consumer, just last quarter management attested to their “resilience almost irrespective of what happens in the macro economy.”
Following this news, Sprouts’ stock price fell by $22.64 per share to open at $81.91 per share.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding Sprouts’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
To learn more about the Sprouts Farmers Market class action, go to www.faruqilaw.com/SFM or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
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