The Simply Good Foods Company (NASDAQ: SMPL)

This lawsuit is for anyone who acquired securities in The Simply Good Foods Company (NASDAQ: SMPL) from October 24, 2024 through April 8, 2026.

The lawsuit alleges that the Company and certain of its executives violated federal law. Specifically, the lawsuit alleges that, throughout the time period mentioned above, the Company misled investors regarding its financial condition. More specifically, the lawsuit alleges that the Company misled investors by, among other things, failing to timely disclose that the addition of a new pea protein supplier for OWYN formulations prior to the Company’s acquisition of OWYN had created significant product quality issues which had negatively impacted the taste, texture, and shelf-life of OWYN products, leading to negative product reviews, depressed consumer sales, and the loss of important distributor relationships.

On October 23, 2025, Simply Good Foods announced its fourth quarter and full year results for the year ending August 30, 2025, revealing that, among other things, the recently acquired Only What You Need (“OWYN”) segment suffered a slowdown in sales growth. During the accompanying earnings call held the same day, the Company’s management revealed “a raw material sourcing decision for pea protein” had “resulted in taste and texture issues” leading to depressed sales. On this news, the price of the Company’s stock dropped precipitously on unusually heavy trading volume. Then, on April 9, 2026, the Company announced its second quarter of 2026 earnings results, revealing that consumer consumption had plummeted across all of the Company’s brands and OWYN’s quarterly sales has contracted by nearly 17% year-over-year. Simply Good Foods Company further revealed a $187 million impairment charge against OWYN brand intangible assets and slashed its 2026 net sales outlook to a range of negative 7% to negative 10%. During the accompanying earnings call, held the same day, the Company’s management acknowledged it had “made some strategic choices” that “ultimately weakened” the performance of its brands, including OWYN, and that OWYN had failed to meet the Company’s “own expectations” including due to a “a product quality issue.” On this news, the price of the Company’s stock again dropped precipitously on unusually heavy trading volume.

The Law Offices of Howard G. Smith seeks to recover damages on behalf of class members. If you acquired securities in The Simply Good Foods Company (NASDAQ: SMPL) from October 24, 2024 through April 8, 2026 you may join the lawsuit by submitting your information online, or you may call the Law Offices of Howard G. Smith and speak to Mr. Smith directly to learn how he can protect your rights.