Stanley Black & Decker, Inc. (NYSE: SWK)

This lawsuit is for anyone who acquired securities in Stanley Black & Decker, Inc. (NYSE: SWK) from October 28, 2021 through July 28, 2022.

The Law Offices of Howard G. Smith believes that the Company and certain of its executives violated federal law. Specifically, the Law Offices of Howard G. Smith believes that, throughout the time period mentioned above, the Company misled investors regarding its financial condition. More specifically, the Law Offices of Howard G. Smith believes that the Company misled investors by telling investors that the Company expected the growth it was experiencing to continue when the Company knew that rising interest rates, inflation, and trends in returning to work away from home were in fact quickly eroding then-heightened demand for Stanley’s tools and outdoor products.

On April 28, 2022, Stanley disclosed that its net sales for its Tools and Outdoor segment had dropped in the first fiscal quarter of 2022 and that the Company was revising its earnings per share guidance for fiscal year 2022 in response. The Company also revealed that its gross margin for the quarter dropped “610 basis points from prior year as price realization was more than offset primarily by commodity inflation, higher supply chain costs to serve demand and lower volumes.” On this news, the price of the Company’s stock dropped precipitously on unusually heavy trading volume. Then, on July 28, 2022, before the market opened, Stanley released its second quarter 2022 financial results, disclosing that due to “significantly slower demand,” sales volumes had shrunk by double digits and that the Company’s net income at $87.6 million, compared to $459.5 million the year prior. Stanley also announced that it was cutting its 2022 earnings per share guidance by nearly half. 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 Stanley Black & Decker, Inc. (NYSE: SWK) from October 28, 2021 through July 28, 2022 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.