MGP Ingredients Investors Alert: Class Action Lawsuit Filed

NEW YORK, Dec. 31, 2024 (GLOBE NEWSWIRE) -- Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC, a well-known law firm, has announced that a class action lawsuit has been initiated against MGP Ingredients, Inc. ("MGP Ingredients" or "the Company") and some of its executives.

Class Action Details

This lawsuit aims to recover losses for individuals and entities that purchased or acquired MGP Ingredients securities between May 3, 2023, and October 30, 2024, during the "Class Period." Those affected are encouraged to participate in the lawsuit by visiting the law firm's website.

Allegations Against MGP Ingredients

The legal complaint claims that during the Class Period, MGP Ingredients made incorrect and misleading statements and failed to disclose significant problems, including a decline in consumption and an oversupply of their products, particularly their American whiskies and tequila.

On February 22, 2024, MGP Ingredients announced its guidance for fiscal year 2024, with projections that were 4.9% lower than what analysts expected. During that earnings call, CEO David S. Bratcher confirmed troubling industry trends, indicating that inventory issues at a wholesale level would continue to plague the branded spirits market throughout 2024. Following this news, MGP Ingredients’ stock dropped by $13.65 per share, a decline of 14.86%, closing at $78.18 per share.

Further issues arose on October 17, 2024, when the company acknowledged that weak demand and accumulation of high inventory levels were hurting sales. The next day, Wells Fargo issued a report reducing its target price for MGP Ingredients, noting the Company’s ongoing credibility challenges. As a result, MGP Ingredients’ stock plummeted by $19.71 per share, a 24.16% decrease, closing at $61.86 per share on October 18, 2024. Finally, on October 31, 2024, the Company revealed that excess inventories would significantly affect sales in 2025, leading to cost-saving measures and a further drop in stock price by $8.27 per share, or 14.69%, to $48.04.

Next Steps for Investors

A class action lawsuit has already been filed against MGP Ingredients. Investors who wish to see the details of the Complaint can visit the law firm's website or contact attorney Peretz Bronstein or Client Relations Manager Nathan Miller at the provided phone number. For those who incurred losses in MGP Ingredients, action must be taken before February 14, 2025, if they wish to seek the role of lead plaintiff. However, being a lead plaintiff is not a requirement to receive any potential recovery.

No Financial Risk

Bronstein, Gewirtz & Grossman, LLC represents investors on a contingency fee basis. This means that they will request reimbursement of expenses and attorney fees only if they succeed in recovering funds for investors.

About Bronstein, Gewirtz & Grossman

Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that advocates for investors in class actions involving securities fraud and other shareholder-related issues. The firm has successfully recovered hundreds of millions of dollars for investors across the nation.

For updates, you can follow the firm on various platforms.

Attorney advertising. Past outcomes do not ensure similar results.

Contact Information

For more details, reach out to Bronstein, Gewirtz & Grossman, LLC:

Peretz Bronstein or Nathan Miller

Phone: 332-239-2660

Email: [email protected]

lawsuit, MGP, investors