SAN FRANCISCO, CA / ACCESSWIRE / December 24, 2024 / National plaintiffs law firm Lieff Cabraser Heimann & Bernstein, LLP encourages investors in MGP Ingredients, Inc. ("MGPI" or the "Company") (NASDAQ:MGPI) who purchased or otherwise acquired MGPI common stock between May 4, 2023, and October 30, 2024, inclusive (the "Class Period") to contact us immediately regarding a pending securities class action against MGPI. The deadline to apply to be lead plaintiff is February 14, 2025.
Class Period: May 4, 2023 - October 30, 2024
Lead Plaintiff Motion Deadline: February 14, 2025
Case information: https://www.lieffcabraser.com/securities/mgpi/
Contact us: Email or text investorinfo@lchb.com or call 1-800-541-7358
MGPI, incorporated and headquartered in Atchison, Kansas, manufactures, distills, and sells alcoholic beverages such as tequila, bourbon, rye, and other whiskeys, as well as grain-neutral spirits such as vodka and gin. Demand for liquor, hard liquor in particular, rose in 2020 due to the COVID-19 pandemic.
The action alleges that, throughout the Class Period, MGPI and certain of its senior executives made materially false and misleading statements regarding the Company's business and demand for its liquor products. Specifically, Defendants falsely and repeatedly assured investors that the Company was not facing excess inventory issues and demand for its products remained strong.
On February 22, 2024, the truth began to emerge. The Company issued full-year 2024 revenue guidance that was below industry consensus and noted that "inventory destocking at a wholesale level will remain an issue for the branded spirits industry in 2024." The Company's new CEO and President assured that the Company had worked hard to manage wholesale inventory levels and that demand for its products remained healthy. Following this news, MGPI's common stock price fell by $13.65 per share, or nearly 15%, to close at $78.14 per share on February 22, 2024.
On October 17, 2024, MGPI revealed that soft demand and high inventories were in fact undermining its sales. On this news, MGPI's stock price declined by $24.07, or nearly 30%, over the next three trading days to close at $57.50 on October 22, 2024.
Finally, on October 31, 2024, the Company stated that it would have to "scale down our whiskey production" and that "further inventory tightening is a headwind in the near term." On this news, MGPI's stock price declined by another $8.27, or nearly 15%, to a closing price of $48.04 on October 31, 2024.
About Lieff Cabraser
Lieff Cabraser Heimann & Bernstein, LLP, with over 125 attorneys in offices in San Francisco, New York, Nashville, and Munich, Germany, is an internationally-recognized law firm committed to advancing the rights of investors and promoting corporate responsibility. Repeatedly recognized as a "Plaintiffs' Powerhouse" by Law360, Lieff Cabraser has litigated some of the most important civil cases in the United States, and has assisted clients in recovering over $129 billion in verdicts and settlements. For over 50 years, Lieff Cabraser has remained committed to ensuring access to justice for all.
Source/Contact
Sharon Lee
Lieff Cabraser Heimann & Bernstein, LLP
415 956-1000
slee@lchb.com
SOURCE: Lieff Cabraser Heimann & Bernstein
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