DICK’S Sporting Goods investors have until Nov. 3 to seek lead-plaintiff status in a proposed securities lawsuit against the retailer over allegations tied to Foot Locker’s inventory and sales outlook.
Rosen Law Firm said in an Oct. 30 notice that the proposed class covers common-stock purchases from Sept. 8, 2025, through Aug. 24, 2026. Investors seeking appointment as lead plaintiff must move by Nov. 3, the firm said; no class has been certified.
A court docket listing shows that the case, brought by Plumbers & Pipefitters Local Union #295 Pension Fund, was filed Sept. 4 in the U.S. District Court for the Western District of Pennsylvania. It names DICK’S, Executive Chairman Edward W. Stack, President and CEO Lauren R. Hobart and Navdeep Gupta as defendants.
DICK’S completed its Foot Locker acquisition on Sept. 8, 2025, the first day of the proposed class period. For the 13 weeks ended Aug. 1, 2026, the company reported 4.9% comparable-sales growth in its DICK’S Business, while pro forma comparable sales in the Foot Locker Business fell 3.6%.
Rosen’s notice says the complaint links unresolved stock-management issues at Foot Locker and its exposure to promotions with risks to DICK’S inventory and earnings. It also says the filing challenges whether the retailer could meet the financial targets it had presented to investors. Those claims are allegations, not court findings.
In August, DICK’S lowered its fiscal 2026 net-sales outlook to between $21.9 billion and $22.2 billion, from a May range of $22.1 billion to $22.4 billion. Its Foot Locker comparable-sales forecast shifted from growth of 1.5% to 3% to a range between a 2% decline and no change.
Stack said market conditions weighed more heavily on Foot Locker because older footwear styles made up a larger part of its business. He also pointed to fewer footwear launches in the quarter, which fell short of industry and company expectations.
DICK’S said it was reviewing underperforming Foot Locker assets through inventory optimization, store closures and other asset reductions. It reported $125.8 million in pretax charges for the 26 weeks ended Aug. 1, including $40.4 million for inventory write-downs and liquidation and $85.4 million in merger and integration costs. Charges to date totaled $515.8 million.
Investors seeking appointment as lead plaintiff must move by Nov. 3, according to Rosen’s notice.
