Class action against Simply Good Foods

Pomerantz LLP has filed a class action lawsuit against Atkins Nutritionals, alleging securities fraud and unlawful business practices. The suit claims that the company and certain officers/directors failed to disclose a product quality issue in its OWYN segment, which led to declining sales and significant stock price drops. On October 23, 2025, the company reported Q4 results revealing a slowdown in OWYN sales growth, and CEO Geoff E. Tanner disclosed that a raw material sourcing decision for pea protein caused taste and texture issues, leading to negative reviews and depressed sales. The stock fell 17.35% to $20.63. On April 9, 2026, Q2 results showed OWYN sales contracted nearly 17% year-over-year, and the company took a $187 million impairment charge and slashed its 2026 net sales outlook to negative 7% to negative 10%, causing another 18.11% drop to $11.80. Investors have until October 13, 2026, to seek lead plaintiff status.