Sprouts Farmers Market Faces Federal Securities Class Action in Arizona After Guidance Cut

Overview

• The case, Singh Family Revocable Trust v. Sprouts Farmers Market, Inc. (No. 2:25-cv-04416), was filed in the U.S. District Court for the District of Arizona.
• The complaint alleges executives overstated 2025 growth prospects and customer resilience while concealing risks of a potential sales slowdown.
• On October 29, 2025, Sprouts reported weaker third‑quarter results, issued disappointing fourth‑quarter guidance, and cut full‑year estimates, citing tough comparisons and a softening consumer.
• Sprouts’ shares dropped about 26% the next day, falling from $104.55 to $77.25.
• Levi & Korsinsky, Robbins LLP, and Bronstein, Gewirtz & Grossman are notifying shareholders and recruiting class members on a contingency basis, with participation not requiring service as lead plaintiff.