A securities class action has been filed against BellRing Brands, Inc. (BRBR) on behalf of persons and entities that purchased or otherwise acquired BellRing securities between November 19, 2024 through August 4, 2025. This case has been filed in the USDC – SDNY.
BellRing Brands operates in the convenient nutrition category. The Company’s primary brands include Premier Protein and Dymatize, which offer ready-to-drink (“RTD”) protein shakes and powders. During the relevant period, the Company stated that Premier Protein “hit an all-time high in household penetration” and that “demand remains strong.” The Company also stated that its growth was “strong in all channels,” driven by “distribution expansion, accelerating velocities and incremental promotional activity.”
In truth, the Company’s sales growth during the relevant period may have been driven by temporary trade inventory loading at several key retailers, not sustainable end-consumer demand.
On May 5, 2025, after market hours, BellRing revealed that starting in Q2 2025, “several key retailers lowered their weeks of supply on hand,” which would create a headwind to Q3 2025 growth. The Company also announced it was expanding promotions to boost sales and “offset [] third quarter reductions in retailer trade inventory levels.” On this news, the price of BellRing stock declined $14.88 per share, or 19%, from $78.43 per share on May 5, 2025, to close at $63.55 per share on May 6, 2025, on unusually heavy trading volume.
Then, on August 4, 2025, after market hours, BellRing announced disappointing quarterly consumption of Premier Protein RTD Shakes, which had been expected to outpace shipments by a wider margin given previously announced retailer destocking, but instead came “more in line” with shipments. On this news, the price of BellRing Brands stock fell $17.46 per share, or nearly 33%, from $53.64 per share on August 4, 2025, to $36.18 per share on August 5, 2025.