#USA #New York #Class Action #Pomerantz Law Firm #Dow Inc.

Pomerantz Law Firm Files Class Action Against Dow Inc.

On October 3, 2025, the Pomerantz Law Firm announced that it has filed a class action lawsuit against Dow Inc. (NYSE: DOW) and several of its officers. This legal action is taking place in the United States District Court for the Eastern District of Michigan and is registered under docket number 25-cv-12744. The case is being pursued on behalf of all individuals and entities who purchased or otherwise acquired Dow securities between January 30, 2025, and July 23, 2025, collectively referred to as the “Class Period.” The lawsuit seeks to recover damages stemming from violations of federal securities laws and aims to implement remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, along with Rule 10b-5.

Investors who fulfilled the criteria of purchasing Dow securities during the Class Period have until October 28, 2025, to request their appointment as Lead Plaintiff for the class action. Interested parties can obtain a copy of the complaint through Pomerantz Law Firm's website or can contact Danielle Peyton at 646-581-9980 for additional information.

Background on Dow Inc.

Dow Inc. is an American materials science company that provides a range of products across industries including packaging, infrastructure, mobility, and consumer applications. Its operations are organized into three main segments: Packaging & Specialty Plastics, Industrial Intermediates & Infrastructure, and Performance Materials & Coatings. The company has historically marketed itself with a strong emphasis on its attractive dividend to investors, which has been a key aspect of its investment appeal. CEO Jim Fitterling has repeatedly acknowledged the significance of the dividend, highlighting that over 65% of Dow's shareholders depend on these payouts.

Despite historical strength, the materials science industry has faced an ongoing downturn, exacerbated by trade uncertainties and tariffs. Throughout this challenging period, Dow’s executives claimed the company was in a robust position to navigate through these difficulties, pointing to their strategic advantages—including a differentiated portfolio and cost-competitive operations—as crucial for maintaining financial flexibility and supporting dividend distributions.

However, the lawsuit alleges that during the Class Period, Dow’s management made materially false and misleading statements regarding the company’s operational health and future prospects. Specifically, the complaint asserts that Dow exaggerated its abilities to withstand economic headwinds and failed to disclose the actual negative impacts of market pressures. It highlights that competitive dynamics, declining global demand for Dow's products, and unsustainable pricing strategies were downplayed in official communications.

On June 23, 2025, BMO Capital downgraded its recommendation for Dow to “Underperform” due to persistent weaknesses in key markets, revising the expected stock price target downward significantly. Following these developments, Dow's stock dropped over 3% in response to the downgrade.

Subsequently, on July 24, 2025, Dow released its disappointing financial results for the second quarter of 2025, reporting losses far exceeding analysts' expectations. The firm recorded a loss per share of $0.42 and a notable decrease in net sales, which fell short by $130 million compared to projections. Compounding these financial woes, Dow announced a cut in its dividend from $0.70 to $0.35 per share, citing the need for enhanced financial flexibility amid ongoing market challenges. This announcement led to an immediate stock price plunge of approximately 17.45%.

Importance of the Class Action

The Pomerantz Law Firm’s class action lawsuit is significant for shareholders who feel misled by Dow's management regarding the company’s financial stability and operational capabilities. The outcome of this case could have serious implications not only for Dow Inc. but for the broader investment community, highlighting the importance of transparency and accountability in corporate governance. Pomerantz LLP is recognized as a leading firm specializing in corporate class action litigation, with a long history of advocating for investors' rights. Whether the company can navigate these legal challenges remains to be seen, and investors are urged to closely monitor developments in this high-stakes litigation.

For more information on participation in this action or to review the full complaint, potential class members should visit Pomerantz Law Firm’s website.