Investors Alert: Robbins LLP Launches Class Action Against Dow Inc. Over Financial Claims

Investor Alert: Class Action Lawsuit Against Dow Inc.

Robbins LLP has initiated a class action lawsuit on behalf of investors who acquired securities of Dow Inc. (listed as NYSE: DOW) between January 30, 2025, and July 23, 2025. The lawsuit amounts to a direct challenge against the American materials science giant, which boasts clientele in packaging, infrastructure, mobility, and consumer application sectors.

Reasons Behind the Lawsuit

The allegations stem from claims that Dow Inc. failed to adequately disclose its true business predicament and the potential impact of macroeconomic factors on its operations. According to the lawsuit, significant factors were overlooked.
1. The company's asserted capacity to navigate macroeconomic challenges and maintain the financial flexibility necessary for sustaining its attractive dividend has been called into question.
2. The severity of issues affecting Dow's business prospects, particularly related to competitive pressures, diminished global sales, and product oversupply, was understated more than once.

As reported in the complaint, on June 23, 2025, financial firm BMO made a decision to downgrade Dow's stock from “Market Perform” to “Underperform,” simultaneously reducing the target price from $29.00 to $22.00 per share. The reaction was immediate, with Dow's stock plummeting by 3.21% to close at $26.87 per share that same day.

Then, on July 24, Dow released its disappointing financial results for Q2 2025, revealing a non-GAAP loss of $0.42 per share, which starkly contrasted with analyst expectations of a smaller loss ranging from $0.17 to $0.18. Additionally, Dow's net sales for the quarter reached $10.1 billion, reflecting a year-over-year decline of 7.3% that fell short of estimates by $130 million.

The release also disclosed a cut in the company’s dividend by half, prompting an immediate drop in the stock price by 17.45%, resulting in a closing price of $25.07 per share.

What's Next?

Investors and shareholders who believe they may qualify to participate in this class action are encouraged to act. Those wishing to serve as lead plaintiffs for the class, representing other affected shareholders, are urged to contact Robbins LLP. Importantly, participation in this lawsuit will not require a financial commitment upfront: all representation will function on a contingency fee basis, thus no fees or expenses will be incurred by shareholders unless they benefit from the case.

Robbins LLP has established a reputation in shareholder rights litigation, having been dedicated to empowering investors since its inception in 2002. Their mission includes assisting investors in recouping losses and holding corporate executives accountable for misconduct.

For those interested, signing up for notifications about this class action or keeping track of corporate wrongdoing is possible through their platform, Stock Watch.

Conclusion

With the upcoming legal proceedings, this case highlights the importance of transparency in corporate governance and investor rights. As the situation develops, Robbins LLP is positioned to support stakeholders in addressing grievances stemming from inadequate disclosures by Dow Inc. If you are an affected investor, consider reaching out to Robbins LLP or reviewing information on their website for further steps.