Kehoe Law Firm, P.C. is investigating potential securities fraud claims on behalf of investors of Canopy Growth Corporation (“Canopy Growth” or “Canopy”) (NASDAQ:CGC).
Securities Class Action Lawsuit Filed
On April 4, 2025, a class action complaint alleging violations of the federal securities laws was filed against Canopy Growth in United States District Court, Eastern District of New York (Case No. 1:25-cv-01877), on behalf of investors who purchased or otherwise acquired Canopy Growth securities between May 30, 2024 and February 6, 2025, both dates inclusive (the “Class Period”).
The class action lawsuit is pursuing remedies against Canopy and certain of its top officials under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder.
Class Action Allegations
According to the complaint, throughout the Class Period, the Canopy Growth Defendants allegedly made false and/or misleading statements and/or failed to disclose that 1) Canopy incurred significant costs producing Claybourne pre-rolled joints in connection with the Claybourne product launch in Canada; 2) these costs, along with indirect costs related to its Storz & Bickel vaporizer devices, were likely to have a significant negative impact on Canopy Growth’s gross margins and overall financial results; and 3) as a result, the Canopy Growth Defendants overstated the effectiveness of Canopy’s cost reduction measures and the health of its gross margins while downplaying related issues.
Canopy Growth Investors May Have Legal Claims
Investors who acquired Canopy Growth securities during the Class Period are encouraged to complete Kehoe Law Firm’s Stockholder Information Request Form or send us a message to contact an attorney to discuss the class action lawsuit and receive a free, no-obligation evaluation of potential legal claims.
Canopy Growth shareholders can also contact Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, [email protected], [email protected].
About Kehoe Law Firm, P.C.
Kehoe Law Firm, P.C. is a nationally recognized, plaintiff-side class action firm dedicated to protecting investors and consumers from fraud and misconduct. Our attorneys have served as Lead or Co-Lead Counsel in major securities cases, recovering over $10 billion for institutional and individual investors.
Our firm litigates securities fraud, fiduciary breaches, unfair mergers and acquisitions, and antitrust violations, while also representing whistleblowers and advocating for victims of data breaches, consumer fraud, vehicle and product defects, employment law violations, retirement plan mismanagement, and other corporate and business misconduct. With a results-driven approach, we pursue justice and substantial recoveries for those we represent.
Kehoe Law Firm’s class action legal services are provided on a contingency-fee basis, meaning clients are not responsible for any fees or litigation expenses.
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