Neogen Class Action Lawsuit: Breaking: Neogen Corporation Faces Massive Eye-opening Class Action Lawsuit Over Astonishing Financial Reports [2025]

The Neogen Class Action Lawsuit has drawn most important attention after the company’s stock took a dramatic 28.7% dive to $5.02 per share on April 9, 2025. Our team has monitored this evolving case that aims to help investors recover their losses from alleged securities fraud between January 5, 2023 and June 3, 2025.

The Neogen Lawsuit emerged from concerning financial revelations, including a massive $461 million non-cash goodwill impairment charge tied to its 3M Company acquisition. This news triggered an original 5.4% stock price decline to $12.36 per share on January 10, 2025. The company later disclosed that quarterly revenue fell 3.4% in part due to integration problems. Investors who bought Neogen shares during this period should know that September 16, 2025 marks the deadline to apply as lead plaintiff. The legal complaint states that defendants made materially false and misleading statements throughout the class period.

Please see the various investor resources below for an additional wealth of information.

Lead Plaintiff Deadlines

Investor Resources

Frequently Asked Questions

Shareholder Rights

Timeline of Events

Report a Fraud

Neogen faces class action over misleading financial statements

A class action lawsuit was filed on July 18, 2025, against Neogen Corporation and two of its top executives by Operating Engineers Construction Industry and Miscellaneous Pension Fund. The case sits in the U.S. District Court for the Western District of Michigan and claims violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5.

Neogen and its executives allegedly made false and misleading statements about their integration with the Food Safety Division of the 3M Company after their $5.30 billion merger closed in September 2022. The complaint states that defendants led investors to believe the integration was going much better than reality.

The legal action claims that Neogen officials played down these issues when they admitted certain “inefficiencies” in the integration. They assured investors they knew how to resolve these problems quickly. The integration faced serious problems from the beginning, and the company knew these issues would require a goodwill impairment that would hurt capital expenditures, revenues, and EBITDA margins.

Neogen painted a false picture of the 3M integration status and didn’t reveal how these problems would affect the company’s finances. The truth came out through several disclosures starting January 10, 2025, and investors lost money as the stock price dropped sharply.

The plaintiffs’ representatives states that during the class period, Neogen’s executives:

• Painted a false picture of the 3M merger integration’s success
• Hid financial risks, including impairment and margin erosion
• Kept investors in the dark about internal problems and leadership issues

The Neogen Class Action Lawsuit wants to recover damages for everyone who bought or acquired Neogen common stock between January 5, 2023, and June 3, 2025. Shareholders affected by this have until September 16, 2025, to file a lead plaintiff motion.

Investors report losses after stock drops on key disclosures

Neogen’s investors faced massive financial losses after three major announcements sent the stock price tumbling in early 2025. The company’s market value dropped by 79% from August 2023 to June 2025, wiping out more than $4 billion in market value.

The company’s troubles began on January 10, 2025. Neogen revealed a massive $461 million non-cash goodwill impairment charge tied to its 3M acquisition. The company also admitted to having material weaknesses in its internal financial controls as of November 30, 2024. This news pushed the stock down 5.4% to $12.36 per share.

Things got worse on April 9, 2025. Quarterly revenue fell by 3.4% to $221 million because of integration issues. The company lowered its full-year revenue and EBITDA forecasts and announced CEO John Adent’s departure. The market reacted harshly as shares crashed 28.7%, closing at $5.02.

The final hit came on June 4, 2025. Neogen warned that its EBITDA margin would drop to “around the high-teens” from the previous quarter’s 22%. The company blamed “elevated inventory write-offs” for this decline. The stock price fell another 17.3% to $4.96 per share.

Financial analysts quickly adjusted their outlook. Piper Sandler dropped its price target from $6.40 to $5.00, and Guggenheim cut its target from $13.00 to $10.00.

Management claimed that “Food Safety is an end market that has historically been relatively insulated against periods of economic weakness”. Yet investors took heavy losses. The company now expects full-year revenue around $895 million and adjusted EBITDA near $195 million, much lower than earlier predictions.

Law firms urge affected shareholders to join Neogen lawsuit

Law firms actively seek Neogen shareholders who lost money to join the class action lawsuit. Affected investors should act quickly since the deadline to file a lead plaintiff motion ends September 16, 2025.

Shareholders qualify to join the lawsuit if they bought Neogen common stock between January 5, 2023, and June 3, 2025. You can serve as lead plaintiff if you’ve had substantial losses, but this isn’t mandatory to receive potential compensation.

A lead plaintiff represents other class members and guides the litigation process. Investors must submit formal court papers by the September deadline to explain why they should receive the appointment.

If you suffered substantial losses and wish to serve as lead plaintiff of the Neogen class action lawsuit, or just have general questions about you rights as a shareholder, please contact attorney Timothy L. Miles of the Law Offices of Timothy L. Miles, at no cost, by calling 855/846-6529 or via e-mail at tmiles@timmileslaw.com.

Shareholders thinking over joining the lawsuit should know most representation works on a contingency fee basis. This means you’ll pay nothing unless there’s a successful recovery. One firm states clearly: “Shareholders are not responsible for any court costs or expenses of litigation”.

It’s worth mentioning that no class certification exists yet. Until then, you’ll need to hire your own counsel for representation. Shareholders can choose their preferred counsel or stay an absent class member.

The Private Securities Litigation Reform Act of 1995 lets any investor who bought Neogen common stock during the class period seek lead plaintiff appointment. Your chance to share in future recovery doesn’t depend on becoming lead plaintiff.

Conclusion

The Neogen Class Action Lawsuit poses a major legal challenge after the company’s troubled merger with 3M’s Food Safety Division. Shareholders who invested between January 5, 2023, and June 3, 2025, lost money as the company’s stock crashed by 79%. This massive decline wiped out over $4 billion in market value. The stock price fell after three key revelations: a $461 million goodwill impairment charge, material weaknesses in financial controls, falling quarterly revenue, and smaller profit margins.

The Neogen Lawsuit targets Neogen and its executives for making misleading statements about the merger process. Company officials knew about serious problems but downplayed them, even though these issues would hurt their financial results. The truth came out slowly, and investors watched their money disappear faster with each disclosure.

Shareholders can still take action. Several law firms want people to join the class action before the September 16, 2025 deadline. Most lawyers work on contingency fees, so investors pay nothing unless they win compensation.

This case shows why companies must be honest during big mergers and restructuring. Financial analysts have cut their price targets for Neogen stock. The court will decide if the company misled investors about its merger problems and financial health, which could lead to payouts for affected shareholders.

Key Takeaways

Neogen Corporation faces a major class action lawsuit that could significantly impact investors and highlight critical issues in corporate financial transparency during major acquisitions.

• Neogen stock plummeted 79% from August 2023 to June 2025, erasing over $4 billion in market value following misleading integration claims with 3M’s Food Safety Division.

• The lawsuit alleges executives deliberately concealed a $461 million goodwill impairment and material financial weaknesses while publicly downplaying integration problems.

• Affected shareholders who purchased stock between January 5, 2023, and June 3, 2025, have until September 16, 2025, to join the class action with no upfront legal fees.

• Three major disclosures triggered dramatic stock drops: 5.4% after the goodwill impairment announcement, 28.7% following revenue decline and CEO exit, and 17.3% on EBITDA margin warnings.

• The case demonstrates how corporate misrepresentation during major acquisitions can devastate investor portfolios and underscores the importance of transparent financial reporting.

This lawsuit serves as a stark reminder that investors must carefully scrutinize corporate communications during major integrations, as management assurances may not always reflect underlying operational realities.

Frequently Asked Questions about the Neogen Lawsuit

Q1. What is the Neogen lawsuit about? The Neogen Lawsuit alleges that Neogen Corporation made false and misleading statements about its integration with 3M’s Food Safety Division, leading to significant financial losses for investors who purchased stock between January 2023 and June 2025.

Q2. How much did Neogen’s stock price drop during the period in question? Neogen’s stock price plummeted by approximately 79% from August 2023 to June 2025, erasing over $4 billion in market capitalization due to a series of negative disclosures.

Q3. What are the key allegations against Neogen lawsuit? The Neogen Lawsuit claims that Neogen misrepresented the success of its 3M merger integration, concealed material financial risks, and withheld information about internal problems and leadership instability from investors.

Q4. How can affected shareholders participate in the Neogen lawsuit? Shareholders who purchased Neogen common stock between January 5, 2023, and June 3, 2025, can join the lawsuit. The deadline to file a lead plaintiff motion is September 16, 2025, but participation doesn’t require lead plaintiff status.

Q5. Are there any upfront costs for shareholders joining the lawsuit? Most law firms are handling the case on a contingency fee basis, meaning shareholders typically pay no upfront fees or expenses unless there is a successful recovery in the lawsuit.