Investigations
Atkore Inc.
Overview
Overview
- Deadline:
- Apr 23, 2025
| Company Name: | Company Name: Atkore Inc. |
| Stock Symbol: | Stock Symbol: ATKR |
Atkore Inc. (NYSE: ATKR): Atkore Inc. (“Atkore” or the “Company”) and certain of the Company’s senior executives have been sued for violations of the federal securities laws. The complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors in Atkore stock. The case is pending in the U.S. District Court for the Northern District of Illinois and is captioned Westchester Putnam Counties Heavy & Highway Laborers Local 60 Benefits Fund v. Atkore Inc., et al., No. 25-cv-01851.
If you incurred losses on your investments in Atkore, you are encouraged to submit your information.
Why was Atkore Sued for Securities Fraud?
Atkore manufactures electrical, safety, and infrastructure products including polyvinyl chloride water and electrical conduit pipes (“PVC Pipe”). During the COVID-19 pandemic, shipping costs rose dramatically, leaving foreign PVC Pipe manufacturers unable to profitably sell PVC Pipe in the U.S. Atkore and other U.S.-based PVC Pipe manufacturers allegedly took advantage of the absence of foreign competitors and began exchanging confidential and competitively sensitive information with each other which allowed the companies to coordinate pricing actions and fix the price of PVC Pipes.
As shipping prices returned to normal levels when the pandemic subsided in 2022, foreign PVC Pipe manufacturers gradually returned to the U.S. market. Shortly thereafter, in late 2022, the price of PVC Pipe began to decline.
As alleged, Atkore repeatedly misrepresented that post-pandemic PVC Pipe price declines were the result of “pricing normalization” that reflected “competitive dynamics” and assured investors that the Company would continue to successfully compete in the post-COVID-19 market.
On July 24, 2024, an activist investor named ManBear published a report titled “Pipe Price Fixing” which accused Atkore and three of its competitors of using the commodity pricing service OPIS to coordinate pricing actions and fix the price of PVC Pipe. The report further stated that the price fixing scheme “resulted in massively inflated” PVC Pipe prices that “defy economic logic.” Atkore quickly denied the allegations, assuring investors they were “unsubstantiated.”
The Stock Declines as the Truth is Revealed
On February 4, 2025, Atkore announced financial results for 1Q 25, reporting net sales of $661.6 million, below analysts’ estimates of $680.7 million. The Company also significantly reduced its financial guidance for 2025. Atkore also disclosed that the “plastic pipe and conduit product category declined mid-single digits during the quarter” compared to “high single digits in the prior year,” and largely attributed the guidance reduction to Atkore’s PVC Pipe business, stating, “roughly $75 million or 3/4 [of the guidance reduction] is on the PVC side.” As alleged, Atkore reported poor financial results and reduced guidance because the Company and its competitors were forced to halt their price fixing scheme after the return of foreign manufacturers to the U.S. market that were not involved in the scheme, as well as the public accusations concerning the scheme.
This news caused the price of Atkore stock to decline nearly 20%, from $79.72 per share on February 3, 2025 to $64.13 per share on February 4, 2025.
On February 14, 2025, Atkore disclosed that it received a grand jury subpoena from the U.S. Department of Justice Antitrust Division seeking the “production of documents relating to the pricing of the Company’s PVC pipe and conduit products.”
What are my Rights?
If you purchased or otherwise acquired Atkore securities, you may ask the Court no later than April 23, 2025, which is the first business day after 60 days from the date of the publication of notice of pendency of the action, to appoint you as Lead Plaintiff through counsel of your choice. To be a member of the Class, you need not take any action at this time. The ability to share in any potential future recovery is not dependent on serving as Lead Plaintiff.
If you incurred losses on your investments in Atkore, you are encouraged to submit your information to speak with an attorney about your rights.
You can also contact:
Ross Shikowitz
ross@bfalaw.com
212-789-3619
All representation is on a contingency fee basis. Shareholders are not responsible for any court costs or expenses of litigation. The Firm will seek court approval for any potential fees and expenses.
Why Bleichmar Fonti & Auld LLP?
BFA is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation. It was named among the Top 5 plaintiff law firms by ISS SCAS in 2023 and its attorneys have been named Titans of the Plaintiffs’ Bar by Law360 and SuperLawyers by Thompson Reuters. Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.’s Board of Directors, as well as $420 million from Teva Pharmaceutical Ind. Ltd.
Attorney advertising. Past results do not guarantee future outcomes.
If you incurred losses on your investments in Atkore, you are encouraged to submit your information.
Why was Atkore Sued for Securities Fraud?
Atkore manufactures electrical, safety, and infrastructure products including polyvinyl chloride water and electrical conduit pipes (“PVC Pipe”). During the COVID-19 pandemic, shipping costs rose dramatically, leaving foreign PVC Pipe manufacturers unable to profitably sell PVC Pipe in the U.S. Atkore and other U.S.-based PVC Pipe manufacturers allegedly took advantage of the absence of foreign competitors and began exchanging confidential and competitively sensitive information with each other which allowed the companies to coordinate pricing actions and fix the price of PVC Pipes.
As shipping prices returned to normal levels when the pandemic subsided in 2022, foreign PVC Pipe manufacturers gradually returned to the U.S. market. Shortly thereafter, in late 2022, the price of PVC Pipe began to decline.
As alleged, Atkore repeatedly misrepresented that post-pandemic PVC Pipe price declines were the result of “pricing normalization” that reflected “competitive dynamics” and assured investors that the Company would continue to successfully compete in the post-COVID-19 market.
On July 24, 2024, an activist investor named ManBear published a report titled “Pipe Price Fixing” which accused Atkore and three of its competitors of using the commodity pricing service OPIS to coordinate pricing actions and fix the price of PVC Pipe. The report further stated that the price fixing scheme “resulted in massively inflated” PVC Pipe prices that “defy economic logic.” Atkore quickly denied the allegations, assuring investors they were “unsubstantiated.”
The Stock Declines as the Truth is Revealed
On February 4, 2025, Atkore announced financial results for 1Q 25, reporting net sales of $661.6 million, below analysts’ estimates of $680.7 million. The Company also significantly reduced its financial guidance for 2025. Atkore also disclosed that the “plastic pipe and conduit product category declined mid-single digits during the quarter” compared to “high single digits in the prior year,” and largely attributed the guidance reduction to Atkore’s PVC Pipe business, stating, “roughly $75 million or 3/4 [of the guidance reduction] is on the PVC side.” As alleged, Atkore reported poor financial results and reduced guidance because the Company and its competitors were forced to halt their price fixing scheme after the return of foreign manufacturers to the U.S. market that were not involved in the scheme, as well as the public accusations concerning the scheme.
This news caused the price of Atkore stock to decline nearly 20%, from $79.72 per share on February 3, 2025 to $64.13 per share on February 4, 2025.
On February 14, 2025, Atkore disclosed that it received a grand jury subpoena from the U.S. Department of Justice Antitrust Division seeking the “production of documents relating to the pricing of the Company’s PVC pipe and conduit products.”
What are my Rights?
If you purchased or otherwise acquired Atkore securities, you may ask the Court no later than April 23, 2025, which is the first business day after 60 days from the date of the publication of notice of pendency of the action, to appoint you as Lead Plaintiff through counsel of your choice. To be a member of the Class, you need not take any action at this time. The ability to share in any potential future recovery is not dependent on serving as Lead Plaintiff.
If you incurred losses on your investments in Atkore, you are encouraged to submit your information to speak with an attorney about your rights.
You can also contact:
Ross Shikowitz
ross@bfalaw.com
212-789-3619
All representation is on a contingency fee basis. Shareholders are not responsible for any court costs or expenses of litigation. The Firm will seek court approval for any potential fees and expenses.
Why Bleichmar Fonti & Auld LLP?
BFA is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation. It was named among the Top 5 plaintiff law firms by ISS SCAS in 2023 and its attorneys have been named Titans of the Plaintiffs’ Bar by Law360 and SuperLawyers by Thompson Reuters. Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.’s Board of Directors, as well as $420 million from Teva Pharmaceutical Ind. Ltd.
Attorney advertising. Past results do not guarantee future outcomes.