CODI INVESTOR ALERT: A Class Action was filed against Compass Diversified Holdings for Securities Fraud – Contact BFA Law before June 10 Deadline (NYSE: CODI)

Core Viewpoint - A lawsuit has been filed against Compass Diversified Holdings and its executives for potential violations of federal securities laws, specifically related to alleged misstatements in financial statements and irregularities in operations [1][2][3]. Group 1: Lawsuit Details - The lawsuit is pending in the U.S. District Court for the Central District of California, titled Matthews v. Compass Group Diversified Holdings, Inc., et al., No. 25-cv-981 [2]. - Investors have until July 8, 2025, to request to be appointed to lead the case [2]. Group 2: Allegations Against Compass - The complaint alleges that Compass's fiscal 2024 financial statements contained material misstatements regarding unrecorded financing arrangements and irregularities in sales, cost of sales, inventory, and accounts receivable related to Lugano Holdings, Inc. [3]. - Compass is a statutory trust that manages a portfolio of small and middle-market businesses, including Lugano Holdings, a high-end jewelry designer and manufacturer [3]. Group 3: Stock Market Reaction - Following the announcement of an internal investigation into Lugano, Compass advised investors not to rely on its fiscal 2024 financial statements, leading to a significant stock price decline of approximately 62%, from $17.25 per share on May 7, 2025, to$6.55 per share on May 8, 2025 [4].