A lawsuit has been filed against Petco, the pet store chain is being sued by its stockholders claiming the company overstated its “ability to deliver sustainable, profitable growth”.
Quotes from the lawsuit…
“Petco represented that it was uniquely positioned to capitalize on the foregoing trends and drive sustainable, profitable growth based on its purported differentiated business strategy centered around, inter alia, healthy, premium pet foods containing no artificial ingredients.”
“However, contrary to Petco’s representations, as pandemic-related tailwinds eventually abated, the Company’s sales and profitability metrics began to plummet. Specifically, as early as mid-2023, the Company’s financial performance took a notable turn for the worse.”
“Defendants overstated Petco’s ability to deliver sustainable, profitable growth; and (v) as a result, Defendants’ public statements were materially false and misleading at all relevant times.”
The lawsuit claims Petco’s stock prices fell from $5.19 per share on August 24, 2023 to $2.78 per share on June 6, 2025.
Click Here to view the complaint.
There are quite a few pet related companies that must answer to stockholders…
Chewy
Freshpet
Central Garden & Pet Company
BARK, Inc.
Nestle Purina
General Mills/Blue Buffalo
Colgate Palmolive Hill’s
Zoetis Inc.
Elanco Animal Health Inc.
Trupanion, Inc.
PetIQ, Inc.
Patterson Companies, Inc.
Something to consider…
Who would you rather purchase pet food from? A chain store that is obligated to their stock holders – or an independent pet food store whose attention is focused on their customers?
My answer: 100% Independent Pet Stores.
Many independently owned pet stores know every detail about each product they sell. Most thoroughly research each brand they sell, and if they don’t know the answer to your question – they have a direct line to the manufacturer to get you an answer. Numerous store owners have shared with us that they check the temperature of each shipment of frozen foods (before it’s even unloaded off the delivery truck). If the pet foods are not completely frozen, the shipment is refused. One store owner told us they ask each manufacturer they are considering if the pet food brand owns a copy of the AAFCO Official Publication (the pet food regulations book). Needless to say, many independent pet stores have done their homework.
Ask your pet food store what research is done on each brand they sell. You might be very surprised at their response (and become a faithful customer of independent pet stores).
Susan Thixton
Pet Food Safety Advocate
Author Buyer Beware, Co-Author Dinner PAWsible
TruthaboutPetFood.com
Association for Truth in Pet Food
Become a member of our pet food consumer Association. Association for Truth in Pet Food is a a stakeholder organization representing the voice of pet food consumers at AAFCO and with FDA. Your membership helps representatives attend meetings and voice consumer concerns with regulatory authorities. Click Here to learn more.
What’s in Your Pet’s Food?
Is your dog or cat eating risk ingredients? Chinese imports? Petsumer Report tells the ‘rest of the story’ on over 5,000 cat foods, dog foods, and pet treats. 30 Day Satisfaction Guarantee. Click Here to preview Petsumer Report. www.PetsumerReport.com
Find Healthy Pet Foods in Your Area Click Here
The 2025 List
Susan’s List of trusted pet foods. Click Here to learn more.
The 2025/26 Treat List
Susan’s List of trusted pet treat manufacturers. Click Here to learn more.
jan b-b
July 7, 2025 at 2:05 pm
another good reason to “buy local”
Carolyn Allard
July 8, 2025 at 8:03 am
I too like to buy local from Independent stores. However, if you are a multipet household, they make it hard. Never enough stock. You have to preorder your food. It gets to be a real hassle especially if you don’t get what you actually ordered. At some point, they need to do better.
T Allen
July 7, 2025 at 4:28 pm
I would like to suggest that it’s not all Petco’s fault that their shares are dropping in price. People are not buying a lot of things in general, after the Nov elections and the trend of pet surrenders to animal shelters has seen a significant increase. A combination of economic pressures, rising costs of pet care, and housing instability seems to be causing it. It’s going to get a lot worse in the next couple of years the way things are going. 🙁
debbie
July 8, 2025 at 12:35 am
people bought pets in 2020 during lockdowns, only to find out they are expensive, need a commitment and once people were back to work no longer wanted animals. years ago, people were already turning in pets to shelters, you can’t say after the Nov elections. look the info up sigh.
Maggie
July 11, 2025 at 4:37 pm
This is true. The rescue I work with has been inundated with requests to surrender dogs due to finances, in a very poor Southern state. I have connected a lot of people with our local pet food pantry. I’ve also sent people to our local independent store because they get *better* economical food than they would for the same money at WM. I know of many people who are “trading down” to the best food they can afford. If they can’t get to a good independent store, on a very tight budget, Costco’s Kirkland Chicken & Rice is Diamond Naturals is TSC’s 4Health (same food, different stores), and for the low price, it’s a good value. It’s cheaper than Purina One, and it’s got more chicken meal and less filler. It’s not “great,” but if one has to feed cheap kibble in order to not give up the dog, it’s better than a lot of alternatives. People need to be given “good enough” options when they’re broke, and not made to feel like “bad owners” if they can’t afford spend $200 per month to feed their dog. Low-cost “good enough” options help keep pets in homes when people would otherwise feel they have to give them up. I wish we lived in a world where every dog and cat got fresh food, but we live in one where a lot of people are struggling to feed themselves, and pets are an extra financial burden, despite being much loved.
Sandy M.
July 7, 2025 at 9:55 pm
Petco’s store environment, policies and on-line shopping experience is not good. I won’t waste my time with them. When retail business are fail, managers always blame economics, what a lame excuse. I hope to see more mom and pop pet stores popping up out there, but it is tough to compete with the domineering big guys on product selection and price. When I see a small pet store I always stop in. Their service is usually superior by far.
Sarah
July 11, 2025 at 12:49 pm
I support both independent small business pet supply stores in my area as well as the two independent small business farm and livestock supply stores. Lucky to have those nearby even though here things are getting more built up and corporatized. However, Susan – PetCo’s problems were management and staffing issues from almost the get go, leading to poorly run and crazily stocked/unstocked stores which often were in terrible or terribly expensive locations — and just as often were actually dirty!But even at it’s worst over the last five years it was still better than dealing with “Chewy” or Amazon, both of whose business practices include misleading (and its synonyms!) tactics in pursuit of profit before pets.