Lead Plaintiff Deadline is October 7, 2025
NEW YORK, Aug. 21, 2025 /PRNewswire/ -- Wolf Haldenstein Adler Freeman & Herz LLP announces that a securities class action lawsuit has been filed in the United States District Court for the Middle District of Florida on behalf of all persons and entities who purchased or otherwise acquired CTO Realty Growth, Inc. (NYSE: CTO) ("CTO" or the "Company") securities between February 18, 2021 and June 24, 2025, inclusive (the "Class Period").
PLEASE CLICK HERE TO JOIN THE CASE AND SUBMIT CONTACT INFORMATION
The filed complaint alleges that CTO and certain executives made false and/or misleading statements and failed to disclose that:
- CTO's dividends were less sustainable than represented.
- The Company used deceptive and unsustainable practices to inflate Adjusted Funds From Operations ("AFFO") and overstate the profitability of its Ashford Lane property.
- CTO's business and financial prospects were overstated.
- As a result, public statements by defendants were materially false and misleading.
On June 25, 2025, Wolfpack Research published a report titled CTO: The B. Riley of REITs, alleging that CTO:
- Had not generated sufficient cash to cover recurring capital expenditures and dividends since its 2021 REIT conversion, instead relying on dilution (a 70% increase in shares since December 2022) to offset a $38 million dividend shortfall from 2021–2024.
- Used a manipulative AFFO definition by excluding recurring capex, unlike peers.
- Employed a "sham loan" to conceal the collapse of a major tenant at Ashford Lane.
- Faced an imminent need for further dilution, with only $8.4 million in cash, $14 million in quarterly dividends, $5.7 million in quarterly recurring capex, and $12 million in additional planned capital expenditures.
Following the report, CTO's stock fell $0.98 per share (5.42%), closing at $17.10 on June 25, 2025.
Investors have until October 7, 2025 to seek appointment as lead plaintiff in the case.
Why Wolf Haldenstein Adler Freeman & Herz LLP?:
This illustrious firm, founded in 1888, is steadfast in their pursuit of justice for investors who have suffered financial harm due to these misrepresented statements. The law firm brings to the fore over 125 years of legal expertise in securities litigation and has a proven track record of protecting the rights of investors.
We encourage all investors who have been affected or have information that will assist in our investigation, to contact Wolf Haldenstein Adler Freeman & Herz LLP.
Contact:
- Phone: (800) 575-0735 or (212) 545-4774
- Email: classmember@whafh.com
- Contact Person: Gregory Stone, Director of Case and Financial Analysis
Firm Website: Wolf Haldenstein Adler Freeman & Herz LLP
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
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SOURCE Wolf Haldenstein Adler Freeman & Herz LLP
