>> dont like this <<
Yes, but these days any good stock that drops enough to become a real bargain will have the class action lawsuits filed, either as part of the drop or in the aftermath. Even stocks that get bought/acquired at a premium will get hit with class action suits these days.
In FLO's case they were paying some of their drivers as independent contractors instead of as salaried employees, so the outcome won't be a huge deal to the company either way. Their whole industry does the same thing, so any adverse ruling will affect all their competitors too.
In looking for cheap turnaround stocks, one type are the good/solid stocks like FLO which ran into temporary problems that can be overcome over time (the type that Warren Buffett likes to buy).
Another type, far riskier, are stocks which never demonstrated a working business model and have thus been in a downward trajectory for years. These stocks don't have the class action lawsuits, but the bet you're making is that they will somehow finally find success that they never had before. I call this type 'flat liners' since that's how their longer term charts look. AMRS is this type, having been in 'flat line' mode for the last 5 years.
