Why Is Tempur Sealy International Stock Trading Lower Monday?

Tempur Sealy International, Inc TPX stock is trading lower Monday after it disclosed identifying a cybersecurity event involving certain of the Company’s information technology (“IT”) systems on July 23.

The Company activated its incident response and business continuity plans, including proactively shutting down certain of the Company’s IT systems, temporarily interrupting its operations. 

The Company engaged a legal counsel, a cybersecurity forensic firm, and other incident response professionals to advise. The Company has also notified law enforcement authorities.

It has begun bringing specific critical IT systems back online and resumed operations. The forensic investigation remains ongoing, and it continues to work to determine whether this incident will have a material impact on its business, processes, or financial results. 

In May, Tempur Sealy reported a first-quarter FY23 sales decline of 2.5% year-on-year to $1.208 billion, almost in line with the consensus of $1.210 billion.

The bedding products firm registered an adjusted EPS of $0.53, beating the analyst consensus of $0.51.

Price Action: TPX shares traded lower by 3.67% at $44.30 on the last check Monday.