The 'dumb' algos trading off the headlines have dragged Dean Foods stock down 7.5% as the WSJ reports that the company has in recent weeks received a subpoena from criminal authorities ordering the company to produce information, said a person familiar with the matter. Dean Foods stated it will offer "full support" and is also doing its own investigation of the matter. We suspect the stock move is a little much.

As WSJ reports,

Federal authorities have sought information from two companies in connection with an insider-trading investigation of activist investor Carl Icahn, sports bettor William T. Walters, and golfer Phil Mickelson, according to people familiar with the matter.

Dean Foods in recent weeks received a subpoena from criminal authorities ordering the company to produce information, said a person familiar with the matter.

Clorox received a request for information from the Securities and Exchange Commission in 2011 related to trading in the company's shares, according to a person familiar with the matter.

Neither of those developments has been previously reported.

In the case of Dean Foods, authorities are probing whether Mr. Walters provided stock tips to Mr. Mickelson, said people familiar with the matter.

...

Dean Foods is also doing its own investigation of the matter.

"We are reviewing this matter, and our practice is to offer our full support to any government investigation," the company said in a statement.

In the case of Dean Foods, authorities are examining trading in its shares in 2012 and 2013 related to the spin off of its WhiteWave Foods Co. division and its aftermath.

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The investigation is being conducted by the Federal Bureau of Investigation and the Securities and Exchange Commission. Investigators routinely subpoena or request documents from companies when they are scrutinizing leaks of nonpublic information, including emails, phone records and other records to determine who had access to the information and may have improperly disclosed it. It is unclear what records they sought from Dean Foods and Clorox.

None of the men have been charged, and there is no indication charges will be filed. Messrs. Mr. Walters, Mr. Mickelson and Mr. Icahn have denied wrongdoing.