Gunns shares have tumbled another 9.5 per cent on early trade today, to be at an all-time low of 33.5 cents.

They slumped 8.64 per cent yesterday and 8.99 per cent on Wednesday following an announcement that litigation-funder IMF Australia was preparing a class action against the

company for alleged breaches of the company's continuous disclosure obligations between August 31, 2009, and February 22, 2010.

IMF will claim that Gunns should have notified the market earlier that its half-year profit would be 98.7 per cent down on the previous corresponding period.

Gunns released details of its $400,000 half-year profit on February 22, sending its share price spiralling downwards.

IMF Australia is the same company involved in a massive class action against the nation's biggest banks for alleged penalty fee rorts.