Investor Alert: Robbins LLP Informs Investors of the Gildan Activewear Inc. Class Action Lawsuit

SAN DIEGO--(BUSINESS WIRE)--Shareholder rights law firm Robbins LLP informs investors that a class action was filed on behalf of all persons who purchased or otherwise acquired Gildan Activewear Inc. (NYSE: GIL) securities between February 19, 2025 and June 15, 2026, inclusive (the “Class Period”). Gildan describes itself as "a leading vertically integrated manufacturer of everyday basic apparel, including activewear, underwear, and hosiery products."

The complaint alleges that Gildan failed to disclose that it had inadequate internal controls and was channel stuffing.

Investors who purchased Gildan Activewear Inc. securities during the Class Period and suffered significant losses should contact Robbins LLP for information about the lawsuit and the December 14, 2026 lead plaintiff motion deadline.

Why Was Gildan Sued?

Plaintiff contends that during the Class Period, defendants failed to disclose that:

(1) Gildan did not have adequate internal controls;
(2) Gildan used channel stuffing to create an appearance of revenue; and
(3) as a result, defendants’ statements about Gildan’s business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all times.

Why Did Gildan Stock Drop?

On June 16, 2026, Jehoshaphat Research (“Jehoshaphat”) published a report in which it announced that it had a short position in Gildan securities (the “Report”). Summarizing the Report, during market hours on June 16, 2026, Investing.com published an article entitled “Gildan Activewear stock falls after short seller report.” The article explained that Jehoshaphat alleged "that Gildan has been 'stuffing' its distributors and customers with excess product beyond underlying end user demand. According to the report, this has created a product overhang worth approximately $500 million, which contrasts with consensus forecasts for 2026."

On this disclosure, Gildan’s shares fell $11.63 per share, or 18.7%, to close at $50.34 on June 16, 2026.

What Can Gildan Shareholders Do Now?

Investors who purchased Gildan Activewear Inc. securities during the Class Period may be eligible to serve as lead plaintiff. The lead plaintiff is a court-appointed investor who represents the interests of all class members throughout the litigation. Stockholders who wish to seek appointment as lead plaintiff must move the court no later than December 14, 2026. Contact Robbins LLP for information about the appointment process.

Shareholders do not need to serve as lead plaintiff to share in any potential recovery. Investors who do not seek appointment may remain absent class members.

Does It Cost Anything to Participate?

No. Robbins LLP represents investors on a contingency fee basis, with no upfront or out-of-pocket fees or expenses.

Contact Robbins LLP

Investors seeking additional information about the Gildan Activewear Inc. securities class action may contact Robbins LLP by submitting an inquiry, emailing attorney Aaron Dumas, Jr., or calling [phone].

Why Robbins LLP?

A recognized leader in shareholder rights litigation, Robbins LLP represents investors in securities fraud and shareholder derivative litigation. We have helped restore more than $2 billion in value to shareholders and secured some of the largest recoveries in shareholder derivative litigation history.

"Companies have an obligation to provide investors with complete and accurate information so that markets can function fairly and efficiently," said Brian J. Robbins, Founding Partner of Robbins LLP.

To be notified if a class action against Gildan Activewear Inc. settles, or to receive free alerts when corporate executives engage in wrongdoing, sign up for Stock Watch today.

Attorney Advertising. Past results do not guarantee a similar outcome.