What's Next for Gildan Activewear Inc. Shareholders After 18.8% Stock Drop? Glancy Prongay Wolke & Rotter LLP Explains Securities Fraud Class Action Lead Plaintiff Deadline

Complaint alleges Gildan Activewear Inc. misled investors between February 19, 2025 and June 15, 2026; investors may seek lead plaintiff role by December 14, 2026

LOS ANGELES, Oct. 26, 2026 /PRNewswire/ -- Glancy Prongay Wolke & Rotter LLP ("Glancy") announced today that the class action lawsuit covers investors who bought Gildan Activewear Inc. ("Gildan Activewear" or the "Company") (NYSE: GIL) securities between February 19, 2025 and June 15, 2026. The Gildan Activewear Inc. case, Cortez v. Gildan Activewear Inc. et al., was filed on October 15, 2026 in the U.S. District Court Northern District of New York (Case No. 1:26-cv-02126).

Investors who suffered losses on Gildan Activewear Inc. investments can submit their Gildan Activewear Inc. loss information here before the December 14, 2026 lead plaintiff deadline.

Key dates in the Gildan Activewear Inc. case

Class period: February 19, 2025 to June 15, 2026
Complaint filed: October 15, 2026
Lead plaintiff deadline: December 14, 2026

What happened?

On June 16, 2026, Jehoshaphat Research published a report alleging, among other things, that Gildan has been stuffing the channel to make revenues look like they're growing, which has been cannibalizing future demand and inflating the overall growth trajectory of the business, obscured by financial engineering, and that the Company transfers almost half its receivables off-balance sheet. The report alleged distributors were holding approximately $510 million in excess inventory.

On this news, Gildan's stock price fell $11.62, or 18.8%, to close at $50.35 per share on June 16, 2026, thereby injuring investors.

What is the Gildan Activewear Inc. lawsuit about?

The Gildan Activewear Inc. securities lawsuit alleges that, between February 19, 2025 and June 15, 2026, defendants made materially false and/or misleading statements and failed to disclose material adverse facts about Gildan Activewear Inc.'s business, operations, and prospects. Specifically, the complaint alleges 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' positive statements about Gildan Activewear Inc.'s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

"The complaint against Gildan Activewear Inc. alleges, among other things, that the Company failed to disclose that Gildan did not have adequate internal controls. For investors who purchased during the class period, the December 14, 2026 lead plaintiff deadline is the first significant deadline to keep in mind," said Charles H. Linehan, Partner at Glancy Prongay Wolke & Rotter LLP.

What's the next step?

Glancy Prongay Wolke & Rotter LLP is a leading national shareholder rights law firm, ready to assist Gildan Activewear Inc. investors in potentially pursuing claims to recover their losses.

If you wish to serve as lead plaintiff in the Gildan Activewear Inc. class action, you must move the Court no later than December 14, 2026. To learn more about your rights, visit the Gildan Activewear Inc. case page, email shareholders@glancylaw.com, or call 310-201-9150 (toll-free: 888-773-9224).

You may retain counsel of your choice. If you bought Gildan Activewear Inc. securities during the class period, you may take no action and remain an absent class member. No class has been certified yet in the Gildan Activewear Inc. case.

Frequently Asked Questions

Who is eligible? Investors who purchased or otherwise acquired Gildan Activewear Inc. securities between February 19, 2025 and June 15, 2026 and suffered losses may be members of the proposed class in the Gildan Activewear Inc. shareholder lawsuit. Any class member may ask the court to appoint them lead plaintiff by December 14, 2026.

What is a lead plaintiff? In the Gildan Activewear Inc. class action, the lead plaintiff is the investor, or group of investors, that the court appoints to represent all class members and oversee the case. Under the Private Securities Litigation Reform Act, courts generally presume the movant with the largest financial interest is the most adequate lead plaintiff.

Do I have to be lead plaintiff to recover? No. A Gildan Activewear Inc. investor's ability to share in any future recovery does not depend on serving as lead plaintiff. Gildan Activewear Inc. investors may take no action and remain absent class members.

What is the deadline? Motions to serve as lead plaintiff in the Gildan Activewear Inc. class action must be filed by December 14, 2026.

Does it cost anything to contact Glancy or participate in this action? Glancy represents Gildan Activewear Inc. investors on a contingency fee basis, so investors pay no attorneys' fees out of pocket. Any attorneys' fees and litigation expenses are paid only from a recovery, if one is obtained, and are subject to court approval.

Can I choose my own lawyer? Yes. Gildan Activewear Inc. investors may retain counsel of their choice.

Why work with Glancy on the Gildan Activewear Inc. lawsuit? Glancy Prongay Wolke & Rotter LLP is a premier law firm with decades of experience representing investors and consumers in securities litigation and other complex class action litigation. Contact Glancy about the Gildan Activewear Inc. lawsuit. Prior results do not guarantee a similar outcome.

About Glancy Prongay Wolke & Rotter LLP

Glancy was named one of Law360's Securities Groups of the Year and ranked second in total investor recoveries by ISS Securities Class Action Services in 2025.

Glancy's successes have been widely covered by leading news and industry publications, including The Wall Street Journal, The Financial Times, Bloomberg Businessweek, Reuters, the Associated Press, Barron's, Investor's Business Daily, Forbes, and Money.

Prior results do not guarantee a similar outcome.