#USA #San Francisco #Securities Fraud #Hagens Berman #Gildan Activewear

Gildan Activewear Inc. Investors Strike Back

In an urgent notice, Hagens Berman, a well-known national law firm specializing in securities fraud and shareholder rights, has advised investors of Gildan Activewear Inc. (NYSE: GIL) about a pivotal class action lawsuit now underway. This legal action arises from significant allegations regarding the company's financial practices from February 19, 2025, to June 15, 2026. For those who have faced substantial losses during this period, this may be their chance to reclaim their investments.

What's Happening?

Hagens Berman is reaching out to Gildan investors who are aware of their steep losses from trading on the NYSE only. With a critical deadline of December 14, 2026, looming for investors to make their claims, they are encouraged to act quickly. Investors interested in joining the class action can visit their website for more details and guidance on the next steps.

Allegations Against Gildan

The lawsuit primarily focuses on claims that Gildan provided misleading information regarding its financial condition and operational performance. Key allegations include:

• - Channel Stuffing: Gildan purportedly engaged in channel stuffing, pushing excess inventory onto wholesalers and distributors. This practice artificially inflated the company's reported sales figures, creating a facade of growth.
• - Unsustainable Growth: The revenue growth reported by Gildan was allegedly not reflective of genuine market gains but was instead a result of premature inventory pushes.
• - Inflated Acquisition Prospects: The lawsuit also contends that Gildan's disclosures related to its acquisition of HanesBrands were misleading. They overstated projected synergies and growth opportunities while concealing unfavorable metrics like peak Days Sales Outstanding (DSO).

These allegations gained traction following an investigative report released on June 16, 2026, by activist short-seller Jehoshaphat Research. The report brought to light Gildan's alleged reliance on aggressive practices in recognizing sales and resulted in a significant drop in stock price—by $11.62, or 18.75%, closing at $50.35 on heavy trading volume.

What Should Investors Do?

For those who experienced substantial losses during the specified class period, becoming a Lead Plaintiff may be an option before the fast-approaching deadline. Hagens Berman is encouraging investors to come forward and share their experiences to support the case.

If you believe you have relevant information about Gildan's practices, Hagens Berman is also inviting whistleblowers to provide insights. Information disclosed may potentially lead to rewards for whistleblowers under new SEC guidelines, which can offer up to 30% of any successful recovery.

Attorney Reed Kathrein, who is at the forefront of the investigation, stated, "Our investigation aims to unveil whether Gildan has indeed engaged in wrongful practices concerning their revenue and sales recognition."

About Hagens Berman

Hagens Berman has a strong reputation for advocating for investors and other parties affected by corporate misconduct. With a proven track record of securing over $2.9 billion in legal settlements, the firm stands ready to take on this formidable case against Gildan. Their firm specializes not only in securities fraud but also in protecting the rights of consumers and workers harmed by corporate negligence.

As this case unfolds, investors in Gildan Activewear Inc. must stay informed and consider their legal options. Whether it's joining the class action or providing support as a whistleblower, there are pathways for recourse. For more information on how to proceed, contact the firm directly at Hagens Berman.

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