Gildan Activewear, Inc. (NYSE: GIL) SHAREHOLDER ALERT: Investors With Losses May Seek to Lead the Class Action in Gildan Activewear, Inc. Securities Lawsuit - Contact Portnoy Law Firm

LOS ANGELES, Oct. 28, 2026 (GLOBE NEWSWIRE) -- The Portnoy Law Firm notifies investors in Gildan Activewear, Inc. (NYSE: GIL) that a securities class action lawsuit has been filed on behalf of shareholders who purchased or otherwise acquired Gildan common stock between February 19, 2025 and June 15, 2026, inclusive (the 'Class Period'). Find out if you qualify to recover your per-share losses by choosing to join the class action and submit your trade details. Investors who suffered financial losses have until December 14, 2026 to seek appointment as lead plaintiff. Shareholders should contact Lesley Portnoy via e-mail (Lesley@portnoylaw.com or call (310) 692-8883) or visit http://portnoylaw.com/gildan-activewear-inc to learn more information and discuss their legal rights.
Please visit our website for more information on how to participate in this class action.

The class action lawsuit contends that throughout the Class Period, Gildan Activewear and its executive leadership issued misleading statements and failed to disclose material risks regarding its business practices. Specifically, the complaint alleges that the company lacked effective internal controls and relied on channel stuffing—artificially inflating sales figures by flooding distribution networks with excess inventory—to fabricate revenue growth. Consequently, the suit asserts that defendants' assertions concerning Gildan Activewear's operational performance and commercial outlook were materially false and lacked a reasonable basis.

These underlying practices were exposed on June 16, 2026, when Jehoshaphat Research published a short-seller report revealing its short position in the company's securities. Summarized that same day by Investing.com in an article titled "Gildan Activewear stock falls after short seller report," the report alleged that Gildan had been stuffing distributors and customers with product far exceeding actual end-user demand. The short seller estimated that this practice generated a product overhang of roughly $500 million, standing in stark contrast to consensus market expectations for 2026. Following this disclosure, the price of Gildan Activewear's NYSE-listed shares dropped nearly 19%.

WHY PORTNOY LAW FIRM

The Portnoy Law Firm represents investors in complex securities class action litigation and shareholder rights matters across the nation. Founded by Lesley Portnoy, the firm's attorneys have recovered billions of dollars for aggrieved institutional and retail investors. The firm leverages extensive legal expertise and sophisticated financial forensic capabilities to hold public corporations accountable for corporate wrongdoing and misrepresentation.

Lead Plaintiff Deadline: Investors who suffered losses on Gildan stock during the Class Period have until December 14, 2026 to seek appointment as lead plaintiff.

Frequently Asked Questions About the Gildan Lawsuit

Q: What is the Gildan lead plaintiff deadline?
A: Following the publication of a short-seller report by Jehoshaphat Research on June 16, 2026—which questioned the company's organic growth, disclosed a short position, and detailed allegations of aggressive channel stuffing and financial engineering—Gildan Activewear Inc.'s NYSE-listed shares fell $11.63 per share, or 18.7%, to close at $50.34 on June 16, 2026.

Q: How much did Gildan stock drop and on what dates?

A: Following the release of top-line results from its Phase 3 LEVEL clinical trial on August 10, 2026—which revealed that its primary and key secondary endpoints were not met—Tenax Therapeutics, Inc.'s stock price fell approximately $12.06 per share, or 89.77%, to close at approximately $1.38 per share on August 10, 2026.

Q: What specific misstatements does the Gildan lawsuit allege?

A: The lawsuit alleges that throughout the Class Period, Defendants made materially false and misleading statements and issued fraudulent financial reports (including annual reports and internal control evaluations) that overstated Gildan's net sales, gross profit, and overall financial results. Specifically, the complaint alleges that Gildan maintained inadequate internal controls and engaged in an extensive channel stuffing scheme—such as compelling distributors and customers to take on excess product far beyond actual end-user demand using aggressive sales incentives, extended payment terms (such as 90 to 120 days), and freight coverage—to artificially pull forward hundreds of millions of dollars in future revenues and create a false appearance of organic growth.

Q: What do Gildan investors need to do right now?

A: Investors who purchased GIL common stock during the Class Period (February 19, 2025 through June 15, 2026) should gather their trade confirmation slips or brokerage transaction logs showing purchase dates, number of shares, and prices paid. You may submit your trade details to Portnoy Law Firm here for a free, no-obligation evaluation of your potential loss recovery. No immediate legal action is required to remain an eligible absent class member.

Q: Does it cost anything to participate in this case as a lead plaintiff?

A: A lead plaintiff does not pay any fees or expenses out of pocket. Our firm works on a contingency basis, and will collect any fees or expenses directly from a future recovery.

Q: What is a lead plaintiff and why does it matter?

A: A lead plaintiff is a court-appointed class member who acts on behalf of all other class members in directing the litigation. The lead plaintiff is typically the investor or group of investors that makes a motion with the largest financial interest in the relief sought. While serving as lead plaintiff does not increase an investor's individual financial recovery compared to other class members, it gives the investor direct authority to select lead counsel and oversee the prosecution of the lawsuit.

Q: Does the lead plaintiff receive any type of compensation?”

A: Yes, in many cases, Courts award the lead plaintiff an additional amount of money to compensate the lead plaintiff for their participation in the case.

Q: What if I already sold my Gildan shares -- can I still recover losses?
A: Yes. Eligibility to participate in a securities class action recovery depends on whether you purchased or acquired GIL common stock during the Class Period (February 19, 2025 to June 15, 2026) and suffered an economic loss. Investors who sold their shares prior to or after the public disclosures may still be eligible to recover damages based on the artificial inflation present in the stock at the time of purchase.

Q: How long will the Gildan lawsuit take to resolve?
A: Securities class action lawsuits typically take between two and four years from initial filing to full resolution. The exact timeline depends on court scheduling, motion practice (such as motions to dismiss), pre-trial discovery, and potential settlement negotiations or trial proceedings.

Q: Can I choose a different law firm to represent me?
A: Yes. Investors have the absolute right to retain any legal counsel of their choice. When multiple class action complaints are filed, the court will consolidate the actions and appoint a lead plaintiff and lead counsel. You may choose to be represented by Portnoy Law Firm, retain separate counsel, or remain an absent class member represented by court-appointed lead counsel.

CONTACT INFORMATION

Portnoy Law Firm
Lesley Portnoy, Esq.
Email: lesley@portnoylaw.com / info@portnoylaw.com
Telephone: (310) 692-8883

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