Scotiabank lowered its price target for Gildan Activewear from $72 to $65 following a short-seller report alleging channel stuffing and $510 million in excess inventory. These allegations caused the stock to plunge nearly 19%, wiping out approximately $2.15 billion in market capitalization in a single day. While the stock saw a partial recovery to $53.32, legal firms have launched investigations into potential securities fraud and revenue inflation. Despite the probe, some analysts maintain an Outperform rating on the shares.
Law firm Girard Sharp is investigating potential securities fraud claims for former HanesBrands investors who received Gildan shares during their December 2025 merger.
Read the full storyA Jehoshaphat Research report alleging improper revenue recognition wiped out $2.15 billion in market value in a single session.
Levi & Korsinsky is investigating Gildan Activewear for potential securities fraud following reports of $510 million in undisclosed excess inventory.
Scotiabank lowered its price target to $65.00 as the apparel maker faces legal scrutiny over alleged revenue inflation and channel stuffing.