Bleichmar Fonti & Auld disclosed a probe after Rosen announced a similar investigation tied to Jehoshaphat Research allegations that Gildan pulled forward sales to inflate revenue, sending the stock from $61.97 to $50.35.
Gildan Activewear Inc. is facing multiple securities investigations after its NYSE-listed shares fell $11.62, or 18.75%, to $50.35 on June 16, 2026, following a Jehoshaphat Research short seller report that alleged a channel stuffing scheme had made revenue growth look stronger than it was. Bleichmar Fonti & Auld LLP said it is examining whether Gildan misled investors about the drivers and sustainability of reported revenue after the company pointed to share gains in key growth categories and favorable responses to product innovations. Rosen Law Firm had already said it was preparing a class action over the same selloff, which Investing.com linked to questions about Gildan's organic growth and sales practices and claims that negative underlying growth had been obscured by financial engineering. Jehoshaphat said its allegations were based on interviews with former employees, customers and distributors.