Shares of Canada Goose Holdings Inc. plummeted over 5% on Monday after Goldman Sachs downgraded the luxury apparel maker to a "Sell" rating, citing concerns about the company's competitive positioning and slowing brand momentum.

In a research note, Goldman Sachs analyst Lisa Bolton lowered her rating on Canada Goose from "Neutral" to "Sell" and cut the price target to $9 from $11.50. The firm cited a "less attractive risk/reward" for Canada Goose compared to other companies in the apparel and retail sector.

Bolton highlighted several factors that contributed to the downgrade, including an increasingly competitive category backdrop, signs of normalizing brand momentum and engagement, and a slowing global luxury backdrop. Additionally, the analyst pointed to a "choppy China macro environment" as a headwind for the company.