Zacks Research Weighs in on Carter’s’ Q2 Earnings (NYSE:CRI)

Carter’s, Inc. (NYSE:CRI) – Equities research analysts at Zacks Research cut their Q2 2026 earnings per share (EPS) estimates for shares of Carter’s in a report released on Wednesday, May 27th. Zacks Research analyst Team now expects that the textile maker will post earnings of $0.02 per share for the quarter, down from their previous forecast of $0.14. Zacks Research currently has a “Hold” rating on the stock. The consensus estimate for Carter’s’ current full-year earnings is $3.09 per share. Zacks Research also issued estimates for Carter’s’ Q4 2026 earnings at $1.92 EPS, Q2 2027 earnings at $0.33 EPS, Q3 2027 earnings at $0.71 EPS, Q4 2027 earnings at $1.92 EPS and Q1 2028 earnings at $0.27 EPS.

Several other brokerages have also commented on CRI. Monness Crespi & Hardt boosted their price target on Carter’s from $45.00 to $50.00 and gave the stock a “buy” rating in a research note on Thursday, May 7th. Wells Fargo & Company raised their target price on shares of Carter’s from $28.00 to $33.00 and gave the company an “underweight” rating in a report on Wednesday, April 29th. Needham & Company LLC began coverage on shares of Carter’s in a report on Thursday, March 26th. They set a “hold” rating for the company. The Goldman Sachs Group upgraded shares of Carter’s from a “neutral” rating to a “buy” rating and set a $38.00 target price for the company in a report on Thursday, April 9th. Finally, Wall Street Zen raised Carter’s from a “hold” rating to a “buy” rating in a research note on Saturday, April 18th. Three analysts have rated the stock with a Buy rating, three have assigned a Hold rating and three have assigned a Sell rating to the company. According to MarketBeat.com, Carter’s has a consensus rating of “Hold” and a consensus target price of $39.67.

Carter’s Price Performance

Shares of NYSE:CRI opened at $40.20 on Friday. The business’s 50 day simple moving average is $36.03 and its 200-day simple moving average is $35.14. The firm has a market capitalization of $1.48 billion, a price-to-earnings ratio of 16.21 and a beta of 0.86. The company has a debt-to-equity ratio of 0.61, a current ratio of 2.80 and a quick ratio of 1.72. Carter’s has a 12 month low of $23.38 and a 12 month high of $44.44.

Carter’s (NYSE:CRI) last announced its quarterly earnings results on Wednesday, May 6th. The textile maker reported $0.39 EPS for the quarter, topping the consensus estimate of $0.13 by $0.26. The business had revenue of $681.11 million for the quarter, compared to analyst estimates of $660.59 million. Carter’s had a return on equity of 13.06% and a net margin of 3.07%.The company’s quarterly revenue was up 8.1% on a year-over-year basis. During the same quarter in the previous year, the company earned $0.66 EPS. Carter’s has set its Q2 2026 guidance at 0.020-0.060 EPS.

Carter’s Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, June 5th. Investors of record on Tuesday, May 26th will be paid a $0.25 dividend. The ex-dividend date of this dividend is Tuesday, May 26th. This represents a $1.00 dividend on an annualized basis and a yield of 2.5%. Carter’s’s dividend payout ratio is presently 40.32%.

Institutional Investors Weigh In On Carter’s

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. UMB Bank n.a. lifted its stake in shares of Carter’s by 445.8% during the 4th quarter. UMB Bank n.a. now owns 775 shares of the textile maker’s stock worth $25,000 after purchasing an additional 633 shares during the period. Caitong International Asset Management Co. Ltd lifted its stake in shares of Carter’s by 555.9% during the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 1,115 shares of the textile maker’s stock worth $31,000 after purchasing an additional 945 shares during the period. Hantz Financial Services Inc. lifted its stake in shares of Carter’s by 1,208.1% during the 3rd quarter. Hantz Financial Services Inc. now owns 1,295 shares of the textile maker’s stock worth $37,000 after purchasing an additional 1,196 shares during the period. EverSource Wealth Advisors LLC lifted its stake in shares of Carter’s by 202.6% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,486 shares of the textile maker’s stock worth $45,000 after purchasing an additional 995 shares during the period. Finally, State of Wyoming lifted its stake in shares of Carter’s by 1,380.6% during the 4th quarter. State of Wyoming now owns 2,132 shares of the textile maker’s stock worth $69,000 after purchasing an additional 1,988 shares during the period.

Carter’s Company Profile

Carter’s, Inc (NYSE: CRI) is a leading designer and marketer of infant and young children’s apparel in North America. Headquartered in Atlanta, Georgia, the company’s core business focuses on creating clothing and accessories for babies and children, including bodysuits, sleepwear, layette, outerwear and accessories that blend comfort, safety and style. Carter’s flagship brand is complemented by its OshKosh B’gosh line, which offers heritage-inspired designs and durable fabrics for toddlers and young kids.

The company distributes its products through a diversified platform that includes wholesale partnerships with major department stores and mass merchandisers, direct‐to‐consumer e-commerce sites, and an extensive network of company-operated retail stores.