Carter’s (NYSE:CRI) Upgraded by Wall Street Zen to “Buy” Rating

Wall Street Zen upgraded shares of Carter’s (NYSE:CRI) from a hold rating to a buy rating in a research note released on Sunday.

A number of other research firms also recently commented on CRI. Weiss Ratings downgraded shares of Carter’s from a “hold (c-)” rating to a “sell (d+)” rating in a report on Monday, May 4th. Zacks Research cut shares of Carter’s from a “strong-buy” rating to a “hold” rating in a report on Monday, May 25th. Wells Fargo & Company upgraded shares of Carter’s from an “underweight” rating to an “equal weight” rating and lifted their price target for the stock from $30.00 to $42.00 in a research report on Wednesday, June 17th. Monness Crespi & Hardt upped their price target on Carter’s from $45.00 to $50.00 and gave the company a “buy” rating in a report on Thursday, May 7th. Finally, The Goldman Sachs Group raised Carter’s from a “neutral” rating to a “buy” rating and set a $38.00 price target on the stock in a report on Thursday, April 9th. Four research analysts have rated the stock with a Buy rating, three have given a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, Carter’s presently has an average rating of “Hold” and an average price target of $41.17.

Carter’s Trading Up 0.2%

Shares of Carter’s stock opened at $38.65 on Friday. The company has a quick ratio of 1.50, a current ratio of 2.47 and a debt-to-equity ratio of 0.55. The firm has a market cap of $1.42 billion, a price-to-earnings ratio of 7.24 and a beta of 0.87. The business has a fifty day simple moving average of $39.85 and a 200-day simple moving average of $37.64. Carter’s has a fifty-two week low of $23.38 and a fifty-two week high of $44.44.

Carter’s (NYSE:CRI) last released its earnings results on Friday, July 31st. The textile maker reported $0.26 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.06 by $0.20. The firm had revenue of $615.49 million for the quarter, compared to analyst estimates of $605.68 million. Carter’s had a return on equity of 12.78% and a net margin of 6.55%.Carter’s’s revenue was up 5.2% compared to the same quarter last year. During the same period in the previous year, the company earned $0.17 earnings per share. On average, equities analysts forecast that Carter’s will post 3.09 EPS for the current fiscal year.

Carter’s Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, June 5th. Investors of record on Tuesday, May 26th were paid a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 2.6%. The ex-dividend date of this dividend was Tuesday, May 26th. Carter’s’s dividend payout ratio is currently 18.73%.

Institutional Trading of Carter’s

Hedge funds have recently made changes to their positions in the stock. AQR Capital Management LLC increased its holdings in Carter’s by 113.7% in the second quarter. AQR Capital Management LLC now owns 2,564,457 shares of the textile maker’s stock worth $77,267,000 after buying an additional 1,364,698 shares during the last quarter. Rubric Capital Management LP lifted its stake in Carter’s by 121.5% in the first quarter. Rubric Capital Management LP now owns 1,018,853 shares of the textile maker’s stock valued at $36,434,000 after acquiring an additional 558,853 shares during the last quarter. Dimensional Fund Advisors LP lifted its stake in Carter’s by 36.6% in the first quarter. Dimensional Fund Advisors LP now owns 1,765,205 shares of the textile maker’s stock valued at $63,121,000 after acquiring an additional 472,786 shares during the last quarter. Quantinno Capital Management LP grew its position in Carter’s by 1,679.7% in the second quarter. Quantinno Capital Management LP now owns 370,791 shares of the textile maker’s stock worth $11,172,000 after acquiring an additional 349,957 shares in the last quarter. Finally, Millennium Management LLC grew its position in Carter’s by 104.3% in the third quarter. Millennium Management LLC now owns 661,920 shares of the textile maker’s stock worth $18,679,000 after acquiring an additional 337,880 shares in the last quarter.

Key Carter’s News

Here are the key news stories impacting Carter’s this week:

• Positive Sentiment: Carter’s reported second-quarter adjusted earnings of $0.26 per share, substantially above analyst estimates of approximately $0.02–$0.06 and up from $0.17 a year earlier. Carter’s Beats Q2 Earnings and Revenue Estimates
• Positive Sentiment: Revenue increased 5.2% year over year to $615.5 million, exceeding the roughly $605.7 million consensus estimate. Management also said adjusted operating profit rose 54% and that results exceeded its prior outlook. Carter’s Reports Second Quarter Fiscal 2026 Results
• Neutral Sentiment: Full-year 2026 revenue guidance was maintained or updated at approximately $3.0 billion, broadly in line with consensus. The available guidance report did not provide a comparable full-year EPS figure. Carter’s Q2 2026 Earnings Call Transcript
• Negative Sentiment: Third-quarter revenue guidance of approximately $750 million fell well below the analyst consensus of $797 million. The shortfall creates concern about near-term sales momentum despite the strong second-quarter performance. Carter’s Q2 Sales and Guidance

About Carter’s

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.