Carter’s (NYSE:CRI) Shares Gap Down – What’s Next?

Carter’s, Inc. (NYSE:CRI)’s share price gapped down prior to trading on Friday . The stock had previously closed at $37.44, but opened at $36.03. Carter’s shares last traded at $37.0850, with a volume of 35,334 shares traded.

Analyst Ratings Changes

CRI has been the subject of a number of analyst reports. Monness Crespi & Hardt raised their price objective on shares of Carter’s from $45.00 to $50.00 and gave the company a “buy” rating in a research report on Thursday, May 7th. The Goldman Sachs Group upgraded shares of Carter’s from a “neutral” rating to a “buy” rating and set a $38.00 target price on the stock in a research note on Thursday, April 9th. Citigroup reissued a “buy” rating on shares of Carter’s in a report on Tuesday. UBS Group restated a “buy” rating on shares of Carter’s in a research report on Wednesday, July 8th. Finally, Needham & Company LLC assumed coverage on shares of Carter’s in a report on Thursday, March 26th. They issued a “hold” rating on the stock. Four research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $41.17.

Carter’s Price Performance

The company has a current ratio of 2.80, a quick ratio of 1.72 and a debt-to-equity ratio of 0.61. The company has a market capitalization of $1.42 billion, a P/E ratio of 15.50 and a beta of 0.86. The business’s fifty day moving average price is $39.54 and its 200-day moving average price is $37.47.

Carter’s (NYSE:CRI) last released its earnings results on Wednesday, May 6th. The textile maker reported $0.39 EPS for the quarter, beating analysts’ consensus estimates of $0.13 by $0.26. Carter’s had a return on equity of 13.06% and a net margin of 3.07%.The business had revenue of $681.11 million for the quarter, compared to analysts’ expectations of $660.59 million. During the same quarter in the prior year, the firm earned $0.66 earnings per share. The firm’s revenue was up 8.1% on a year-over-year basis. Carter’s has set its Q2 2026 guidance at 0.020-0.060 EPS. As a group, sell-side analysts predict that Carter’s, Inc. will post 3.09 earnings per share for the current fiscal year.

Carter’s Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, June 5th. Stockholders of record on Tuesday, May 26th were issued a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a dividend yield of 2.6%. The ex-dividend date was Tuesday, May 26th. Carter’s’s dividend payout ratio is presently 40.32%.

Hedge Funds Weigh In On Carter’s

A number of large investors have recently modified their holdings of the company. UMB Bank n.a. grew its position in Carter’s by 445.8% during the fourth quarter. UMB Bank n.a. now owns 775 shares of the textile maker’s stock valued at $25,000 after acquiring an additional 633 shares during the last quarter. Caitong International Asset Management Co. Ltd boosted its stake in shares of Carter’s by 555.9% in the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 1,115 shares of the textile maker’s stock valued at $31,000 after purchasing an additional 945 shares in the last quarter. EverSource Wealth Advisors LLC boosted its stake in shares of Carter’s by 202.6% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,486 shares of the textile maker’s stock valued at $45,000 after purchasing an additional 995 shares in the last quarter. Hantz Financial Services Inc. grew its holdings in shares of Carter’s by 21.8% during the 4th quarter. Hantz Financial Services Inc. now owns 1,577 shares of the textile maker’s stock valued at $51,000 after purchasing an additional 282 shares during the last quarter. Finally, State of Wyoming grew its holdings 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 valued at $69,000 after purchasing an additional 1,988 shares during the last quarter.

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.