Zacks Research Has Positive Outlook of Carter’s Q2 Earnings

Carter’s, Inc. (NYSE:CRI) – Equities researchers at Zacks Research raised their Q2 2026 earnings per share estimates for Carter’s in a note issued to investors on Friday, March 20th. Zacks Research analyst Team now anticipates that the textile maker will earn $0.14 per share for the quarter, up from their previous forecast of $0.12. Zacks Research currently has a “Strong-Buy” rating on the stock. The consensus estimate for Carter’s’ current full-year earnings is $5.15 per share. Zacks Research also issued estimates for Carter’s’ FY2027 earnings at $3.08 EPS and FY2028 earnings at $3.12 EPS.

A number of other equities analysts have also weighed in on CRI. UBS Group boosted their price objective on shares of Carter’s from $33.00 to $40.00 and gave the company a “neutral” rating in a research report on Thursday, February 19th. The Goldman Sachs Group lifted their target price on shares of Carter’s from $26.00 to $29.00 and gave the stock a “sell” rating in a research note on Tuesday, January 13th. Citigroup upgraded Carter’s from a “neutral” rating to a “buy” rating and boosted their price target for the company from $34.00 to $50.00 in a report on Wednesday, January 21st. Monness Crespi & Hardt raised Carter’s from a “neutral” rating to a “buy” rating and set a $45.00 price target on the stock in a research note on Monday, March 2nd. Finally, Wall Street Zen upgraded Carter’s from a “sell” rating to a “hold” rating in a report on Sunday, January 11th. One equities research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, two have issued a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $35.83.

Carter’s Price Performance

Carter’s stock opened at $34.17 on Monday. The stock has a market capitalization of $1.24 billion, a P/E ratio of 13.56, a P/E/G ratio of 5.19 and a beta of 1.07. Carter’s has a 12-month low of $23.38 and a 12-month high of $44.44. The company has a debt-to-equity ratio of 0.61, a current ratio of 2.51 and a quick ratio of 1.44. The firm’s 50-day moving average is $36.89 and its two-hundred day moving average is $33.18.

Carter’s (NYSE:CRI) last posted its quarterly earnings data on Friday, February 27th. The textile maker reported $1.90 EPS for the quarter, topping analysts’ consensus estimates of $1.70 by $0.20. The firm had revenue of $925.45 million during the quarter, compared to analysts’ expectations of $912.36 million. Carter’s had a return on equity of 14.45% and a net margin of 3.17%.The firm’s quarterly revenue was up 7.7% compared to the same quarter last year. During the same quarter last year, the business posted $2.39 EPS. Carter’s has set its Q1 2026 guidance at 0.020-0.080 EPS.

Carter’s Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, March 27th. Investors of record on Friday, March 13th will be given a $0.25 dividend. The ex-dividend date of this dividend is Friday, March 13th. This represents a $1.00 annualized dividend and a dividend yield of 2.9%. Carter’s’s dividend payout ratio (DPR) is currently 39.68%.

Hedge Funds Weigh In On Carter’s

Several institutional investors and hedge funds have recently bought and sold shares of CRI. RWWM Inc. raised its stake in Carter’s by 44.8% during the third quarter. RWWM Inc. now owns 5,900,170 shares of the textile maker’s stock worth $166,503,000 after purchasing an additional 1,824,379 shares during the period. Vanguard Group Inc. grew its stake in shares of Carter’s by 1.1% during the 3rd quarter. Vanguard Group Inc. now owns 4,226,804 shares of the textile maker’s stock valued at $119,280,000 after buying an additional 46,560 shares during the period. AQR Capital Management LLC increased its holdings in shares of Carter’s by 113.7% during the 2nd 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. Morgan Stanley increased its holdings in shares of Carter’s by 15.7% during the 4th quarter. Morgan Stanley now owns 1,762,036 shares of the textile maker’s stock worth $57,143,000 after buying an additional 239,469 shares during the last quarter. Finally, Charles Schwab Investment Management Inc. raised its position in shares of Carter’s by 5.4% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 1,597,901 shares of the textile maker’s stock worth $51,820,000 after buying an additional 82,498 shares during the period.

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.