CARTER'S INC (CRI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CRI - US1462291097 - Common Stock
36.41 USD
+0.07 (+0.19%)
CRI gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 45 industry peers in the Textiles, Apparel & Luxury Goods industry. CRI has an average financial health and profitability rating. CRI has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- In the past year CRI was profitable.
- In the past year CRI had a positive cash flow from operations.
- CRI had positive earnings in each of the past 5 years.
- CRI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of CRI (3.52%) is better than 62.22% of its industry peers.
- The Return On Equity of CRI (10.06%) is better than 64.44% of its industry peers.
- CRI has a Return On Invested Capital (6.89%) which is comparable to the rest of the industry.
- The Average Return On Invested Capital over the past 3 years for CRI is above the industry average of 11.59%.
- The last Return On Invested Capital (6.89%) for CRI is well below the 3 year average (13.75%), which needs to be investigated, but indicates that CRI had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.52% | ||
| ROE | 10.06% | ||
| ROIC | 6.89% |
ROA(3y)9.05%
ROA(5y)8.18%
ROE(3y)26.4%
ROE(5y)25.22%
ROIC(3y)13.75%
ROIC(5y)13.22%
1.3 Margins
- CRI has a Profit Margin (3.07%) which is in line with its industry peers.
- CRI's Profit Margin has declined in the last couple of years.
- CRI has a Operating Margin (6.09%) which is comparable to the rest of the industry.
- CRI's Operating Margin has declined in the last couple of years.
- CRI has a Gross Margin (46.79%) which is in line with its industry peers.
- CRI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.09% | ||
| PM (TTM) | 3.07% | ||
| GM | 46.79% |
OM growth 3Y-11.06%
OM growth 5Y-2.63%
PM growth 3Y-12.75%
PM growth 5Y-2.95%
GM growth 3Y0.38%
GM growth 5Y2.29%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CRI is creating some value.
- CRI has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for CRI has been reduced compared to 5 years ago.
- Compared to 1 year ago, CRI has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 2.68 indicates that CRI is not a great score, but indicates only limited risk for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 2.68, CRI is in line with its industry, outperforming 55.56% of the companies in the same industry.
- CRI has a debt to FCF ratio of 5.42. This is a neutral value as CRI would need 5.42 years to pay back of all of its debts.
- CRI's Debt to FCF ratio of 5.42 is in line compared to the rest of the industry. CRI outperforms 55.56% of its industry peers.
- CRI has a Debt/Equity ratio of 0.58. This is a neutral value indicating CRI is somewhat dependend on debt financing.
- CRI has a Debt to Equity ratio of 0.58. This is in the lower half of the industry: CRI underperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 5.42 | ||
| Altman-Z | 2.68 |
ROIC/WACC0.62
WACC11.11%
2.3 Liquidity
- A Current Ratio of 2.26 indicates that CRI has no problem at all paying its short term obligations.
- CRI's Current ratio of 2.26 is fine compared to the rest of the industry. CRI outperforms 64.44% of its industry peers.
- A Quick Ratio of 0.95 indicates that CRI may have some problems paying its short term obligations.
- CRI's Quick ratio of 0.95 is in line compared to the rest of the industry. CRI outperforms 48.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.26 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
- The earnings per share for CRI have decreased strongly by -33.33% in the last year.
- CRI shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.36% yearly.
- CRI shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -19.15%.
- Measured over the past years, CRI shows a decrease in Revenue. The Revenue has been decreasing by -4.17% on average per year.
EPS 1Y (TTM)-33.33%
EPS 3Y-8.37%
EPS 5Y-1.36%
EPS Q2Q%-55.95%
Revenue 1Y (TTM)-19.15%
Revenue growth 3Y-6.56%
Revenue growth 5Y-4.17%
Sales Q2Q%-0.08%
3.2 Future
- Based on estimates for the next years, CRI will show a very negative growth in Earnings Per Share. The EPS will decrease by -24.68% on average per year.
- Based on estimates for the next years, CRI will show a small growth in Revenue. The Revenue will grow by 0.08% on average per year.
EPS Next Y-51.67%
EPS Next 2Y-37.67%
EPS Next 3Y-24.68%
EPS Next 5YN/A
Revenue Next Year1.26%
Revenue Next 2Y0.56%
Revenue Next 3Y0.08%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 8.75, the valuation of CRI can be described as reasonable.
- Based on the Price/Earnings ratio, CRI is valued cheaply inside the industry as 88.89% of the companies are valued more expensively.
- CRI is valuated cheaply when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 15.44, the valuation of CRI can be described as correct.
- Based on the Price/Forward Earnings ratio, CRI is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
- The average S&P500 Price/Forward Earnings ratio is at 24.04. CRI is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.75 | ||
| Fwd PE | 15.44 |
4.2 Price Multiples
- CRI's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. CRI is cheaper than 80.00% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of CRI indicates a rather cheap valuation: CRI is cheaper than 82.22% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.43 | ||
| EV/EBITDA | 7.21 |
4.3 Compensation for Growth
- CRI has a very decent profitability rating, which may justify a higher PE ratio.
- CRI's earnings are expected to decrease with -24.68% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-37.67%
EPS Next 3Y-24.68%
5. Dividend
5.1 Amount
- CRI has a Yearly Dividend Yield of 2.89%. Purely for dividend investing, there may be better candidates out there.
- CRI's Dividend Yield is rather good when compared to the industry average which is at 1.46. CRI pays more dividend than 86.67% of the companies in the same industry.
- CRI's Dividend Yield is rather good when compared to the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.89% |
5.2 History
- The dividend of CRI is nicely growing with an annual growth rate of 16.75%!
- CRI has paid a dividend for at least 10 years, which is a reliable track record.
- CRI has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)16.75%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
- 87.45% of the earnings are spent on dividend by CRI. This is not a sustainable payout ratio.
- CRI's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP87.45%
EPS Next 2Y-37.67%
EPS Next 3Y-24.68%
NYSE:CRI (1/14/2026, 10:47:00 AM)
36.41
+0.07 (+0.19%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)10-27 2025-10-27/bmo
Earnings (Next)02-23 2026-02-23/amc
Inst Owners114.73%
Inst Owner Change0.05%
Ins Owners2.81%
Ins Owner Change-0.41%
Market Cap1.33B
Revenue(TTM)2.83B
Net Income(TTM)87.00M
Analysts46.15
Price Target29.38 (-19.31%)
Short Float %11.33%
Short Ratio3.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.89% |
Yearly Dividend3.2
Dividend Growth(5Y)16.75%
DP87.45%
Div Incr Years1
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-28.64%
Min EPS beat(2)-56.97%
Max EPS beat(2)-0.32%
EPS beat(4)2
Avg EPS beat(4)-0.02%
Min EPS beat(4)-56.97%
Max EPS beat(4)33.81%
EPS beat(8)6
Avg EPS beat(8)13.85%
EPS beat(12)10
Avg EPS beat(12)20.28%
EPS beat(16)12
Avg EPS beat(16)15.61%
Revenue beat(2)1
Avg Revenue beat(2)0.02%
Min Revenue beat(2)-2.52%
Max Revenue beat(2)2.56%
Revenue beat(4)2
Avg Revenue beat(4)0.4%
Min Revenue beat(4)-2.52%
Max Revenue beat(4)2.56%
Revenue beat(8)3
Avg Revenue beat(8)-0.06%
Revenue beat(12)5
Avg Revenue beat(12)0.69%
Revenue beat(16)7
Avg Revenue beat(16)0.1%
PT rev (1m)-2.37%
PT rev (3m)17.07%
EPS NQ rev (1m)-3.29%
EPS NQ rev (3m)-14.46%
EPS NY rev (1m)-1.52%
EPS NY rev (3m)-6.64%
Revenue NQ rev (1m)-0.39%
Revenue NQ rev (3m)2.67%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)0.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.75 | ||
| Fwd PE | 15.44 | ||
| P/S | 0.47 | ||
| P/FCF | 14.43 | ||
| P/OCF | 8.78 | ||
| P/B | 1.53 | ||
| P/tB | 3.62 | ||
| EV/EBITDA | 7.21 |
EPS(TTM)4.16
EY11.43%
EPS(NY)2.36
Fwd EY6.48%
FCF(TTM)2.52
FCFY6.93%
OCF(TTM)4.15
OCFY11.39%
SpS77.71
BVpS23.72
TBVpS10.06
PEG (NY)N/A
PEG (5Y)N/A
Graham Number47.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.52% | ||
| ROE | 10.06% | ||
| ROCE | 8.76% | ||
| ROIC | 6.89% | ||
| ROICexc | 7.6% | ||
| ROICexgc | 10.55% | ||
| OM | 6.09% | ||
| PM (TTM) | 3.07% | ||
| GM | 46.79% | ||
| FCFM | 3.25% |
ROA(3y)9.05%
ROA(5y)8.18%
ROE(3y)26.4%
ROE(5y)25.22%
ROIC(3y)13.75%
ROIC(5y)13.22%
ROICexc(3y)16.52%
ROICexc(5y)18.31%
ROICexgc(3y)24.79%
ROICexgc(5y)28.26%
ROCE(3y)17.48%
ROCE(5y)16.81%
ROICexgc growth 3Y-19.15%
ROICexgc growth 5Y0.36%
ROICexc growth 3Y-17.36%
ROICexc growth 5Y-0.7%
OM growth 3Y-11.06%
OM growth 5Y-2.63%
PM growth 3Y-12.75%
PM growth 5Y-2.95%
GM growth 3Y0.38%
GM growth 5Y2.29%
F-Score5
Asset Turnover1.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 5.42 | ||
| Debt/EBITDA | 2.19 | ||
| Cap/Depr | 107.95% | ||
| Cap/Sales | 2.09% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 66.51% | ||
| Profit Quality | 105.72% | ||
| Current Ratio | 2.26 | ||
| Quick Ratio | 0.95 | ||
| Altman-Z | 2.68 |
F-Score5
WACC11.11%
ROIC/WACC0.62
Cap/Depr(3y)84.08%
Cap/Depr(5y)65.4%
Cap/Sales(3y)1.75%
Cap/Sales(5y)1.49%
Profit Quality(3y)119.52%
Profit Quality(5y)187.79%
High Growth Momentum
Growth
EPS 1Y (TTM)-33.33%
EPS 3Y-8.37%
EPS 5Y-1.36%
EPS Q2Q%-55.95%
EPS Next Y-51.67%
EPS Next 2Y-37.67%
EPS Next 3Y-24.68%
EPS Next 5YN/A
Revenue 1Y (TTM)-19.15%
Revenue growth 3Y-6.56%
Revenue growth 5Y-4.17%
Sales Q2Q%-0.08%
Revenue Next Year1.26%
Revenue Next 2Y0.56%
Revenue Next 3Y0.08%
Revenue Next 5YN/A
EBIT growth 1Y-52.45%
EBIT growth 3Y-16.9%
EBIT growth 5Y-6.69%
EBIT Next Year-18.65%
EBIT Next 3Y-3.4%
EBIT Next 5YN/A
FCF growth 1Y-79.82%
FCF growth 3Y1.66%
FCF growth 5Y-5.73%
OCF growth 1Y-70.46%
OCF growth 3Y3.65%
OCF growth 5Y-5.05%
CARTER'S INC / CRI FAQ
What is the ChartMill fundamental rating of CARTER'S INC (CRI) stock?
ChartMill assigns a fundamental rating of 5 / 10 to CRI.
What is the valuation status of CARTER'S INC (CRI) stock?
ChartMill assigns a valuation rating of 6 / 10 to CARTER'S INC (CRI). This can be considered as Fairly Valued.
What is the profitability of CRI stock?
CARTER'S INC (CRI) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for CRI stock?
The Price/Earnings (PE) ratio for CARTER'S INC (CRI) is 8.75 and the Price/Book (PB) ratio is 1.53.
How financially healthy is CARTER'S INC?
The financial health rating of CARTER'S INC (CRI) is 5 / 10.