What to Expect from Carter's's Earnings
Carter's (NYSE:CRI) will release its quarterly earnings report on Friday, 2025-07-25. Here's a brief overview for investors ahead of the announcement.
Analysts anticipate Carter's to report an earnings per share (EPS) of $0.40.
Carter's bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.
New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).
Performance in Previous Earnings
Last quarter the company beat EPS by $0.14, which was followed by a 0.0% drop in the share price the next day.
Here's a look at Carter's's past performance and the resulting price change:
| Quarter | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 |
|---|---|---|---|---|
| EPS Estimate | 0.52 | 1.92 | 1.40 | 0.49 |
| EPS Actual | 0.66 | 2.39 | 1.64 | 0.76 |
| Price Change % | -11.0% | -3.0% | -13.0% | -4.0% |
Tracking Carter's's Stock Performance
Shares of Carter's were trading at $33.93 as of July 23. Over the last 52-week period, shares are down 41.04%. Given that these returns are generally negative, long-term shareholders are likely bearish going into this earnings release.
Analysts' Perspectives on Carter's
For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Carter's.
Analysts have given Carter's a total of 4 ratings, with the consensus rating being Underperform. The average one-year price target is $27.5, indicating a potential 18.95% downside.
Comparing Ratings with Peers
In this analysis, we delve into the analyst ratings and average 1-year price targets of FIGS, G-III Apparel Group and Hanesbrands, three key industry players, offering insights into their relative performance expectations and market positioning.
- Analysts currently favor an Neutral trajectory for FIGS, with an average 1-year price target of $4.9, suggesting a potential 85.56% downside.
- Analysts currently favor an Neutral trajectory for G-III Apparel Group, with an average 1-year price target of $25.86, suggesting a potential 23.78% downside.
- Analysts currently favor an Neutral trajectory for Hanesbrands, with an average 1-year price target of $4.5, suggesting a potential 86.74% downside.
Insights: Peer Analysis
In the peer analysis summary, key metrics for FIGS, G-III Apparel Group and Hanesbrands are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Carter's | Underperform | -4.79% | $291.09M | 1.79% |
| FIGS | Neutral | 4.70% | $84.46M | -0.03% |
| G-III Apparel Group | Neutral | -4.29% | $246.54M | 0.46% |
| Hanesbrands | Neutral | 2.08% | $316.70M | -24.42% |
Key Takeaway:
Carter's is positioned in the middle among its peers for consensus rating. It ranks at the bottom for revenue growth and gross profit, while it is at the top for return on equity.
About Carter's
Carter's Inc makes apparel for babies and children under brand names including Carter's and OshKosh B'gosh. It sells its products through a multi-channel business model, which includes retail stores, eCommerce, and wholesale sales channels, as well as retail omnichannel capabilities in the United States and Canada, which enables it to reach a broad range of consumers around the world. The company operates in three segments; U.S. Retail, U.S. Wholesale, and International. The majority of revenue is derived from U.S. Wholesale segment. The company predominantly sources products through contract manufacturers in Asia. It has multiple distribution centers in the U.S., in addition to distribution centers in Canada and Asia that serve international customers.
Carter's's Financial Performance
Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.
Revenue Growth: Carter's's revenue growth over a period of 3 months has faced challenges. As of 31 March, 2025, the company experienced a revenue decline of approximately -4.79%. This indicates a decrease in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Consumer Discretionary sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 2.42%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): Carter's's ROE excels beyond industry benchmarks, reaching 1.79%. This signifies robust financial management and efficient use of shareholder equity capital.
Return on Assets (ROA): Carter's's ROA excels beyond industry benchmarks, reaching 0.64%. This signifies efficient management of assets and strong financial health.
Debt Management: Carter's's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 1.32.
To track all earnings releases for Carter's visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
