CRI
Consumer CyclicalCarter's, Inc. · Apparel - Retail · $1B
What is Carter's, Inc.?
Carter's, Inc. is one of North America's most recognized names in young children's apparel, operating a portfolio of brands sold through its own retail stores, major wholesale partners, and eCommerce channels. The company went public in 2003 and is headquartered in Atlanta.
Carter's designs, sources, and markets childrenswear and baby essentials across three business segments: U.S. Retail, U.S. Wholesale, and International. Revenue flows from company-operated stores, roughly eighteen thousand wholesale doors including department and chain stores, and direct-to-consumer eCommerce sites. The company earns money by licensing its brands internationally as well. Multiple brand names allow Carter's to serve different retail price points and distribution channels simultaneously.
Carter's traces its brand heritage to 1865, with the current publicly traded entity incorporated in 2003 and based in Atlanta, Georgia.
- Carter's brand bodysuits, sleepwear, and layette essentials for babies and toddlers
- OshKosh B'gosh playclothes, denim, and coordinating apparel for young children
- Skip Hop gear for playtime, mealtime, bathtime, travel, and diaper bags
- Child of Mine and Just One You value-tier lines sold through mass-market retailers
- little planet and Simple Joys brand extensions for specialty and online channels
Is CRI a Good Stock to Buy?
UQS Score rates CRI as Below Average overall, reflecting meaningful headwinds across several key dimensions of business quality.
The most constructive element in Carter's current profile is Valuation, which scores Attractive — suggesting the market may already be pricing in a good deal of the company's challenges. The Quality pillar lands at Neutral, indicating the business still generates some operational stability despite broader pressures.
Growth, Moat, and Risk all register as Weak, pointing to limited competitive differentiation, a difficult demand environment for discretionary childrenswear, and elevated financial or operational risk factors that investors should weigh carefully.
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Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.
Does CRI pay dividends?
Yes — Carter's, Inc. pays a dividend.
Carter's pays a regular dividend, which may appeal to income-oriented investors willing to accept the company's current risk profile. The dividend reflects management's commitment to returning cash to shareholders even during periods of softer growth. Investors should review the company's payout sustainability in light of its Weak Risk and Growth pillar ratings before relying on the dividend as a core return driver.
When does CRI report earnings?
Carter's reports earnings on a quarterly cadence, consistent with standard practice for US-listed equities.
The company has faced pressure from softer consumer demand in the discretionary childrenswear category, which is reflected in its Weak Growth pillar rating. Wholesale channel dynamics and international segment performance have added complexity to the earnings picture in recent periods.
For the most recent quarter's results and forward guidance, visit Carter's investor relations page at ir.carters.com.
CRI Price History
-53.7% over 5Y
Monthly close, adjusted for stock splits and dividend reinvestment.
What if I invested in Carter's, Inc.?
Based on Carter's, Inc.'s historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.
CRI Long-term Outlook
Carter's fundamental outlook is constrained by Weak Growth and Weak Moat ratings, suggesting the business faces structural challenges in re-accelerating revenue. The Attractive Valuation label indicates the stock may reflect these difficulties, but a meaningful re-rating would likely require evidence of stabilizing demand trends, margin recovery, or successful brand extension into new categories. The Weak Risk profile adds uncertainty to any near-term improvement thesis.
Growth drivers
- International segment expansion and licensing revenue diversification
- eCommerce channel growth across Carter's, OshKosh, and Skip Hop digital storefronts
- New brand extensions such as little planet targeting premium and eco-conscious parents
Key risks
- Declining birth rates in core markets reducing the addressable customer base over time
- Intense price competition from mass-market and fast-fashion childrenswear alternatives
- Consumer spending sensitivity to economic cycles given the discretionary nature of branded apparel
CRI vs Peers
Carter's competes across the broader specialty and value apparel retail landscape, though its childrenswear focus sets it apart from most direct peers.
Buckle focuses on teen and young adult denim and lifestyle apparel through mall-based stores, serving an older demographic than Carter's core baby and toddler customer.
American Eagle targets teens and young adults across its AE and Aerie brands, competing for discretionary apparel wallet share but not directly in the childrenswear category.
Stitch Fix uses a subscription and algorithmic styling model across adult and kids categories, representing a digitally native alternative to Carter's traditional retail and wholesale distribution approach.
Frequently Asked Questions
What does Carter's do?
Carter's designs, sources, and markets branded apparel and accessories for babies and young children. Its portfolio includes the Carter's, OshKosh B'gosh, and Skip Hop brands, sold through company-owned retail stores, major wholesale partners, and eCommerce websites in the United States and internationally.
Does CRI pay dividends?
Yes, Carter's pays a regular dividend to shareholders. The company has maintained a dividend program as part of its capital return strategy. Investors should assess payout sustainability against the company's current Weak Risk and Growth pillar ratings before treating the dividend as a reliable long-term income source.
When does CRI report earnings?
Carter's reports financial results on a quarterly basis, in line with standard US-listed company practice. For exact dates and the most recent earnings releases, check Carter's investor relations page directly at ir.carters.com.
Is CRI a good stock to buy?
UQS Score rates CRI as Below Average, driven by Weak ratings across Growth, Moat, and Risk pillars. The Attractive Valuation label suggests the market has priced in significant challenges, but whether that creates an opportunity depends on an investor's individual risk tolerance and time horizon. The full pillar breakdown is available to Pro members.
Is CRI overvalued?
Based on the UQS Valuation pillar, CRI currently scores Attractive, meaning the stock does not appear expensive relative to its fundamentals on the metrics UQS evaluates. However, an attractive price alone does not offset the Weak Growth and Moat ratings. View the complete valuation analysis with a Pro account.
How does CRI compare to its competitors?
Carter's occupies a distinct niche in childrenswear that differs from broader apparel peers like American Eagle and Buckle, which target older demographics. Stitch Fix represents a digitally native model competing partly in kids categories. Carter's multi-brand, multi-channel approach is its primary structural differentiator, though its Weak Moat rating suggests that advantage is under pressure.
What is CRI's market cap bracket?
Carter's is classified as a small-cap company. This places it in a tier where liquidity, analyst coverage, and institutional ownership can be lower than for large- or mega-cap peers, which may contribute to greater price volatility and wider bid-ask spreads for retail investors.
Who founded Carter's?
The Carter's brand traces its origins to 1865, founded by William Carter in Massachusetts. The modern publicly traded entity, Carter's, Inc., was incorporated in 2003 and is now headquartered in Atlanta, Georgia. Founding history is widely documented in the company's public filings and corporate website.
Is CRI a long-term quality investment?
As a long-term quality indicator, CRI's Below Average UQS Score reflects challenges that investors should weigh carefully. Weak Moat and Growth ratings suggest the business may struggle to compound value at above-average rates over time. The Attractive Valuation could offer a margin of safety, but quality fundamentals matter most for long-duration holding periods.
What is the main competitive advantage of Carter's?
Carter's primary competitive advantage lies in its multi-brand portfolio and deep penetration across retail price points — from mass-market chains to department stores to its own branded stores. However, the UQS Moat pillar rates this advantage as Weak, indicating that brand loyalty and switching costs may not be as durable as they once were in the current competitive environment.
What sector does CRI belong to?
Carter's is classified in the Consumer Cyclical sector. This means its business performance is sensitive to broader economic conditions, consumer confidence, and discretionary spending trends — factors that become especially relevant during periods of inflation or economic slowdown when families may trade down or reduce apparel purchases.
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Pro Analysis
CRI — Score History
| Date | UQS | Quality | Moat | Growth | Risk | Value | Change |
|---|---|---|---|---|---|---|---|
| May 23, 2026 | 46.7 | 48.8 | 28.0 | 22.4 | 64.2 | 89.1 | +0.1 |
| May 22, 2026 | 46.6 | 48.8 | 28.0 | 22.4 | 64.2 | 88.8 | -0.1 |
| May 21, 2026 | 46.7 | 48.8 | 28.0 | 22.4 | 64.2 | 89.2 | -0.2 |
| May 20, 2026 | 46.9 | 48.8 | 28.0 | 22.4 | 64.2 | 90.5 | 0.0 |
| May 19, 2026 | 46.9 | 48.8 | 28.0 | 22.4 | 64.2 | 90.8 | -0.4 |
| May 16, 2026 | 47.3 | 48.8 | 28.0 | 22.4 | 64.2 | 93.0 | +0.1 |
| May 15, 2026 | 47.2 | 48.8 | 28.0 | 22.4 | 64.2 | 92.7 | +0.2 |
| May 13, 2026 | 47.0 | 48.8 | 28.0 | 21.4 | 64.2 | 92.8 | -0.1 |
| May 12, 2026 | 47.1 | 48.8 | 28.0 | 21.4 | 64.2 | 93.4 | +0.4 |
| May 11, 2026 | 46.7 | 48.8 | 28.0 | 21.4 | 64.2 | 90.6 | +2.0 |
CRI — Pillar Breakdown
Quality
— 48.8/100 (25%)Carter's, Inc. has average quality metrics, with room for improvement in margins or capital efficiency.
How effectively capital is deployed to generate returns.
Profitability relative to shareholders' equity.
Ability to convert revenue into operating profit.
Bottom-line profit as a share of revenue.
Asset productivity — how much gross profit each dollar of assets generates.
Free cash flow relative to market value.
Growth
— 22.4/100 (20%)Carter's, Inc. faces growth headwinds with declining or stagnant revenue trends.
Revenue trajectory over the last twelve months.
Compound annual revenue growth rate over 3 years.
Year-over-year earnings per share growth.
Analyst consensus for future revenue growth.
Analyst consensus for future earnings growth.
Risk
— 64.2/100 (15%)Carter's, Inc. maintains a reasonable risk profile with manageable debt levels.
Debt levels relative to earnings capacity.
Total debt relative to shareholder equity.
Short-term liquidity — ability to pay near-term obligations.
Earnings capacity relative to interest payments.
Valuation
— 88.8/100 (15%)Carter's, Inc. appears attractively valued relative to its earnings, cash flows, and sector peers.
Inverse of forward P/E — higher yield means cheaper stock.
How many years of FCF the market cap represents.
P/E relative to earnings growth — lower is more attractive.
Enterprise value multiple relative to sector median.
Moat
— 28/100 (25%)Carter's, Inc. operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for CRI.
Score Composition
Financial Data
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How is the CRI UQS Score Calculated?
The UQS (Unified Quality Score) for Carter's, Inc. is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.
Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.
Moat (25%) assesses Carter's, Inc.'s competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.
Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.
Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.
Valuation (15%) measures whether Carter's, Inc. is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.
Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.