Carter's (NYSE:CRI) Issues Quarterly Earnings Results

Key Points

• Carter's reported a Q1 earnings per share (EPS) of $0.17, falling short of the consensus estimate of $0.43, while revenue reached $585.31 million, exceeding expectations of $563.24 million.
• The company has increased its dividend to $0.25 per share, yielding 3.19%, up from $0.22 previously, with a dividend payout ratio of 22.12%.
• Carter's stock experienced a significant drop of $6.40 during trading, closing at $26.36, which contrasts sharply with its 52-week high of $71.99.

Carter's (NYSE:CRI - Get Free Report) released its quarterly earnings data on Friday. The textile maker reported $0.17 EPS for the quarter, missing the consensus estimate of $0.43 by ($0.26), Zacks reports. The business had revenue of $585.31 million for the quarter, compared to analysts' expectations of $563.24 million. Carter's had a net margin of 5.80% and a return on equity of 23.50%. Carter's's revenue for the quarter was up 3.7% compared to the same quarter last year. During the same period last year, the company earned $0.76 earnings per share.

Carter's Price Performance

Shares of CRI stock traded down $6.40 during trading on Friday, hitting $26.36. The company had a trading volume of 8,093,718 shares, compared to its average volume of 1,491,400. The company has a quick ratio of 1.40, a current ratio of 2.56 and a debt-to-equity ratio of 0.59. The stock's 50-day moving average is $31.64 and its two-hundred day moving average is $39.30. The stock has a market capitalization of $960.38 million, a price-to-earnings ratio of 5.83 and a beta of 0.98. Carter's has a 52 week low of $23.50 and a 52 week high of $71.99.

Carter's Increases Dividend

The business also recently disclosed a dividend, which was paid on Friday, June 20th. Investors of record on Tuesday, June 3rd were given a $0.25 dividend. This represents a dividend yield of 3.19%. This is a boost from Carter's's previous dividend of $0.22. The ex-dividend date of this dividend was Monday, June 2nd. Carter's's dividend payout ratio is 22.12%.

Institutional Inflows and Outflows

An institutional investor recently raised its position in Carter's stock. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in Carter's, Inc. (NYSE:CRI - Free Report) by 5.4% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 120,964 shares of the textile maker's stock after purchasing an additional 6,195 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC owned approximately 0.33% of Carter's worth $4,947,000 as of its most recent SEC filing.

Analyst Ratings Changes

A number of brokerages have recently issued reports on CRI. Barclays began coverage on shares of Carter's in a report on Monday, April 28th. They issued an "underweight" rating and a $25.00 price target on the stock. Wells Fargo & Company increased their price target on shares of Carter's from $25.00 to $28.00 and gave the stock an "underweight" rating in a report on Wednesday, May 14th. Finally, UBS Group lowered their price target on shares of Carter's from $37.00 to $32.00 and set a "neutral" rating on the stock in a report on Monday, April 28th. Three analysts have rated the stock with a sell rating and two have issued a hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of "Reduce" and a consensus price target of $36.80.

Carter's Company Profile

Carter's, Inc engages in the business of brand marketing of young children's apparel. It operates through the following segments: the United States (US) Retail, US Wholesale, and International. The US Retail segment includes selling products through retail stores and ecommerce websites. The US Wholesale segment focuses on wholesale partners.

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