Carter's (NYSE:CRI) Reaches New 1-Year Low - Time to Sell?

Shares of Carter's, Inc. (NYSE:CRI - Get Free Report) hit a new 52-week low during mid-day trading on Monday . The stock traded as low as $29.83 and last traded at $29.98, with a volume of 459697 shares. The stock had previously closed at $31.12.

Analyst Upgrades and Downgrades

Several brokerages have issued reports on CRI. Barclays initiated coverage on Carter's in a research note on Monday, April 28th. They set an "underweight" rating and a $25.00 price target for the company. UBS Group cut their price objective on Carter's from $37.00 to $32.00 and set a "neutral" rating on the stock in a research report on Monday, April 28th. Wells Fargo & Company lifted their price objective on Carter's from $25.00 to $28.00 and gave the company an "underweight" rating in a research report on Wednesday, May 14th. Finally, Citigroup dropped their price target on Carter's from $50.00 to $45.00 and set a "neutral" rating on the stock in a research report on Wednesday, February 26th. Three equities research analysts have rated the stock with a sell rating and two have issued a hold rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of "Reduce" and a consensus price target of $36.80.

Carter's Price Performance

The firm has a 50-day moving average of $35.05 and a 200-day moving average of $45.26. The firm has a market capitalization of $1.15 billion, a P/E ratio of 5.01, a PEG ratio of 3.37 and a beta of 1.05. The company has a debt-to-equity ratio of 0.60, a quick ratio of 0.96 and a current ratio of 2.21.

Carter's (NYSE:CRI - Get Free Report) last released its quarterly earnings results on Friday, April 25th. The textile maker reported $0.66 earnings per share for the quarter, beating the consensus estimate of $0.53 by $0.13. The firm had revenue of $291.09 million for the quarter, compared to analysts' expectations of $624.86 million. Carter's had a return on equity of 27.15% and a net margin of 8.11%. The company's revenue was down 4.8% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.98 EPS. As a group, analysts predict that Carter's, Inc. will post 5.15 EPS for the current year.

Carter's Increases Dividend

The company also recently declared a dividend, which will be paid on Friday, June 20th. Stockholders of record on Tuesday, June 3rd will be issued a dividend of $0.25 per share. 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 is Monday, June 2nd. Carter's's dividend payout ratio is presently 22.12%.

Hedge Funds Weigh In On Carter's

Several hedge funds and other institutional investors have recently modified their holdings of the company. WBI Investments LLC raised its holdings in Carter's by 12.3% in the 1st quarter. WBI Investments LLC now owns 26,524 shares of the textile maker's stock worth $1,085,000 after purchasing an additional 2,898 shares during the period. Bayforest Capital Ltd bought a new position in Carter's in the 1st quarter worth $526,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its holdings in Carter's by 5.4% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 120,964 shares of the textile maker's stock worth $4,947,000 after purchasing an additional 6,195 shares during the period. Dean Capital Management raised its holdings in Carter's by 25.8% in the 1st quarter. Dean Capital Management now owns 54,606 shares of the textile maker's stock worth $2,233,000 after purchasing an additional 11,215 shares during the period. Finally, Aristeia Capital L.L.C. bought a new position in Carter's in the 1st quarter worth $316,000.

About Carter's

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.