What is Zacks Research's Estimate for Carter's Q3 Earnings?

Key Points

• Analysts at Zacks Research have lowered their Q3 2025 earnings per share estimate for Carter's to $0.83, down from a previous estimate of $0.98.
• Carter's reported a missing earnings of $0.17 per share in their last quarterly results, falling short of analyst expectations by $0.26.
• The company recently announced a dividend of $0.25 per share, which will be paid on September 12th, reflecting a 3.8% annualized yield.

Carter's, Inc. (NYSE:CRI - Free Report) - Stock analysts at Zacks Research reduced their Q3 2025 earnings per share (EPS) estimates for shares of Carter's in a report issued on Wednesday, August 13th. Zacks Research analyst R. Lohia now forecasts that the textile maker will post earnings per share of $0.83 for the quarter, down from their prior forecast of $0.98. Zacks Research has a "Strong Sell" rating on the stock. The consensus estimate for Carter's' current full-year earnings is $5.15 per share. Zacks Research also issued estimates for Carter's' FY2025 earnings at $3.37 EPS and Q1 2027 earnings at $0.84 EPS.

Carter's (NYSE:CRI - Get Free Report) last issued its earnings results on Friday, July 25th. The textile maker reported $0.17 EPS for the quarter, missing the consensus estimate of $0.43 by ($0.26). Carter's had a net margin of 4.79% and a return on equity of 20.68%. The business had revenue of $585.31 million for the quarter, compared to analysts' expectations of $563.24 million. During the same quarter in the prior year, the business posted $0.76 earnings per share. The business's revenue for the quarter was up 3.7% on a year-over-year basis.

A number of other analysts have also recently commented on CRI. Barclays reduced their price target on Carter's from $25.00 to $22.00 and set an "underweight" rating for the company in a research report on Tuesday, July 29th. 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, UBS Group lowered their price objective on Carter's from $32.00 to $26.00 and set a "neutral" rating on the stock in a research report on Monday, July 28th. Two investment analysts have rated the stock with a Hold rating and three have issued a Sell rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Strong Sell" and an average target price of $30.25.

Carter's Stock Performance

Shares of CRI stock traded up $0.1250 on Friday, reaching $25.6850. The stock had a trading volume of 442,678 shares, compared to its average volume of 1,539,543. The stock has a market cap of $935.70 million, a P/E ratio of 6.84 and a beta of 0.99. Carter's has a 1 year low of $23.38 and a 1 year high of $71.99. The company has a debt-to-equity ratio of 0.58, a quick ratio of 1.03 and a current ratio of 2.20. The company has a 50 day simple moving average of $29.22 and a 200 day simple moving average of $35.87.

Carter's Cuts Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, September 12th. Stockholders of record on Tuesday, August 26th will be issued a $0.25 dividend. This represents a $1.00 annualized dividend and a dividend yield of 3.9%. Carter's's dividend payout ratio (DPR) is 26.53%.

Institutional Investors Weigh In On Carter's

Several large investors have recently made changes to their positions in CRI. Allworth Financial LP grew its position in Carter's by 313.1% in the first quarter. Allworth Financial LP now owns 723 shares of the textile maker's stock worth $28,000 after acquiring an additional 548 shares in the last quarter. Colonial Trust Co SC purchased a new position in Carter's in the fourth quarter worth about $29,000. Signaturefd LLC grew its position in Carter's by 269.0% in the second quarter. Signaturefd LLC now owns 1,000 shares of the textile maker's stock worth $30,000 after acquiring an additional 729 shares in the last quarter. Parallel Advisors LLC grew its position in Carter's by 80.9% in the first quarter. Parallel Advisors LLC now owns 1,062 shares of the textile maker's stock worth $43,000 after acquiring an additional 475 shares in the last quarter. Finally, EverSource Wealth Advisors LLC grew its position in Carter's by 202.6% in the second quarter. EverSource Wealth Advisors LLC now owns 1,486 shares of the textile maker's stock worth $45,000 after acquiring an additional 995 shares in the last quarter.

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.