Carter's, Inc. $CRI Shares Sold by Hotchkis & Wiley Capital Management LLC

Key Points

• Hotchkis & Wiley Capital Management LLC reduced its stake in Carter's, Inc. by 22.9%, now holding 133,430 shares valued at approximately $5.46 million.
• Analysts have varied opinions on Carter's stock, with UBS Group lowering its target price from $32 to $26, while Wells Fargo raised theirs from $25 to $28; the consensus target price is currently $30.25.
• Carter's recently announced a quarterly dividend of $0.25, reflecting an annualized rate of $1.00, with a yield of 3.7% and a payout ratio of 26.53%.

Hotchkis & Wiley Capital Management LLC cut its holdings in shares of Carter's, Inc. (NYSE:CRI - Free Report) by 22.9% during the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 133,430 shares of the textile maker's stock after selling 39,530 shares during the period. Hotchkis & Wiley Capital Management LLC owned approximately 0.37% of Carter's worth $5,457,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also bought and sold shares of the company. Hsbc Holdings PLC boosted its position in Carter's by 7.1% in the fourth quarter. Hsbc Holdings PLC now owns 5,217 shares of the textile maker's stock worth $279,000 after purchasing an additional 347 shares during the last quarter. Covestor Ltd lifted its position in shares of Carter's by 18.6% during the 1st quarter. Covestor Ltd now owns 2,575 shares of the textile maker's stock valued at $106,000 after buying an additional 404 shares in the last quarter. US Bancorp DE lifted its position in shares of Carter's by 45.0% during the 1st quarter. US Bancorp DE now owns 1,408 shares of the textile maker's stock valued at $58,000 after buying an additional 437 shares in the last quarter. Parallel Advisors LLC lifted its position in shares of Carter's by 80.9% during the 1st quarter. Parallel Advisors LLC now owns 1,062 shares of the textile maker's stock valued at $43,000 after buying an additional 475 shares in the last quarter. Finally, Colonial Trust Co SC purchased a new position in shares of Carter's during the 4th quarter valued at about $29,000.

Carter's Trading Up 1.1%

CRI traded up $0.32 during trading hours on Friday, reaching $28.62. 1,307,311 shares of the company's stock traded hands, compared to its average volume of 1,539,907. Carter's, Inc. has a 52-week low of $23.38 and a 52-week high of $71.99. The firm has a market capitalization of $1.04 billion, a PE ratio of 7.59 and a beta of 0.99. The firm has a 50-day moving average price of $28.62 and a 200 day moving average price of $34.80. The company has a quick ratio of 1.03, a current ratio of 2.20 and a debt-to-equity ratio of 0.58.

Carter's (NYSE:CRI - Get Free Report) last released its quarterly 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). The company had revenue of $585.31 million during the quarter, compared to the consensus estimate of $563.24 million. Carter's had a return on equity of 20.68% and a net margin of 4.79%.The company's revenue was up 3.7% on a year-over-year basis. During the same period in the previous year, the firm posted $0.76 earnings per share. As a group, sell-side analysts predict that Carter's, Inc. will post 5.15 EPS for the current fiscal year.

Carter's Cuts Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, September 12th. Investors of record on Tuesday, August 26th will be given a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a yield of 3.5%. The ex-dividend date of this dividend is Tuesday, August 26th. Carter's's dividend payout ratio is currently 26.53%.

Analyst Ratings Changes

A number of research firms have recently weighed in on CRI. Barclays lowered their price objective on Carter's from $25.00 to $22.00 and set an "underweight" rating on the stock 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. Zacks Research cut Carter's from a "hold" rating to a "strong sell" rating in a research report on Wednesday, August 13th. Finally, UBS Group decreased their target price on Carter's from $32.00 to $26.00 and set a "neutral" rating on the stock in a research note on Monday, July 28th. Two investment analysts have rated the stock with a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of "Strong Sell" and an average target price of $30.25.

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.