Carter’s stock hits 52-week low at $32.03 amid market challenges

Published 21/05/2025, 14:42
Carter’s stock hits 52-week low at $32.03 amid market challenges

In a challenging retail environment, Carter’s Inc (NYSE:CRI) stock has tumbled to a 52-week low, with shares dropping to $32.03, marking a significant 56% decline from its 52-week high of $71.99. The children’s apparel giant has faced significant headwinds over the past year, reflected in the stock’s steep decline. According to InvestingPro analysis, the company appears undervalued at current levels, with multiple indicators suggesting potential recovery opportunities. Investors have watched with concern as Carter’s stock has plummeted by 52.45% over the past year, marking a stark contrast to its previous performance. Despite these challenges, the company maintains a healthy financial position with a current ratio of 2.56 and offers an attractive 8.7% dividend yield, having maintained consistent dividend payments for 13 consecutive years. The company, known for its strong brand presence and extensive product lines, is now grappling with the pressures of changing consumer habits and a competitive landscape that continues to evolve rapidly. For deeper insights into Carter’s financial health and growth prospects, consider exploring the comprehensive Research Report available on InvestingPro.

In other recent news, Carter’s Inc. reported its first-quarter 2025 earnings, surpassing analyst expectations with an earnings per share (EPS) of $0.66 compared to the forecasted $0.62. The company’s revenue for the quarter was $630 million, slightly above the anticipated $624.86 million. Despite these positive results, Carter’s has suspended its forward guidance due to leadership changes and tariff uncertainties. The company also announced a significant reduction in its quarterly dividend from $0.80 to $0.25 per share, reflecting a 68.8% decline. This change is part of a broader strategic plan under the new CEO, Doug Palladini, focusing on returning to profitable growth. Barclays (LON:BARC) recently downgraded Carter’s stock to an Underweight rating, citing structural challenges in the children’s apparel sector and setting a price target of $25. The firm’s analysis points to issues such as declining birth rates and potential negative impacts from tariffs on Chinese imports. Carter’s Board of Directors declared the new dividend payable on June 20, 2025, to shareholders of record as of June 2, 2025, with future declarations subject to business conditions and financial performance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.