CRINYSEApparel & Other Finishd Prods of Fabrics & Similar MatlFiscal year ends January 2
CARTERS INC
Financials through Q2 FY2026, quarter ended Jul 4, 2026Last filing: 10-Q on Jul 31, 2026
$32.75+1.30 (+4.13%)
Close on Oct 19, 2026
- Market cap
- $1.17B
- P/E (TTM)
- 6.1
- Dividend yield
- 4.73%
Margins
Share of revenue, fiscal years 2011 to 2025
Gross margin
45.4%+1.9 pts over 5 years
Operating margin
5.0%−1.3 pts over 5 years
Net margin
3.2%−0.5 pts over 5 years
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | +1.9% | -3.4% | -0.8% | -0.4% | |
| Gross profit | -3.7% | -3.7% | +0.0% | +0.4% | |
| Operating income | -43.5% | -27.6% | -5.4% | -9.6% | |
| Net income | -50.5% | -28.4% | -3.5% | -9.1% | |
| EPS, diluted | -50.6% | -26.4% | +0.2% | -5.6% | |
| Free cash flow | -71.7% | +12.7% | -34.2% | -10.3% | |
| Dividend per share | -51.6% | -19.8% | +20.9% | +5.8% |
Returns and balance sheet
10 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2016 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | 31.0% | 12.1% | 10.3% | |
| Return on assets | 13.0% | 3.6% | 3.7% | |
| Current ratio | 3.81 | 2.46 | 2.51 | |
| Debt to equity | 0.74 | 1.05 | 0.61 | |
| Net debt to EBITDA | 0.56× | -0.40× | 0.41× | |
| Interest coverage | 15.7× | 3.4× | 4.2× | |
| Inventory turnover | – | 2.9× | 3.0× | |
| Capex to revenue | 2.8% | 1.1% | 1.9% | |
| Diluted shares | 50M | 43M | 35M |
Where the cash went
Fiscal 2021 to 2025, five years combined
Carters generated $1.31B from operations and spent $1.46B on capital expenditure, dividends and share buybacks. 17% of that went back into the business.
Generated
$1.31B
Used
$1.46B
Capital expenditure$247.54M17%Dividends$462.78M32%Share buybacks$749.57M51%
DuPont analysis
Return on equity split into margin, efficiency and leverage
Net margin3.2%
×Asset turnover1.16×
×Equity multiplier2.81×
=Return on equity, FY202510.3%
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | 3.2% | 1.16× | 2.81× | 10.3% |
| FY2024 | 6.5% | 1.18× | 2.83× | 21.8% |
| FY2023 | 7.9% | 1.22× | 2.94× | 28.3% |
| FY2022 | 7.8% | 1.14× | 3.22× | 28.6% |
| FY2021 | 9.7% | 1.06× | 3.49× | 36.0% |
| FY2020 | 3.6% | 0.98× | 3.38× | 12.1% |
| FY2019 | 7.5% | 1.46× | 2.75× | 30.2% |
| FY2018 | 8.1% | 1.68× | 2.39× | 32.7% |
| FY2017 | 8.9% | 1.69× | 2.44× | 36.8% |
| FY2016 | 8.1% | 1.62× | 2.37× | 31.0% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
5of 9 tests passed in fiscal 2025. Scores of 7 to 9 are usually read as strong.
- ProfitableNet income above zero$91.80M
- Cash generatingOperating cash flow above zero$122.33M
- Return on assets improvedROA up on the prior year7.8% → 3.8%
- Earnings backed by cashOperating cash flow above net income$122.33M vs $91.80M
- Less leverageLong-term debt to assets fell20.5% → 22.1%
- Better liquidityCurrent ratio rose2.25 → 2.51
- No dilutionShare count did not rise36M → 35M
- Gross margin improvedGross margin up on the prior year48.00% → 45.36%
- More efficientAsset turnover rose1.20 → 1.19