Wells Fargo Upgrades Carter's, Inc. to 'Hold' with $42 Target

Wells Fargo analyst Ike Boruchow has upgraded Carter's, Inc. (NYSE:CRI) to a 'hold' rating, setting a new price target of $42. This move, announced on June 17, 2026, reflects a more optimistic outlook for the children's apparel retailer, whose shares recently traded at $41.10.

Other Institutional Activity in Carter's, Inc.

Other institutional investors have adjusted their positions in Carter's, Inc. BlackRock, Inc. slightly reduced its holdings by 5,860 shares, ending with 5,475,209 shares worth about $195.8 million. Vanguard Portfolio Management LLC added 2,553,717 shares, bringing its total to the same amount, valued at approximately $91.3 million. RWWM, Inc. significantly cut its position by 2,173,964 shares, holding 2,342,359 shares valued at $83.8 million. Allianz Asset Management GmbH increased its stake by 277,502 shares to 1,820,289 shares, worth around $65.1 million. Dimensional Fund Advisors LP also added 472,786 shares, resulting in a total of 1,765,205 shares, valued at $63.1 million.

Carter's, Inc. Stock Up 3.0%

Shares of Carter's, Inc. (NYSE:CRI) traded near $41.10. The company has a market cap of approximately $1.51 billion, with a P/E ratio of 16.5 and a forward P/E of 11.4. The stock's 52-week low is $23.38, and its high is $44.44. Carter's 50-day moving average is $37.16, while the 200-day moving average is $34.16. The company maintains a current ratio of 2.80 and a quick ratio of 1.55, with a debt-to-equity ratio of 128.85.

Recent Earnings

Carter's, Inc. reported revenue of about $2.95 billion, reflecting a growth of 8.1%. The company's net margin stands at 3.071%, with a return on equity of 10.2%. Earnings per share were $2.49. The next earnings report is expected on July 24, 2026.

Dividend

Carter's, Inc. offers an annual dividend rate of $1.00, yielding 2.43%. The dividend payout ratio is 40.16%.

Insider Buying and Selling at Carter's, Inc.

Recent insider transactions at Carter's, Inc. include CFO and COO Richard Westenberger selling 250 shares on June 12, 2026. Earlier, on May 14, multiple insiders, including Richard Westenberger and Jeffrey Harry Black, purchased shares, with each buying 4,266 shares.

Analysts Set New Price Targets

On June 17, 2026, Wells Fargo upgraded Carter's, Inc. to a 'hold' rating with a $42 price target. UBS maintained a 'hold' rating with a $41 target on May 11, 2026. The consensus among analysts is a target mean price of $40.67, based on six opinions.

About Carter's, Inc.

Carter's, Inc. designs and markets children's apparel under brands like Carter's and OshKosh B'gosh. Based in Atlanta, Georgia, the company operates through U.S. Retail, U.S. Wholesale, and International segments. It sells products via retail stores, online platforms, and wholesale partners, including department stores and specialty retailers. Led by CEO Ms. Karen G. Smith, Carter's employs approximately 15,400 people.

Bottom Line

Wells Fargo's upgrade to a 'hold' rating for Carter's, Inc. brings attention to the company's current market position. With a diverse product range and strong retail presence, Carter's remains a key player in children's apparel. This analyst rating is based on past performance and may not reflect the company's present or future conditions.