Carter's Appoints New CEO and Reaffirms Financial Outlook

Written by Emily J. Thompson, Senior Investment Analyst

Source: Newsfilter

Updated: May 01 2026

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CRI-2.93%

Should l Buy CRI?

Source: Newsfilter

Carter's Inc. shares rose 15.48% as the stock crossed above its 5-day SMA, reflecting positive investor sentiment.

The company announced the appointment of Sharon Price John as CEO, effective June 15, 2026, which is expected to drive new growth. Additionally, Carter's reaffirmed its financial outlook for Q1 and full-year fiscal 2026, with earnings results scheduled for May 6, 2026, indicating confidence in future performance despite recent profitability challenges.

This leadership change, combined with the reaffirmation of financial expectations, may enhance investor confidence and stabilize the company's market position as it prepares for upcoming earnings.

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Analyst Views on CRI

Wall Street analysts forecast CRI stock price to fall

3 Analyst Rating

1 Buy

0 Hold

2 Sell

Moderate Sell

Current: 37.230

Low

25.00

Averages

34.67

High

50.00

Current: 37.230

Low

25.00

Averages

34.67

High

50.00

Wells Fargo

Underweight

maintain

$28 -> $33

2026-04-29

Reason

Wells Fargo

Price Target

$28 -> $33

AI Analysis

2026-04-29

maintain

Underweight

Reason

Wells Fargo raised the firm's price target on Carter's to $33 from $28 and keeps an Underweight rating on the shares ahead of quarterly results. The firm is raising Q1 estimates, lowering Q2, and not expecting any full year guide raise. With the stock gaining momentum following new CEO's improved strategic vision, Wells remains bearish and calls out risk to quarter-to-date/Q2 guide while also not seeing any upward revisions following this print.

Goldman Sachs

Sell

Neutral

upgrade

$29 -> $38

2026-04-09

Reason

Goldman Sachs

Price Target

$29 -> $38

2026-04-09

upgrade

Sell

Neutral

Reason

Goldman Sachs upgraded Carter's to Neutral from Sell with a price target of $38, up from $29. The firm see a "meaningful opportunity" for Carter's to drive sales growth through share gains among households earning between $50,000-$200,000 annually. The company's digital marketing spend by platform is identifying opportunities to increase and more efficiently deploy ad spend to in pursuit of younger and higher-income consumers, the analyst tells investors in a research note.

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About CRI

Carter's, Inc. is a marketer of young children's apparel in North America. Its segments include U.S. Retail, U.S. Wholesale, and International. The U.S. Retail segment includes sales of products in the United States through its retail stores and eCommerce websites. The U.S. Wholesale segment consists of sales in the United States of products to its wholesale partners. The International segment includes sales of products outside the United States, through its retail stores and e-commerce websites in Canada and Mexico, and sales to its international wholesale customers and licensees. It owns Carter's and OshKosh B'gosh brands. These brands are sold in department stores, national chains, and specialty retailers domestically and internationally. They are also sold through nearly 1,000 Company-operated stores in the United States, Canada, and Mexico and online at www.carters.com, www.oshkosh.com, www.cartersoshkosh.ca, and www.carters.com.mx. It also owns Little Planet and Skip Hop brands.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.

Carter's Q1 2026 Earnings Exceed Expectations Amid Leadership Transition

1 day agoseekingalpha

Leadership Transition: Carter's announced the departure of CEO Doug Palladini, with Sharon Price John set to take over next month, which may impact the company's strategic direction and market confidence.
Performance Exceeds Expectations: The first quarter net sales reached $681 million, an 8% year-over-year increase, although earnings per share of $0.39 fell from $0.43 last year, indicating sales growth amid profitability pressures.
Margin Pressure: The gross margin for the first quarter decreased to 43.1%, down over 300 basis points year-over-year due to tariff impacts, which is expected to continue affecting future profitability.
Cautious Market Outlook: Management reiterated full-year sales and earnings guidance, expecting net sales growth in the low to mid-single digits for 2025, while facing challenges from a consumer increasingly focused on price, indicating ongoing market uncertainties.

Carter's (CRI) Q1 2026 Earnings Transcript

21 hours agoNASDAQ.COM

Carter's Q1 Earnings Announcement Scheduled

2 days agoseekingalpha

Earnings Release Date: Carter's (CRI) is set to announce its Q1 earnings on May 6 before market open, with a consensus EPS estimate of $0.13, reflecting an 80.3% year-over-year decline, indicating significant profitability challenges for the company.
Revenue Expectations: The revenue estimate stands at $660.8 million, representing a 4.9% year-over-year increase, suggesting some market resilience despite the overall growth being modest, which may reflect stable consumer demand.
Historical Performance Review: Over the past two years, Carter's has beaten EPS estimates 88% of the time and revenue estimates 75% of the time, indicating a strong track record in financial forecasting that could bolster investor confidence.
Expectation Revision Dynamics: In the last three months, there have been no upward revisions to EPS estimates and five downward revisions, while revenue estimates saw five upward revisions, indicating market divergence regarding Carter's future performance, which may influence investor decisions.

Carter's Appoints New CEO, Outlook for Fiscal 2026

May 01 2026seekingalpha

New CEO Appointment: Carter's Inc. announced that Sharon Price John will become the CEO and President effective June 15, 2026, joining the board, which is expected to bring new leadership and strategic direction to the company.
Transition Arrangements: Richard F. Westenberger will serve as interim CEO and President during the transition while continuing his roles as CFO and COO, ensuring operational continuity within the company.
Rich Leadership Experience: Sharon Price John led 13 years of growth and profitability at Build-A-Bear Workshop and has held leadership roles at Stride Rite, Hasbro, and Mattel, which is anticipated to provide Carter's with valuable industry insights.
Financial Outlook Reaffirmed: Carter's reaffirmed its Q1 and full-year fiscal 2026 outlook, planning to report earnings on May 6, 2026, demonstrating the company's confidence in its future performance.