
CRI Valuation
Carter's Inc
- Overview
- Forecast
- Valuation
- Earnings
CRI Relative Valuation
CRI's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, CRI is overvalued; if below, it's undervalued.
Historical Valuation
Carter's Inc (CRI) is now in the Undervalued zone, suggesting that its current forward PE ratio of 10.07 is considered Undervalued compared with the five-year average of 12.77. The fair price of Carter's Inc (CRI) is between 31.39 to 40.59 according to relative valuation methord. Compared to the current price of 26.30 USD , Carter's Inc is Undervalued By 16.21%.
Relative Value
Fair Zone
31.39-40.59
Current Price:26.30
16.21%
Undervalued
10.07
PE
1Y
3Y
5Y
Trailing
Forward
7.57
EV/EBITDA
Carter's Inc. (CRI) has a current EV/EBITDA of 7.57. The 5-year average EV/EBITDA is 9.30. The thresholds are as follows: Strongly Undervalued below 7.35, Undervalued between 7.35 and 8.32, Fairly Valued between 10.28 and 8.32, Overvalued between 10.28 and 11.25, and Strongly Overvalued above 11.25. The current Forward EV/EBITDA of 7.57 falls within the Undervalued range.
12.11
EV/EBIT
Carter's Inc. (CRI) has a current EV/EBIT of 12.11. The 5-year average EV/EBIT is 11.53. The thresholds are as follows: Strongly Undervalued below 8.53, Undervalued between 8.53 and 10.03, Fairly Valued between 13.03 and 10.03, Overvalued between 13.03 and 14.54, and Strongly Overvalued above 14.54. The current Forward EV/EBIT of 12.11 falls within the Historic Trend Line -Fairly Valued range.
0.34
PS
Carter's Inc. (CRI) has a current PS of 0.34. The 5-year average PS is 0.96. The thresholds are as follows: Strongly Undervalued below 0.49, Undervalued between 0.49 and 0.72, Fairly Valued between 1.19 and 0.72, Overvalued between 1.19 and 1.42, and Strongly Overvalued above 1.42. The current Forward PS of 0.34 falls within the Strongly Undervalued range.
0.00
P/OCF
Carter's Inc. (CRI) has a current P/OCF of 0.00. The 5-year average P/OCF is 9.41. The thresholds are as follows: Strongly Undervalued below -9.03, Undervalued between -9.03 and 0.19, Fairly Valued between 18.63 and 0.19, Overvalued between 18.63 and 27.85, and Strongly Overvalued above 27.85. The current Forward P/OCF of 0.00 falls within the Undervalued range.
7.28
P/FCF
Carter's Inc. (CRI) has a current P/FCF of 7.28. The 5-year average P/FCF is 19.94. The thresholds are as follows: Strongly Undervalued below -3.72, Undervalued between -3.72 and 8.11, Fairly Valued between 31.76 and 8.11, Overvalued between 31.76 and 43.59, and Strongly Overvalued above 43.59. The current Forward P/FCF of 7.28 falls within the Undervalued range.
Carter's Inc (CRI) has a current Price-to-Book (P/B) ratio of 1.12. Compared to its 3-year average P/B ratio of 2.96 , the current P/B ratio is approximately -62.11% higher. Relative to its 5-year average P/B ratio of 3.47, the current P/B ratio is about -67.65% higher. Carter's Inc (CRI) has a Forward Free Cash Flow (FCF) yield of approximately 14.64%. Compared to its 3-year average FCF yield of 11.92%, the current FCF yield is approximately 22.78% lower. Relative to its 5-year average FCF yield of 10.87% , the current FCF yield is about 34.68% lower.
1.12
P/B
Median3y
2.96
Median5y
3.47
14.65
FCF Yield
Median3y
11.92
Median5y
10.87
Competitors Valuation Multiple
The average P/S ratio for CRI's competitors is 2.94, providing a benchmark for relative valuation. Carter's Inc Corp (CRI) exhibits a P/S ratio of 0.34, which is -88.29% above the industry average. Given its robust revenue growth of 3.70%, this premium appears unsustainable.
Performance Decomposition
1Y
3Y
5Y
Market capitalization of CRI decreased by 56.18% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 5.06 to 7.01.
The secondary factor is the Revenue Growth, contributed 3.70%to the performance.
Overall, the performance of CRI in the past 1 year is driven by P/E Change. Which is more unsustainable.
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FAQ

Is Carter's Inc (CRI) currently overvalued or undervalued?
Carter's Inc (CRI) is now in the Undervalued zone, suggesting that its current forward PE ratio of 10.07 is considered Undervalued compared with the five-year average of 12.77. The fair price of Carter's Inc (CRI) is between 31.39 to 40.59 according to relative valuation methord. Compared to the current price of 26.30 USD , Carter's Inc is Undervalued By 16.21% .

What is Carter's Inc (CRI) fair value?

How does CRI's valuation metrics compare to the industry average?

What is the current P/B ratio for Carter's Inc (CRI) as of Jul 29 2025?

What is the current FCF Yield for Carter's Inc (CRI) as of Jul 29 2025?

What is the current Forward P/E ratio for Carter's Inc (CRI) as of Jul 29 2025?
