Are You a Value Investor? This 1 Stock Could Be the Perfect Pick
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why Investors Should Pay Attention to This Value Stock
Value investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most discounted stocks.
Carter's (CRI)
Headquartered in Atlanta, GA, Carter’s Inc. is the largest marketer of branded apparel and related products for babies, and young children in North America. Notably, the company has a portfolio of popular brands, including Carter’s, OshKoshB'gosh, Just One You, Child of Mine, Simple Joys, Skip Hop, and Precious Firsts. It sells the products through leading department stores, national chains and specialty retailers, both domestically and internationally. Additionally, Carter’s showcases its products through company-operated stores in the United States, Canada and Mexico, and its websites namely www.carters.com, www.oshkoshbgosh.com, www.carters.com.mx. and www.cartersoshkosh.ca.
CRI is a Zacks Rank #3 (Hold) stock, with a Value Style Score of A and VGM Score of A. Shares are currently trading at a forward P/E of 13X for the current fiscal year compared to the Shoes and Retail Apparel industry's P/E of 14.3X. Additionally, CRI has a PEG Ratio of 2.5 and a Price/Cash Flow ratio of 10.3X. Value investors should also note CRI's Price/Sales ratio of 1X.
A company's earnings performance is important for value investors as well. For fiscal 2024, two analysts revised their earnings estimate higher in the last 60 days for CRI, while the Zacks Consensus Estimate has increased $0.04 to $6.45 per share. CRI also holds an average earnings surprise of 36.7%.
With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding CRI to their portfolios.
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Carter's, Inc. (CRI) : Free Stock Analysis Report
