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Carter’s, Inc. (NYSE:CRI) is one of the

15 Best Apparel Stocks to Buy in 2026.

On April 9, 2026, Goldman Sachs raised Carter’s, Inc. (NYSE:CRI) rating to Neutral from Sell, increasing the price objective to $38 from $29. The analyst said that the company could boost sales by gaining market share among households earning $50,000 to $200,000 while also improving digital marketing effectiveness to target younger and higher-income customers.

Carter’s, Inc. (NYSE:CRI) released fourth-quarter and fiscal 2025 results with Q4 net sales of $925 million, up 8%, diluted EPS of $1.76, and adjusted EPS of $1.90. The corporation achieved an operating margin of 9.2% and an adjusted margin of 9.7%. The company’s net sales grew by 2% in fiscal 2025, to $2.898 billion, with diluted EPS of $2.53, adjusted EPS of $3.47, and operating cash flow of $122 million. CEO Douglas Palladini noted that product and demand initiatives drove traffic and client acquisition. In fiscal 2026, the firm expects a low- to mid-single-digit increase in sales and operating income.

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Carter’s, Inc. (NYSE:CRI) is in the business of brand marketing for young children’s apparel. Its brands include Carter’s, OshKosh B’Gosh, Little Planet, and Skip Hop. It operates in the following segments: United States retail, wholesale, and international.

While we acknowledge the potential of CRI as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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