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Carter's (Carter's) Return-on-Tangible-Equity : 152.49% (As of Dec. 2023)


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What is Carter's Return-on-Tangible-Equity?

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Carter's's annualized net income for the quarter that ended in Dec. 2023 was $426 Mil. Carter's's average shareholder tangible equity for the quarter that ended in Dec. 2023 was $279 Mil. Therefore, Carter's's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2023 was 152.49%.

The historical rank and industry rank for Carter's's Return-on-Tangible-Equity or its related term are showing as below:

CRI' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 33.44   Med: 82.24   Max: 126.61
Current: 88.45

During the past 13 years, Carter's's highest Return-on-Tangible-Equity was 126.61%. The lowest was 33.44%. And the median was 82.24%.

CRI's Return-on-Tangible-Equity is ranked better than
91.63% of 1052 companies
in the Retail - Cyclical industry
Industry Median: 7.605 vs CRI: 88.45

Carter's Return-on-Tangible-Equity Historical Data

The historical data trend for Carter's's Return-on-Tangible-Equity can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Carter's Return-on-Tangible-Equity Chart

Carter's Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 103.97 33.44 87.41 76.39 81.95

Carter's Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 128.54 55.56 38.39 108.69 152.49

Competitive Comparison of Carter's's Return-on-Tangible-Equity

For the Apparel Retail subindustry, Carter's's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Carter's's Return-on-Tangible-Equity Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Carter's's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Carter's's Return-on-Tangible-Equity falls into.



Carter's Return-on-Tangible-Equity Calculation

Carter's's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2023 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2023 )  (A: Dec. 2022 )(A: Dec. 2023 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2023 )  (A: Dec. 2022 )(A: Dec. 2023 )
=232.5/( (258.119+309.289 )/ 2 )
=232.5/283.704
=81.95 %

Carter's's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2023 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2023 )  (Q: Sep. 2023 )(Q: Dec. 2023 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2023 )  (Q: Sep. 2023 )(Q: Dec. 2023 )
=426.04/( (249.5+309.289)/ 2 )
=426.04/279.3945
=152.49 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Dec. 2023) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Carter's  (NYSE:CRI) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Carter's Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of Carter's's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


Carter's (Carter's) Business Description

Traded in Other Exchanges
Address
3438 Peachtree Road North East, Phipps Tower, Suite 1800, Atlanta, GA, USA, 30326
Carter's Inc makes apparel for babies and children under brand names including Carter's and OshKosh B'gosh. It sells its products through a multi-channel business model, which includes retail stores, eCommerce, and wholesale sales channels, as well as retail omnichannel capabilities in the United States and Canada, which enables it to reach a broad range of consumers around the world. The company operates in three segments; U.S. Retail, U.S. Wholesale, and International. The majority of Carter's sales are in the U.S. and through Carter's brand. The company predominantly sources products through contract manufacturers in Asia. It has multiple distribution centers in the U.S., in addition to distribution centers in Canada and Asia that serve international customers.
Executives
Michael Dennis Casey director, officer: Chairman and CEO 1170 PEACHTREE STREE NE STE 900, ATLANTA GA 30309
Julie D'emilio officer: EVP, Sales 3438 PEACHTREE ROAD, SUITE 1800, ATLANTA GA 30326
Ben Pivar officer: SVP, CIO 3438 PEACHTREE ROAD NE, SUITE 1800, ATLANTA GA 30326
Richard F. Westenberger officer: EVP and CFO 1170 PEACHTREE STREET, SUITE 900, ATLANTA GA 30309
Brian Lynch officer: President, Carter's, Inc. 1170 PEACHTREE ST., ATLANTA GA 30309
Kendra Krugman officer: EVP, Merchandising and Design 3438 PEACHTREE ROAD NE, SUITE 1800, ATLANTA GA 30326
Jeff Jenkins officer: EVP Global Marketing 3438 PEACHTREE ROAD NE, ATLANTA GA 30306
Jill Wilson officer: SVP HR and Talent Development 1170 PEACHTREE ST., ATLANTA GA 30309
William J Montgoris director C/O OFFICEMAX INCORPORATED, 263 SHUMAN BLVD., NAPERVILLE IL 60563
Karen Marie Smith officer: EVP Supply Chain 15960 MEADOW KING WAY, MILTON GA 30004
Stacey Rauch director C/O ASCENA RETAIL GROUP, INC., 933 MACARTHUR BOULEVARD, MAHWAH NJ 07430
Jeffrey Harry Black director ONE CARRIER PLACE, FARMINGTON CT 06032
Rochester Jr. Anderson director 268 LASSITER DRIVE, ELLENWOOD GA 30294
Stephanie Stahl director C/O KNOLL, INC., 1235 WATER STREET, EAST GREENVILLE PA 18041
Scott F. Duggan officer: SVP, Gen Counsel & Secy C/O THE FRESH MARKET, INC., 628 GREEN VALLEY ROAD, SUITE 500, GREENSBORO NC 27408