CRI (Carter's) ROCE %: 6.15% (As of Mar. 2026)

What is Carter's ROCE %?

Carter's CRI -0.42% 78 ROCE % is 6.15% as of Mar. 2026. GuruFocus rates CRI with a GF Score™ of 78/100 and a GF Value™ of $57.76 (Modestly Undervalued). The stock has 7 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Carter's's annualized ROCE % for the quarter that ended in Mar. 2026 was 6.15%.

Carter's (NYSE:CRI) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Carter's ROCE % Related Terms

Carter's ROCE % Historical Data

* Premium members only.

The historical data trend for Carter's's ROCE % 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.

Carter's ROCE % Chart

Carter's Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

ROCE %

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19.66

16.41

17.80

13.83

7.43

Carter's Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
ROCE %	Get a 7-Day Free Trial															6.07	1.99	4.52	17.35	6.15

78GF Score

Carter's Inc CRI

ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.

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Carter's ROCE % Calculation

Carter's's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Dec. 2025 )		(A: Dec. 2024 )		(A: Dec. 2025 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Dec. 2025 )		(A: Dec. 2024 )		(A: Dec. 2025 )
	=	148.061	/	( ( (2433.167 - 508.816)	+	(2565.47 - 505.997) )	/ 2 )
	=	148.061	/	( (1924.351	+	2059.473)	/ 2 )
	=	148.061	/	1991.912
	=	7.43 %

Carter's's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Mar. 2026 )		(Q: Dec. 2025 )		(Q: Mar. 2026 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Mar. 2026 )		(Q: Dec. 2025 )		(Q: Mar. 2026 )
	=	126.452	/	( ( (2565.47 - 505.997)	+	(2484.155 - 433.425) )	/ 2 )
	=	126.452	/	( ( 2059.473	+	2050.73 )	/ 2 )
	=	126.452	/	2055.1015
	=	6.15 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

Frequently Asked Questions Learn more about ROCE % →

What does a ROCE % of 6.15% mean?

Carter's (CRI) has a ROCE % of 6.15% as of Mar. 2026.

Is Carter's' ROCE % too high?

Carter's' current ROCE % is 6.15%. The Retail - Cyclical industry median ROCE % is 7.58. Carter's' value of 6.15% is 18.9% below this industry median. Overall, Carter's has a GF Score™ of 78/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.

How does Carter's' ROCE % compare to CAL and SFIX?

Carter's' ROCE % of 6.15% can be compared against companies in the Retail - Cyclical industry. The industry median ROCE % is 7.58. Carter's' value of 6.15% is 18.9% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good ROCE % for a Retail - Cyclical company?

The median ROCE % among Retail - Cyclical companies is 7.58, based on 1,117 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Carter's's current ROCE % of 6.15% is 18.9% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.

What does a high ROCE % mean?

A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Retail - Cyclical industry, the median ROCE % is 7.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Carter's's current ROCE % is 6.15%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Carter's stock overvalued right now?

Based on GuruFocus' analysis, Carter's (CRI) is currently considered Modestly Undervalued. The stock's GF Value™ is $57.76, compared to a current price of $43.15 — trading 25.3% below its estimated fair value. The current ROCE % is 6.15% and 18.9% below the Retail - Cyclical industry median of 7.58. Carter's' overall GF Score™ is 78/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is ROCE % calculated?

ROCE % is calculated from a company's financial statements. For Carter's (CRI), the current ROCE % is 6.15% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Carter's (CRI) Overvalued in 2026?

Based on GuruFocus' analysis, Carter's stock appears to be undervalued. The current stock price of $43.15 is trading 25.3% below its estimated GF Value™ of $57.76. GuruFocus considers Carter's to be Modestly Undervalued.

Key valuation signals for CRI:

ROCE %: 6.15%
GF Value™: $57.76 vs. price of $43.15 (25.3% below fair value)
GF Score™: 78/100 with 7 warning signs
Industry Position: 18.9% below the Retail - Cyclical median

No single metric tells the full story. See the CRI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Carter's Business Description

Industry Consumer Cyclical Retail - Cyclical

Comparable Companies CAL SFIX SCVL BKE ZUMZ GCO CTRN LE AEO JILL XMAD:ITX TJX TSE:9983 ROST BURL LSE:NXT BOM:500251 LULU TSX:ATZ GAP

Other Exchanges HCH:Germany CRIN34:Brazil

Address 3438 Peachtree Road North East, Phipps Tower, Suite 1800, Atlanta, GA, USA, 30326

Website https://www.carters.com

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 revenue is derived from U.S. Wholesale segment. 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.

78GF Score

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$43.15

Price

$57.76

GF Value

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