Carter's, Inc.
CRI Consumer Cyclical Apparel Retail
Carter's, Inc.’s revenue for fiscal 2025 (year ended December 2025) was $2.9 billion, up 1.91% from fiscal 2024. In the quarter to June 2026, revenue grew 5.16%, EPS grew 28,600.0%, free cash flow grew 688.4% and total debt rose 13.9%, each against the same quarter a year earlier.
Follow CRI
Carter's, Inc. (CRI) Altman Z-score
Carter's, Inc.'s Altman Z-score for fiscal 2025 is 2.60, in the grey zone (1.81–2.99).
Altman Z-score, annual
Embed this chart
Annual newest first
| Period | Altman Z-score | Change (points) |
|---|---|---|
| FY2025 | 2.60 | (0.47) |
| FY2024 | 3.07 | (0.49) |
| FY2023 | 3.57 | (0.12) |
| FY2022 | 3.69 | 0.04 |
| FY2021 | 3.65 | 0.77 |
| FY2020 | 2.87 | (1.15) |
| FY2019 | 4.02 | (1.23) |
| FY2018 | 5.25 | (0.83) |
| FY2017 | 6.07 | 0.40 |
| FY2016 | 5.67 | (0.09) |
How fiscal 2025’s score is made up
| Component | This year | Year before | Result | Points |
|---|---|---|---|---|
| Working capital / total assets | 0.30 | — | 0.36 | |
| Retained earnings / total assets | 0.36 | — | 0.51 | |
| EBIT / total assets | 0.06 | — | 0.19 | |
| Market value of equity / total liabilities | 0.70 | — | 0.42 | |
| Sales / total assets | 1.13 | — | 1.13 | |
| Altman Z-score | Grey zone | 2.60 | ||
| Z″ Variant for non-manufacturing and asset-light companies (drops the sales/assets term, uses book equity) | Safe zone | 4.11 | ||
Z and Z″ put Carter's, Inc. in different zones: grey zone by Z, safe zone by Z″.
How the Altman Z-score works
Z = 1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets (Altman, 1968). The market value of equity is the close on the last trading day of the fiscal year times weighted basic shares.
Z″ = 6.56 × working capital ÷ total assets + 3.26 × retained earnings ÷ total assets + 6.72 × EBIT ÷ total assets + 1.05 × book equity ÷ total liabilities (Altman, Hartzell and Peck, 1995), the variant for non-manufacturing and asset-light companies.
| Zone | Z | Z″ |
|---|---|---|
| Safe zone | above 2.99 | above 2.60 |
| Grey zone | 1.81–2.99 | 1.10–2.60 |
| Distress zone | below 1.81 | below 1.10 |
Not worked out for banks, insurers and REITs, whose balance sheets the model does not describe, nor when a figure is missing or there is no share price in the week to the fiscal year end.
Altman Z-score against peers
| Company | Altman Z-score |
|---|---|
| BKE Buckle, Inc. (The) compare | 5.2× |
| BOOT Boot Barn Holdings, Inc. compare | 4.7× |
| AEO American Eagle Outfitters, Inc. compare | 3.6× |
| CTRN Citi Trends, Inc. compare | 3.2× |
| SHOE Shoe Station Group Inc. compare | 3.1× |
| CRI Carter's, Inc. | 2.6× |
| GCO Genesco Inc. compare | 2.5× |
| CAL Caleres, Inc. compare | 1.9× |
| JILL J.Jill, Inc. compare | 1.8× |
What Altman Z-score is
The Altman Z-Score weighs working capital, retained earnings, operating profit, market value and sales against assets and debts to gauge the risk of distress.
1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets