Sterne Agee Maintains Neutral, $43 Target on Carter's
Sterne Agee remains Neutral rated with a $43 target price on Carter's (NYSE: CRI) as it expects the company to beat expectations, but valuation suggests staying on the sidelines.
Sterne Agee notes, "While Carter's is poised to benefit from lower cotton costs starting in Q3, we maintain our Neutral rating due to valuation levels. Our target is $43 based upon 14.1xour FY13 EPS estimate, in line with its historic forward valuation."
CRI closed at $40.43 a share on Friday.
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