UPDATE: Citi Upgrades Carter's; Raises PT

According to a research report published this morning, Citi has upgraded Carter's

from Neutral to Buy, and raised PT from $54 to $62. In the report, Citi said, "We are upgrading CRI to a Buy based on topline growth of 10%+ over the next several years (retail expansion, international, ecommerce) and EBIT margin expansion (cotton tailwind, supply chain restructuring, mix-shift to higher margin retail, ecommerce, int'l) driving double digit (15%-30%) EPS growth. The stock is up 33% YTD but we believe there is more upside in both the short term (driven by cotton tailwind and mix-shift) and long term (driven by EBIT margin expansion to upper teens). Our above consensus 2013 EPS estimate of $3.81 (FC at $3.31) represents just 13.6% EBIT margin vs. CRI's peak of 13.9% in 2010 when CRI had lower penetration of high margin retail, ecommerce, and international." Carter's closed yesterday at $52.97.