Carter’s Inc (CRI)vsRoss Stores Inc (ROST)
CRI
Carter’s Inc
$38.19
+0.10%
CONSUMER CYCLICAL · Cap: $1.58B
ROST
Ross Stores Inc
$230.37
-1.15%
CONSUMER CYCLICAL · Cap: $72.39B
Smart Verdict
WallStSmart Research — data-driven comparison
Ross Stores Inc generates 706% more annual revenue ($23.78B vs $2.95B). ROST leads profitability with a 9.7% profit margin vs 3.1%. CRI appears more attractively valued with a PEG of 2.01. ROST earns a higher WallStSmart Score of 64/100 (C+).
CRI
Hold50
out of 100
Grade: D+
ROST
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+36.7%
Fair Value
$59.72
Current Price
$38.19
$21.53 discount
Margin of Safety
-8.9%
Fair Value
$176.80
Current Price
$230.37
$53.57 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Every $100 of equity generates 37 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Revenue surging 20.6% year-over-year
Earnings expanding 37.4% YoY
Areas to Watch
Expensive relative to growth rate
Smaller company, higher risk/reward
3.1% margin — thin
Operating margin of 4.2%
Premium valuation, high expectations priced in
Trading at 12.0x book value
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : CRI
The strongest argument for CRI centers on P/E Ratio, Price/Book.
Bull Case : ROST
The strongest argument for ROST centers on Return on Equity, Altman Z-Score, Market Cap. Revenue growth of 20.6% demonstrates continued momentum.
Bear Case : CRI
The primary concerns for CRI are PEG Ratio, Market Cap, Profit Margin. Thin 3.1% margins leave little buffer for downturns.
Bear Case : ROST
The primary concerns for ROST are P/E Ratio, Price/Book, PEG Ratio.
Key Dynamics to Monitor
CRI profiles as a value stock while ROST is a growth play — different risk/reward profiles.
ROST carries more volatility with a beta of 0.88 — expect wider price swings.
ROST is growing revenue faster at 20.6% — sustainability is the question.
ROST generates stronger free cash flow (627M), providing more financial flexibility.
Bottom Line
ROST scores higher overall (64/100 vs 50/100) and 20.6% revenue growth. CRI offers better value entry with a 36.7% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Carter’s Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Carter's, Inc. designs, supplies, and markets branded children's clothing under the brands Carter's, OshKosh, Skip Hop, Child of Mine, Just One You, Simple Joys, Carter's little baby basics, and other brands in the United States and internationally. The company is headquartered in Atlanta, Georgia.
Ross Stores Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Ross Stores, Inc., operating under the brand name Ross Dress for Less, is an American chain of discount department stores headquartered in Dublin, California.
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