Carter's Inc. (CRI): Today's Featured Consumer Goods Winner

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Carter's ( CRI) pushed the Consumer Goods sector higher today making it today's featured consumer goods winner. The sector as a whole closed the day down 0.7%. By the end of trading, Carter's rose $2.64 (3.7%) to $73.64 on heavy volume. Throughout the day, 1,573,887 shares of Carter's exchanged hands as compared to its average daily volume of 526,600 shares. The stock ranged in a price between $71.60-$75.08 after having opened the day at $71.60 as compared to the previous trading day's close of $71.00. Other companies within the Consumer Goods sector that increased today were: Verso Paper ( VRS), up 13.5%, Kid Brands ( KID), up 13.0%, Global-Tech Advanced Innovations ( GAI), up 11.3% and Cobra Electronics Corporation ( COBR), up 6.1%.

Carter's, Inc., together with its subsidiaries, designs, sources, and markets branded children's wear. The company provides its products under the Carter's, Child of Mine, Just One You, Precious Firsts, OshKosh, and other brands. Carter's has a market cap of $4.2 billion and is part of the consumer non-durables industry. Shares are up 27.6% year to date as of the close of trading on Thursday. Currently there are 3 analysts that rate Carter's a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Carter's as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, good cash flow from operations, expanding profit margins and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

On the negative front, American Apparel ( APP), down 7.1%, Hooker Furniture Corporation ( HOFT), down 7.0%, Origin Agritech ( SEED), down 6.5% and Xerium Technologies ( XRM), down 6.5% , were all laggards within the consumer goods sector with Nu Skin ( NUS) being today's consumer goods sector laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the consumer goods sector could consider iShares Dow Jones US Cons Goods ( IYK) while those bearish on the consumer goods sector could consider ProShares Ultra Sht Consumer Goods ( SZK).

3x UPSIDE POTENTIAL: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

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