CRI vs GES

For growth investors, Guess', Inc.

(GES) is the stronger pick with 7. 9% revenue growth year-over-year, versus 1. 9% for Carter's, Inc. (CRI). Carter's, Inc. (CRI) offers the better valuation at 14. 4x trailing P/E (11. 2x forward), making it the more compelling value choice. Analysts rate Carter's, Inc. (CRI) a "Buy" — based on 24 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Carter's, Inc.

(CRI) is the cheapest at 14. 4x versus Guess', Inc. at 21. 8x. On forward P/E, Guess', Inc. is actually cheaper at 10. 4x — notably different from the trailing picture, reflecting expected earnings growth.

Over the past 5 years, Guess', Inc.

(GES) delivered a total return of -16. 5%, compared to -54. 3% for Carter's, Inc. (CRI). Over 10 years, the gap is even starker: GES returned +60. 7% versus CRI's -45. 2%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Guess', Inc.

(GES) is the lower-risk stock at 0. 82β versus Carter's, Inc. 's 1. 34β — meaning CRI is approximately 62% more volatile than GES relative to the S&P 500. On balance sheet safety, Carter's, Inc. (CRI) carries a lower debt/equity ratio of 131% versus 3% for Guess', Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Guess', Inc.

(GES) is pulling ahead at 7. 9% versus 1. 9% for Carter's, Inc. (CRI). On earnings-per-share growth, the picture is similar: Carter's, Inc. grew EPS -49. 4% year-over-year, compared to -75. 1% for Guess', Inc.. Over a 3-year CAGR, GES leads at 4. 9% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Carter's, Inc.

(CRI) is the more profitable company, earning 3. 2% net margin versus 2. 0% for Guess', Inc. — meaning it keeps 3. 2% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: GES leads at 5. 8% versus 5. 0% for CRI. At the gross margin level — before operating expenses — CRI leads at 45. 4%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Guess', Inc.

(GES) trades at 10. 4x forward P/E versus 11. 2x for Carter's, Inc. — 0. 9x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for GES: 55. 8% to $26. 19.

All stocks in this comparison pay dividends.

Guess', Inc. (GES) offers the highest yield at 5. 6%, versus 4. 3% for Carter's, Inc. (CRI).

For long-horizon retirement investors, Guess', Inc.

(GES) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 82), 5. 6% yield). Both have compounded well over 10 years (GES: +60. 7%, CRI: -45. 2%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Consumer Cyclical sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: CRI is a small-cap deep-value stock; GES is a small-cap income-oriented stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.