Larry Robbins’ Glenview Capital Boosts Stake in Carter’s Inc. (CRI)

In a new filing with the U.S. Securities and Exchange Commission, Glenview Capital, managed by Larry Robbins, has reported upping its passive stake in Carter’s Inc. (NYSE:CRI). The filing showed that Glenview Capital holds 3.67 million shares of the company, representing an increase from 1.55 million shares the fund disclosed in its latest 13F filing. The position is equal to 6.84% of the company’s common stock.

Carter’s Inc. (NYSE:CRI) is the largest branded marketer of apparel and related products exclusively for babies and young children in the United States. The company has a market cap of $3.68 billion, and its stock currently trades at $68.48. The stock has a 52 week high of $80.02 and a 52 week low of $64.19. Analysts have the consensus average target price of $84.22 for the company’s stock, while the consensus average recommendation is ‘overweight.’

For the first quarter fiscal of 2014, Carter’s Inc. (NYSE:CRI) reported operating income of $5.4 million, down by 8.1% or $61.5 million when compared to $66.9 million in the first quarter of fiscal 2013. The company’s net income in the first quarter of fiscal 2014 reduced $7.1 million, or 17.2%, to $34.3 million, or $0.63 per diluted share, compared to $41.4 million, or $0.69 per diluted share, in the first quarter of fiscal 2013, according to a press release.

Other largest shareholders of the company include Tiger Global Management LLC, and Jonathan Auerbach’s Hound Partners, holding 6.49 million shares, and 3.41 million shares, respectively.

Prior to founding Glenview Capital in February 2001, Larry Robbins was a trader at Leon Cooperman’s Omega Advisors. Glenview Capital returned 301% after fees and expenses between January 2001 and December 2010. The fund also returned 15.7% in 2010, performing better than average hedge funds and the S&P 500 index.

The value of the fund’s equity portfolio was $15.3 billion as of the end of the first quarter of 2014. The fund held its largest stake in Thermo Fisher Scientific Inc. (NYSE:TMO), owning 9.56 million shares of the company. Second largest holding was Monsanto Company (NYSE:MON), in which the fund revealed holding 7.37 million shares. HCA Holdings Inc. (NYSE:HCA) is another important holding, in which Glenview Capital reported owning 12.84 million shares of the company.

Disclosure: none