PLCE
The Children's Place, Inc.The Children's Place, Inc. operates as a children's specialty apparel retailer. The company operates in two segments, The Children's Place U.S. and The Children's Place International. It sells apparel, footwear, accessories, and other items for children; and designs, contracts to manufacture, and sells merchandise under the proprietary The Children's Place, Place, Baby Place, Gymboree, and Sugar & Jade brand names. As of January 29, 2022, the company had 672 stores in the United States, Canada,
2-Year Price History
Quarterly Financials & Projections
| Period | Rev | EBITDA | OpIn | NI | OCF | FCF | CapEx | Cash | Debt | Shares | ROIC | IntCov | EV/EBITDA | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Est | 2027-Q3 | 308.0 | 16.9 | -- | 0.0 | -- | 4.6 | -5.5 | 90.8 | -- | -- | -- | -- | -- |
| Est | 2027-Q2 | 268.0 | 10.7 | -- | -4.0 | -- | -16.1 | -2.1 | 86.2 | -- | -- | -- | -- | -- |
| Est | 2027-Q1 | 215.0 | -5.4 | -- | -21.5 | -- | -34.4 | -2.2 | 102.2 | -- | -- | -- | -- | -- |
| Est | 2026-Q4 | 370.0 | 22.2 | -- | 1.9 | -- | 96.2 | -1.9 | 136.6 | -- | -- | -- | -- | -- |
| Est | 2026-Q3 | 320.0 | 14.4 | -- | -3.2 | -- | 1.6 | -6.4 | 40.4 | -- | -- | -- | -- | -- |
| Est | 2026-Q2 | 280.0 | 8.4 | -- | -7.0 | -- | -22.4 | -2.2 | 38.8 | -- | -- | -- | -- | -- |
| Est | 2026-Q1 | 225.0 | -9.0 | -- | -27.0 | -- | -40.5 | -2.3 | 61.2 | -- | -- | -- | -- | -- |
| Est | 2025-Q4 | 385.0 | 21.2 | -- | -1.9 | -- | 96.3 | -1.9 | 101.7 | -- | -- | -- | -- | -- |
| Act | 2025-Q4 | 329.2 | -28.7 | -38.6 | -44.6 | 75.3 | 72.4 | -2.9 | 5.5 | 513.9 | 22.2 | -25.8% | -4.0x | -- |
| Act | 2025-Q3 | 339.5 | 11.0 | 4.0 | -4.3 | 6.2 | -3.4 | -9.7 | 7.3 | 577.7 | 22.2 | 2.5% | 1.4x | 31.1x |
| Act | 2025-Q2 | 298.0 | 11.7 | 6.1 | -5.4 | -30.5 | -31.9 | -1.4 | 7.8 | 566.1 | 22.1 | 3.0% | 1.5x | 12.9x |
| Act | 2025-Q1 | 242.1 | -15.9 | -24.0 | -34.0 | -43.0 | -46.4 | -3.4 | 5.7 | 544.8 | 21.6 | -15.6% | -1.9x | 24.6x |
| Act | 2024-Q4 | 408.6 | 16.0 | 7.3 | -8.0 | 121.3 | 121.4 | -0.0 | 5.4 | 586.3 | 12.8 | 3.2% | 1.8x | 27.5x |
| Act | 2024-Q3 | 390.2 | 38.5 | 29.3 | 20.1 | -44.2 | -47.7 | -3.5 | 5.8 | 701.6 | 12.8 | 16.2% | 3.8x | -- |
| Act | 2024-Q2 | 319.7 | -12.3 | 6.5 | -32.1 | -83.9 | -91.7 | -7.8 | 9.6 | 660.2 | 12.8 | 3.3% | -1.3x | 20.2x |
| Act | 2024-Q1 | 267.9 | -16.3 | -25.7 | -37.8 | -110.8 | -115.5 | -4.7 | 13.0 | 581.8 | 12.6 | -17.7% | -2.1x | 11.4x |
| Act | 2023-Q4 | 455.0 | -50.1 | -31.6 | -128.8 | 135.4 | 132.0 | -3.2 | 13.6 | 463.8 | 12.6 | -27.3% | -5.9x | 9.4x |
| Act | 2023-Q3 | 480.2 | 115.6 | 46.8 | 38.5 | -9.9 | -16.1 | -6.2 | 13.5 | 551.3 | 12.6 | 32.1% | 14.5x | 8.7x |
| Act | 2023-Q2 | 345.6 | 12.8 | -25.6 | -35.4 | -37.8 | -45.0 | -7.2 | 18.9 | 526.3 | 12.5 | -12.6% | 1.7x | 10.2x |
| Act | 2023-Q1 | 321.6 | 0.3 | -28.3 | -28.8 | 5.1 | -5.9 | -11.0 | 18.2 | 513.3 | 12.4 | -16.5% | 0.0x | 11.5x |
| Act | 2022-Q4 | 456.1 | -28.7 | -61.8 | -50.5 | 8.8 | -5.6 | -14.4 | 16.7 | 511.8 | 12.3 | -32.4% | -5.5x | 6.7x |
| Act | 2022-Q3 | 509.1 | 95.3 | 57.8 | 42.9 | 35.8 | 23.4 | -12.4 | 19.2 | 495.9 | 13.2 | 33.2% | 25.0x | -- |
| Act | 2022-Q2 | 380.9 | 20.3 | -12.5 | -13.3 | -34.0 | -42.0 | -8.0 | 28.2 | 525.0 | 13.2 | -6.6% | 7.8x | -- |
| Act | 2022-Q1 | 362.4 | 52.1 | 19.3 | 19.8 | -18.8 | -29.6 | -10.7 | 58.5 | 517.9 | 13.8 | 13.1% | 30.5x | -- |
Multiples vs the company's own history — cheap or rich relative to itself? Historical fiscal years, then TTM, then forward projections (E). Forward rows hold today's price against projected earnings, so the multiple compresses if the company grows into it.
| Year | Price | Rev Gr | EBITDA % | EBITDA | EV/EBITDA | EV/FCF | P/E | P/S |
|---|---|---|---|---|---|---|---|---|
| 2022 | 36.42 | — | 8.1% | 139 | 6.6× | n/m | n/m | 0.3× |
| 2023 | 23.22 | -6.2% | 4.9% | 79 | 9.9× | 12.0× | n/m | 0.2× |
| 2024 | 10.46 | -13.5% | 1.9% | 26 | 29.3× | n/m | n/m | 0.1× |
| 2025 | 3.98 | -12.8% | -1.8% | -22 | n/m | n/m | n/m | 0.1× |
| TTM | 4.18 | -12.8% | -1.8% | -22 | 0.0× | 0.0× | 0.0× | 0.0× |
| 2026E | 4.18 | -1.1% | 0.0% | 0 | 0.0× | 0.0× | 0.0× | 0.0× |
EBITDA in reporting-currency $M. Historical multiples use year-end market cap (split-adjusted price history); TTM & forward years use today's.
AI Analysis
LLM Evaluations
PLCE is a structurally declining children's apparel retailer with negative book equity, sub-1x interest coverage, 73% annual dilution, and complete dependence on a single controlling shareholder (Mithaq Capital, 62% ownership) for survival. The $40M cost restructuring may stabilize EBITDA near breakeven, but revenue is in secular decline against better-capitalized competitors (Carter's, Target) and fast fashion disruptors. Minority shareholders face systematic value erosion through dilutive equity issuances and have minimal governance protections. The 35% short interest reflects justified skepticism. Even if the turnaround partially succeeds, the equity upside accrues disproportionately to Mithaq while downside is shared equally. This is a deep value trap masquerading as a turnaround — the controlling shareholder structure means any recovery primarily benefits insiders.
Valuation & Metrics
Market Stats
TTM Financial Snapshot
DCF Fair Value Estimate
Forward Outlook & Risk
Short Interest
Options
| Strike | Call Bid/Ask | Call OI | Put Bid/Ask | Put OI |
|---|---|---|---|---|
| $1.00 | $2.00/$2.90 | 0 | --/$0.20 | 0 |
| $2.00 | $1.20/$1.90 | 0 | $0.05/$1.15 | 0 |
| $3.00 | $0.70/$0.85 | 0 | $0.30/$0.45 | 1 |
| $4.00 | $0.30/$0.45 | 0 | $0.90/$1.05 | 3 |
| $5.00 | $0.15/$0.25 | 5 | $1.70/$1.85 | 0 |
| $6.00 | $0.05/$0.20 | 4 | $2.10/$3.70 | 0 |
Forward Projections & Estimates
Employees
Cash Runway
Institutional Ownership
Headline & net flow
In Q1 2026 so far (quarter still filing), institutions are roughly balanced — bought 10.6% of float, sold 10.7%. 1 filer moved >1% of shares (1 buying, 0 selling).
Ownership composition
Top holders
| Fund | $ value | Cost basis | Δ QoQ | Δ YoY | α life | Fund AUM |
|---|---|---|---|---|---|---|
| Mithaq Capital SPC | $45.7M | $10.47 | +$0 | −$348K | -18.3% | $166M |
| Shay Capital LLC | $2.2M | $7.87 | +$1.1M | +$2.1M | +0.3% | $704M |
| Quinn Opportunity Partners LLC | $1.8M | $11.18 | +$0 | −$2.2M | -0.8% | $1.89B |
| IMMERSION CORP | $1.6M | $4.43 | +$0 | +$1.6M | -8.5% | $145M |
| BlackRock, Inc.Passive | $1.3M | $11.57 | +$121K | −$4K | -0.2% | $5.69T |
| MARSHALL WACE, LLP | $1.2M | $18.22 | +$176K | +$1.2M | +0.6% | $92.71B |
| VANGUARD CAPITAL MANAGEMENT LLCPassive | $1.1M | $3.36 | +$1.1M | +$1.1M | — | $4.04T |
| UBS Group AG | $795K | $17.27 | +$559K | +$448K | -0.3% | $562.11B |
| SUSQUEHANNA INTERNATIONAL GROUP, LLPMM | $619K | $15.99 | +$450K | +$149K | -0.6% | $77.14B |
| GEODE CAPITAL MANAGEMENT, LLCPassive | $412K | $21.04 | +$38K | −$89K | +2.3% | $1.61T |
| GROUP ONE TRADING LLCMM | $391K | $10.43 | −$87K | −$787K | -1.6% | $3.02B |
| BANK OF AMERICA CORP /DE/ | $192K | $11.57 | +$95K | +$163K | -0.1% | $1.36T |
| Invesco Ltd. | $176K | $15.07 | −$53K | −$28K | -0.2% | $652.04B |
| VANGUARD FIDUCIARY TRUST COPassive | $161K | $3.36 | +$161K | +$161K | — | $395.83B |
| STATE STREET CORPPassive | $147K | $34.00 | +$0 | −$47K | -0.2% | $2.89T |
| HRT FINANCIAL LP | $134K | $16.60 | −$344K | +$31K | -0.6% | $39.46B |
| NORTHERN TRUST CORPPassive | $111K | $17.79 | +$0 | −$40K | -0.2% | $755.34B |
| BRIDGEWAY CAPITAL MANAGEMENT, LLC | $102K | $12.21 | +$0 | −$46K | -2.3% | $4.93B |
| JANE STREET GROUP, LLCMM | $97K | $15.11 | −$336K | −$118K | -0.1% | $92.10B |
| Jump Financial, LLC | $83K | $33.48 | +$44K | +$83K | +0.5% | $6.09B |
Trading behavior
▸ Compare to holder-profile behavior (across all their stocks)
Biggest decreases this quarter
New buyers this quarter
Top-5 holders · 89.9%
Top Holders Over Time
5-year share-count history (top 10 holders by peak, incl. exited) + price
Analyst Coverage
| Quarter | Revenue | EBITDA | Net Inc | EPS | EPS Range | # Analysts |
|---|---|---|---|---|---|---|
| 2025 Q4 | 370M | 21M | 16M | $0.70 | $0.70 – $0.70 | 1 |
| 2026 Q1 | 358M | 21M | -21M | $-0.96 | $-0.96 – $-0.96 | 1 |
| 2026 Q2 | 198M | 11M | -48M | $-2.14 | $-2.14 – $-2.14 | 1 |
| 2026 Q3 | 252M | 15M | -14M | $-0.61 | $-0.61 – $-0.61 | 1 |
| 2026 Q4 | 313M | 18M | 3M | $0.11 | $0.11 – $0.11 | 1 |
| 2027 Q1 | 303M | 17M | -29M | $-1.30 | $-1.30 – $-1.30 | 1 |
| 2027 Q2 | 208M | 12M | -37M | $-1.67 | $-1.67 – $-1.67 | 1 |
| 2027 Q3 | 264M | 15M | -4M | $-0.19 | $-0.19 – $-0.19 | 1 |
| 2027 Q4 | 327M | 19M | 15M | $0.68 | $0.68 – $0.68 | 1 |
| 2028 Q1 | 316M | 18M | -17M | $-0.78 | $-0.78 – $-0.78 | 1 |
Corporate
Executive Compensation (2023-2025)
Insider Trading (last 12mo)
| Date | Side | Insider | Title | Shares | Price | Dollars | Owned $ |
|---|---|---|---|---|---|---|---|
| 2025-10-08 | BUY | Umair Muhammad | director, officer: PRESIDENT AND INTERIM CEO | 7,143 | $7.00 | $50K | $1.94M |
Order Flow (FINRA, ~3w lag)
Revenue Breakdown
Revenue Segments
| The Childrens Place US Member | $830.3M | -15% |
| The Children's Place Canada | $80.5M | NEW |
| South | $327.9M | +124% |
| Northeast | $188.9M | +166% |
| West | $117.0M | +129% |
| Midwest | $102.9M | +132% |
Filing Risk Analysis
Filing Risk Scores
The Children’s Place: A Related-Party Liquidity Trap Disguised as a Turnaround
Counter-Thesis
Counter-Thesis & Recent News
The company is scheduled to report Q4 2025/2026 earnings on March 11, 2026. In the last 6 months, Mithaq Capital solidified a majority stake (~68%) and aggressively restructured the board and leadership, including the appointment of Brand President Claudia Lima-Guinehut. A $90 million rights offering was completed to provide immediate liquidity and reduce debt obligations. Additionally, a $40 million cost-saving transformation plan is underway, targeting a reduction in corporate payroll from $120 million to under $80 million by 2026 (Source: MarketBeat, Stock Titan).
The prevailing bear thesis focuses on a 'broken' mall-centric model and persistent net losses ($51.7M TTM as of late 2025). Revenue has declined at an average annual rate of 5.3% over the last five years, and the company suffers from negative book value and high leverage ($445M debt). Critics argue the turnaround is speculative and that retail giants like Target and Carter’s have structural cost advantages that PLCE cannot overcome (Source: KoalaGains, Simply Wall St).
Short-term liquidity remains a concern despite the Mithaq lifeline, with negative operating cash flow of $73.4M reported in the first half of fiscal 2025. Inventory management has been a perennial struggle, and while levels were reduced by $78M YoY, gross margins have been pressured by a higher mix of markdowns and a shift toward lower-margin wholesale channels (Source: DCFmodeling, Seeking Alpha).
Direct competition from Carter's (CRI) remains fierce, with Carter's maintaining superior stability and profitability. The company also faces rising pressure from ultra-fast fashion platforms like Shein and large-scale discounters like Target. Macroeconomic risks, specifically potential 2026 tariffs of $20M–$25M, pose a direct threat to margins, though management claims they can mitigate 80% of this impact through sourcing shifts (Source: Seeking Alpha, KoalaGains).
Contrarian signals suggest a potential bottoming; July 2025 saw the first positive direct-to-consumer (DTC) comparable sales growth in 18 months, driven by back-to-school demand. Digital engagement shows promise with rising Google search interest and TikTok follower growth. The brand is pivoting to a 'human-centric' marketing strategy ('Reali-TEA') on social media to drive authenticity, which is starting to resonate with Gen Z and Millennial parents (Source: Reddit r/ValueInvesting, TikTok Next 2026 Report).