← Back to All US Stocks

Childrens Place, Inc. (PLCE) Fundamental Analysis & AI Grade 2026

PLCE Nasdaq Retail-Family Clothing Stores CIK: 0001041859
Updated This Month • Analysis: Jun 13, 2026 • SEC Data: 2026-05-02
Combined AI Grade
D
95% Confidence
N/A
D
95% Conf
Pending
Analysis scheduled

📊 PLCE Key Takeaways

Revenue: $215.2M
Net Margin: -24.7%
Free Cash Flow: $-61.8M
Current Ratio: 0.89x
Debt/Equity: N/A
EPS: $-2.40
AI Grade: D with 95% confidence
Childrens Place, Inc. (PLCE) receives a D fundamental grade with 95% confidence from our AI analysis based on SEC 10-K filings. With revenue of $215.2M, net profit margin of -24.7%, Childrens Place, Inc. demonstrates mixed fundamentals in the Consumer sector. Below is our complete PLCE stock analysis for 2026.

Is Childrens Place, Inc. (PLCE) a Good Investment?

Claude

The Children's Place is in severe financial distress with negative stockholders equity (-$107.2M), declining revenue (-12.8% YoY), and operating losses (-$42.2M). Critical liquidity constraints (0.89x current ratio, $4.8M cash) combined with negative operating cash flow (-$53.8M) and inability to cover interest suggest potential insolvency without significant restructuring or external capital infusion.

Childrens Place, Inc. Key Strengths (PLCE)

Claude
  • + Gross margin of 24.8% demonstrates core products have adequate unit economics when sold
  • + Asset base of $729.2M provides tangible collateral value
  • + Established retail brand with $215.2M annual revenue base

PLCE Stock Risks: Childrens Place, Inc. Investment Risks

Claude
  • ! Negative stockholders equity (-$107.2M) indicates technical insolvency and shareholder value destruction
  • ! Critical liquidity crisis: current ratio 0.89x, quick ratio 0.17x, only $4.8M cash on hand
  • ! Negative operating and free cash flow (-$53.8M and -$61.8M respectively) with inability to service debt
  • ! Revenue declining 12.8% YoY signals weakening market position in competitive retail sector
  • ! Interest coverage ratio of -1.4x shows inability to cover debt service from operations
  • ! High debt burden of $107.4M against negative equity base creates refinancing risk

Key Metrics to Watch

Claude
  • * Operating cash flow inflection point and path to positive cash generation
  • * Revenue stabilization and same-store sales trends
  • * Cash balance movements and liquidity runway in months
  • * Debt restructuring announcements or refinancing activities
  • * Return to operating profitability and EBITDA improvement

Childrens Place, Inc. (PLCE) Financial Metrics & Key Ratios

Revenue
$215.2M
Net Income
$-53.2M
EPS (Diluted)
$-2.40
Free Cash Flow
$-61.8M
Total Assets
$729.2M
Cash Position
$4.8M

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

PLCE Profit Margin, ROE & Profitability Analysis

Gross Margin 24.8%
Operating Margin -19.6%
Net Margin -24.7%
ROE N/A
ROA -7.3%
FCF Margin -28.7%

PLCE vs Consumer Sector: How Childrens Place, Inc. Compares

How Childrens Place, Inc. compares to Consumer sector averages

Net Margin
PLCE -24.7%
vs
Sector Avg 8.0%
PLCE Sector
ROE
PLCE 0.0%
vs
Sector Avg 18.0%
PLCE Sector
Current Ratio
PLCE 0.9x
vs
Sector Avg 1.5x
PLCE Sector
Debt/Equity
PLCE 0.0x
vs
Sector Avg 0.8x
PLCE Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Childrens Place, Inc. Stock Overvalued? PLCE Valuation Analysis 2026

Based on fundamental analysis, Childrens Place, Inc. has mixed fundamental signals relative to the Consumer sector in 2026.

Return on Equity
N/A
Sector avg: 18%
Net Profit Margin
-24.7%
Sector avg: 8%
Revenue Growth
N/A
Year-over-year
Debt/Equity
N/A
Sector avg: 0.8x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

Childrens Place, Inc. Balance Sheet: PLCE Debt, Cash & Liquidity

Current Ratio
0.89x
Quick Ratio
0.17x
Debt/Equity
N/A
Debt/Assets
114.7%
Interest Coverage
-1.40x
Long-term Debt
$107.4M

PLCE Revenue & Earnings Growth: 5-Year Financial Trend

PLCE 5-year financial data: Year 2021: Revenue $1.9B, Net Income $73.3M, EPS $4.68. Year 2022: Revenue $1.9B, Net Income -$140.4M, EPS $-9.59. Year 2024: Revenue $1.9B, Net Income $187.2M, EPS $12.59. Year 2025: Revenue $1.6B, Net Income -$154.5M, EPS $-12.34.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Childrens Place, Inc.'s revenue has declined by 16% over the 5-year period, indicating business contraction. The most recent EPS of $-12.34 indicates the company is currently unprofitable.

PLCE Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-28.7%
Free cash flow / Revenue

PLCE Quarterly Earnings & Performance

Quarterly financial performance data for Childrens Place, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q1 2026 $215.2M -$34.0M $-1.57
Q3 2025 $339.5M -$4.3M $-0.19
Q2 2025 $298.0M -$5.4M $-0.24
Q1 2025 $242.1M -$34.0M $-1.57
Q3 2024 $390.2M $20.1M $1.57
Q2 2024 $319.7M -$32.1M $-2.51
Q1 2024 $267.9M -$28.8M $-2.33
Q3 2023 $480.2M -$25.7M $-2.06

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Childrens Place, Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
-$53.8M
Cash generated from operations
Stock Buybacks
$29.0K
Shares repurchased (TTM)
Capital Expenditures
$8.0M
Investment in assets
Dividends Paid
$1.7M
Returned to shareholders

PLCE SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Childrens Place, Inc. (CIK: 0001041859)

📋 Recent SEC Filings

Date Form Document Action
Jun 12, 2026 10-Q plce-20260502.htm View →
May 26, 2026 4 xslF345X06/tm2615649-1_4seq1.xml View →
May 6, 2026 8-K tm2613746d1_8k.htm View →
Apr 17, 2026 4 xslF345X06/tm2612125-1_4seq1.xml View →
Apr 10, 2026 DEF 14A c115983_def14a-ixbrl.htm View →

Frequently Asked Questions about PLCE

What is the AI rating for PLCE?

Childrens Place, Inc. (PLCE) has an AI grade of D with 95% confidence, based on fundamental analysis of SEC EDGAR filings.

What are PLCE's key strengths?

Claude: Gross margin of 24.8% demonstrates core products have adequate unit economics when sold. Asset base of $729.2M provides tangible collateral value.

What are the risks of investing in PLCE?

Claude: Negative stockholders equity (-$107.2M) indicates technical insolvency and shareholder value destruction. Critical liquidity crisis: current ratio 0.89x, quick ratio 0.17x, only $4.8M cash on hand.

What is PLCE's revenue and growth?

Childrens Place, Inc. reported revenue of $215.2M.

Does PLCE pay dividends?

Childrens Place, Inc. pays dividends, with $1.7M distributed to shareholders in the trailing twelve months.

Where can I find PLCE SEC filings?

Official SEC filings for Childrens Place, Inc. (CIK: 0001041859) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is PLCE's EPS?

Childrens Place, Inc. has a diluted EPS of $-2.40.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.

What is PLCE's fundamental grade?

Based on our AI fundamental analysis in June 2026, Childrens Place, Inc. has a D grade with 95% confidence. Review the strengths and risks sections above for full context. This is not investment advice.

Is PLCE stock overvalued or undervalued?

Valuation metrics for PLCE: ROE of N/A (sector avg: 18%), net margin of -24.7% (sector avg: 8%). Compare these metrics with sector averages to assess valuation.

What is PLCE's AI grade for 2026?

Our dual AI analysis gives Childrens Place, Inc. a combined D grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is PLCE's free cash flow?

Childrens Place, Inc.'s operating cash flow is $-53.8M, with capital expenditures of $8.0M. FCF margin is -28.7%.

How does PLCE compare to other Consumer stocks?

Vs Consumer sector averages: Net margin -24.7% (avg: 8%), ROE N/A (avg: 18%), current ratio 0.89 (avg: 1.5).

Top Rated Stocks
AAPL 92% MSFT 92% FAST 92% ANET 88% RDDT 88% KNSL 88% MGRE 88% FIZZ 88% CRDO 87% AVGO 87%
Sector: All Consumer Stocks →
Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Jun 13, 2026 | Data as of: 2026-05-02 | Powered by Claude AI