Prescott Group Capital Management L.L.C. Cuts Holdings in Topgolf Callaway Brands Corp. (NYSE:MODG)

Key Points

• Prescott Group Capital Management reduced its stake in Topgolf Callaway Brands Corp. by 26.6%, now holding approximately $983,000 worth of shares.
• Insider trading activity includes a significant purchase by Director Adebayo O. Ogunlesi, acquiring 384,731 shares, effectively increasing his ownership by 100.27%.
• Topgolf Callaway Brands’ stock has seen a 2.8% decrease, with analysts maintaining a consensus rating of "Hold" and a target price of $10.14.

Prescott Group Capital Management L.L.C. lessened its holdings in shares of Topgolf Callaway Brands Corp. (NYSE:MODG - Free Report) by 26.6% during the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 149,110 shares of the company's stock after selling 54,000 shares during the period. Prescott Group Capital Management L.L.C. owned about 0.08% of Topgolf Callaway Brands worth $983,000 at the end of the most recent reporting period.

Other hedge funds also recently bought and sold shares of the company. Sterling Capital Management LLC boosted its position in shares of Topgolf Callaway Brands by 821.5% in the 4th quarter. Sterling Capital Management LLC now owns 4,543 shares of the company's stock worth $36,000 after purchasing an additional 4,050 shares in the last quarter. Dynamic Advisor Solutions LLC bought a new position in Topgolf Callaway Brands in the 1st quarter valued at approximately $66,000. Covestor Ltd lifted its position in Topgolf Callaway Brands by 147.2% in the 4th quarter. Covestor Ltd now owns 9,286 shares of the company's stock valued at $73,000 after acquiring an additional 5,530 shares in the last quarter. Schwarz Dygos Wheeler Investment Advisors LLC bought a new position in Topgolf Callaway Brands in the 1st quarter valued at approximately $73,000. Finally, FORA Capital LLC bought a new position in Topgolf Callaway Brands in the 4th quarter valued at approximately $81,000. Hedge funds and other institutional investors own 84.69% of the company's stock.

Analysts Set New Price Targets

Several equities analysts recently issued reports on MODG shares. Truist Financial lowered their price objective on Topgolf Callaway Brands from $12.00 to $7.00 and set a "buy" rating on the stock in a research report on Monday, April 14th. Cfra reaffirmed a "hold" rating and issued a $9.00 price objective on shares of Topgolf Callaway Brands in a research report on Friday, July 11th. Wall Street Zen cut Topgolf Callaway Brands from a "hold" rating to a "sell" rating in a research report on Sunday, July 6th. JPMorgan Chase & Co. lowered their price target on Topgolf Callaway Brands from $8.00 to $7.00 and set a "neutral" rating on the stock in a report on Tuesday, May 27th. Finally, Morgan Stanley assumed coverage on Topgolf Callaway Brands in a report on Friday, July 18th. They set an "equal weight" rating and a $9.50 price target on the stock. Two investment analysts have rated the stock with a sell rating, eight have assigned a hold rating and three have issued a buy rating to the company. According to data from MarketBeat, Topgolf Callaway Brands presently has a consensus rating of "Hold" and a consensus target price of $10.14.

Insider Activity at Topgolf Callaway Brands

In other Topgolf Callaway Brands news, Director Adebayo O. Ogunlesi purchased 384,731 shares of the stock in a transaction that occurred on Friday, June 6th. The stock was purchased at an average price of $6.48 per share, with a total value of $2,493,056.88. Following the acquisition, the director owned 768,432 shares in the company, valued at approximately $4,979,439.36. The trade was a 100.27% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, CEO Oliver G. Brewer III acquired 20,000 shares of the firm's stock in a transaction on Wednesday, May 14th. The stock was purchased at an average cost of $6.40 per share, with a total value of $128,000.00. Following the purchase, the chief executive officer owned 1,009,297 shares of the company's stock, valued at $6,459,500.80. The trade was a 2.02% increase in their ownership of the stock. The disclosure for this purchase can be found here. Insiders acquired 905,284 shares of company stock worth $5,922,500 over the last 90 days. Company insiders own 2.49% of the company's stock.

Topgolf Callaway Brands Stock Performance

Shares of NYSE:MODG traded down $0.22 during midday trading on Tuesday, hitting $9.59. The company had a trading volume of 1,007,277 shares, compared to its average volume of 2,929,869. The company has a debt-to-equity ratio of 0.60, a current ratio of 2.12 and a quick ratio of 1.41. The company has a market cap of $1.76 billion, a price-to-earnings ratio of -1.21 and a beta of 1.27. Topgolf Callaway Brands Corp. has a 12-month low of $5.42 and a 12-month high of $16.89. The company has a fifty day moving average of $8.04 and a two-hundred day moving average of $7.31.

Topgolf Callaway Brands (NYSE:MODG - Get Free Report) last posted its quarterly earnings data on Monday, May 12th. The company reported $0.11 EPS for the quarter, topping the consensus estimate of ($0.04) by $0.15. Topgolf Callaway Brands had a positive return on equity of 1.51% and a negative net margin of 34.68%. The firm had revenue of $1.09 billion during the quarter, compared to analyst estimates of $1.08 billion. During the same period in the prior year, the business posted $0.08 EPS. Topgolf Callaway Brands's revenue was down 4.5% on a year-over-year basis. On average, equities research analysts expect that Topgolf Callaway Brands Corp. will post 0.16 EPS for the current fiscal year.

Topgolf Callaway Brands Company Profile

Topgolf Callaway Brands Corp. designs, manufactures, and sells golf equipment, golf and lifestyle apparel, and other accessories in the United States, Europe, Asia, and Internationally. The Topgolf segment operates Topgolf venues equipped with technology-enabled hitting bays, bars, dining areas, and event spaces, as well as Toptracer ball-flight tracking technology; and World Golf Tour digital golf game.