Topgolf Callaway Brands' (CALY) Buy Rating Reaffirmed at B. Riley Financial

Key Points

• B. Riley Financial reaffirmed its “buy” rating on Topgolf Callaway Brands and raised its price target to $23 from $19, implying approximately 19.9% upside from the stock’s $19.18 price.
• Recent quarterly results exceeded expectations, with EPS of $0.39 versus a $0.35 consensus estimate and revenue of $612.2 million. However, revenue declined 44.9% year over year, and full-year guidance of $2.0 billion to $2.1 billion is slightly below consensus.
• Analyst sentiment remains broadly positive but mixed: the stock carries a “Moderate Buy” consensus rating and an average target of $19.67, while shares trade near their 12-month high of $20.28.

Topgolf Callaway Brands (NYSE:CALY - Get Free Report)'s stock had its "buy" rating reaffirmed by stock analysts at B. Riley Financial in a report released on Wednesday,Benzinga reports. They currently have a $23.00 target price on the stock, up from their previous target price of $19.00. B. Riley Financial's price objective indicates a potential upside of 19.90% from the stock's current price.

A number of other analysts also recently weighed in on CALY. The Goldman Sachs Group began coverage on Topgolf Callaway Brands in a research note on Thursday, June 11th. They issued a "neutral" rating and a $17.00 price target on the stock. Truist Financial upped their price target on shares of Topgolf Callaway Brands to $19.00 and gave the stock a "buy" rating in a research note on Monday, June 15th. Zacks Research upgraded shares of Topgolf Callaway Brands from a "hold" rating to a "strong-buy" rating in a research note on Tuesday, July 7th. Weiss Ratings raised shares of Topgolf Callaway Brands from a "sell (d-)" rating to a "hold (c-)" rating in a report on Tuesday, May 12th. Finally, JPMorgan Chase & Co. upped their target price on shares of Topgolf Callaway Brands to $18.00 and gave the stock a "neutral" rating in a research report on Thursday, June 11th. One equities research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $19.67.

Topgolf Callaway Brands Stock Performance

Shares of CALY stock traded down $0.39 during mid-day trading on Wednesday, hitting $19.18. 1,841,829 shares of the stock were exchanged, compared to its average volume of 2,746,823. The firm's fifty day moving average price is $17.72. The company has a market capitalization of $3.45 billion, a PE ratio of 137.37 and a beta of 0.93. Topgolf Callaway Brands has a 12-month low of $8.00 and a 12-month high of $20.28. The company has a quick ratio of 1.44, a current ratio of 2.28 and a debt-to-equity ratio of 0.07.

Topgolf Callaway Brands (NYSE:CALY - Get Free Report) last issued its quarterly earnings data on Tuesday, August 4th. The company reported $0.39 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.35 by $0.04. Topgolf Callaway Brands had a net margin of 1.05% and a return on equity of 4.44%. The company had revenue of $612.20 million for the quarter. Topgolf Callaway Brands's quarterly revenue was down 44.9% on a year-over-year basis. On average, research analysts expect that Topgolf Callaway Brands will post 0.75 earnings per share for the current fiscal year.

Key Headlines Impacting Topgolf Callaway Brands

Here are the key news stories impacting Topgolf Callaway Brands this week:

• Positive Sentiment: KeyCorp raised its price target to $22 from $19 and initiated an “overweight” rating, implying additional upside and signaling confidence in the company’s outlook. Benzinga article
• Positive Sentiment: Second-quarter adjusted earnings were $0.39 per share, beating the $0.35 consensus estimate and rising from $0.24 a year earlier. The company also reported a 67% increase in GAAP net income from continuing operations and a 36% gain in adjusted EBITDA. Callaway Golf Surpasses Q2 Earnings and Revenue Estimates
• Positive Sentiment: Callaway said second-quarter net sales increased 2%, while gross margins expanded sharply—GAAP margin rose 620 basis points and non-GAAP margin improved 460 basis points. The company also repurchased $84 million of shares through June, supporting per-share value. Callaway Golf Second Quarter 2026 Results
• Positive Sentiment: Management’s discussion of renewed progress as a golf-focused “pure-play” may reinforce expectations that the streamlined business can improve execution and profitability. Callaway Golf CEO Discusses Renewed Progress
• Neutral Sentiment: Other brokerages set an average price target of $18.25, below the stock’s recent trading level, suggesting analyst views remain mixed despite KeyCorp’s upgrade. Brokerages Set CALY Price Target
• Negative Sentiment: Full-year revenue guidance of $2.0 billion to $2.1 billion is modestly below the $2.1 billion consensus estimate. Third-quarter guidance of $415 million to $435 million also brackets a consensus forecast of $429.4 million, indicating limited near-term revenue upside. Callaway Golf Second Quarter 2026 Results

About Topgolf Callaway Brands

Topgolf Callaway Brands plc NYSE: MODG is a leading global sports and entertainment company formed through the merger of Callaway Golf Company and Topgolf Entertainment Group in July 2022. The company combines Callaway’s heritage in golf equipment design and manufacturing with Topgolf’s innovative, technology-driven entertainment venues. Topgolf Callaway Brands serves a diverse audience of golf enthusiasts, casual players and social visitors, offering experiences that span both competitive sport and leisure activities.

Under the Callaway Golf brand, the company develops and markets a broad portfolio of premium golf clubs, balls, accessories and apparel.

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