Topgolf Callaway Brands Corp. (NYSE:MODG) Given Average Recommendation of "Hold" by Analysts

Key Points

• Topgolf Callaway Brands Corp. (NYSE:MODG) has received an average consensus rating of "Hold" from analysts, with price targets ranging from $9.00 to $10.00.
• In its latest earnings report, the company posted $0.24 EPS, surpassing analyst expectations and generating $1.11 billion in revenue, although this represents a 4.1% decline from the same quarter the previous year.
• Significant insider trading was noted, with Director Erik J. Anderson and CEO Artie Starrs both selling substantial portions of their shares, highlighting potential concerns about the company's future performance.

Shares of Topgolf Callaway Brands Corp. (NYSE:MODG - Get Free Report) have been given a consensus rating of "Hold" by the eleven research firms that are currently covering the company, Marketbeat reports. One research analyst has rated the stock with a sell rating, six have assigned a hold rating, three have assigned a buy rating and one has given a strong buy rating to the company. The average 12-month price target among analysts that have covered the stock in the last year is $9.7778.

Several equities research analysts have recently issued reports on the stock. Morgan Stanley assumed coverage on shares of Topgolf Callaway Brands in a research note on Friday, July 18th. They set an "equal weight" rating and a $9.50 price target for the company. Zacks Research upgraded shares of Topgolf Callaway Brands from a "hold" rating to a "strong-buy" rating in a research note on Monday, October 6th. Cfra restated a "hold" rating and set a $9.00 price target on shares of Topgolf Callaway Brands in a research note on Friday, July 11th. Weiss Ratings restated a "sell (d)" rating on shares of Topgolf Callaway Brands in a research note on Wednesday, October 8th. Finally, UBS Group started coverage on shares of Topgolf Callaway Brands in a research note on Friday. They issued a "neutral" rating and a $10.00 price objective for the company.

Topgolf Callaway Brands Trading Down 0.9%

Shares of MODG stock opened at $9.16 on Friday. The company has a 50 day moving average of $9.39 and a 200-day moving average of $8.19. The company has a quick ratio of 1.25, a current ratio of 1.85 and a debt-to-equity ratio of 0.48. Topgolf Callaway Brands has a 12-month low of $5.42 and a 12-month high of $11.09. The firm has a market cap of $1.68 billion, a P/E ratio of -1.13 and a beta of 1.24.

Topgolf Callaway Brands (NYSE:MODG - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The company reported $0.24 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.03 by $0.21. Topgolf Callaway Brands had a negative net margin of 36.08% and a positive return on equity of 0.37%. The company had revenue of $1.11 billion during the quarter, compared to analyst estimates of $1.08 billion. During the same quarter last year, the business posted $0.42 EPS. Topgolf Callaway Brands's quarterly revenue was down 4.1% compared to the same quarter last year. Sell-side analysts anticipate that Topgolf Callaway Brands will post 0.16 earnings per share for the current year.

Insiders Place Their Bets

In other Topgolf Callaway Brands news, Director Erik J. Anderson sold 25,704 shares of the business's stock in a transaction on Friday, August 8th. The shares were sold at an average price of $9.25, for a total transaction of $237,762.00. Following the sale, the director owned 20,607 shares of the company's stock, valued at $190,614.75. The trade was a 55.50% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO Artie Starrs sold 106,734 shares of the business's stock in a transaction on Tuesday, August 12th. The shares were sold at an average price of $8.64, for a total transaction of $922,181.76. Following the sale, the chief executive officer directly owned 105,823 shares in the company, valued at $914,310.72. The trade was a 50.21% decrease in their position. The disclosure for this sale can be found here. Insiders own 2.40% of the company's stock.

Institutional Investors Weigh In On Topgolf Callaway Brands

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. O Keefe Stevens Advisory Inc. raised its holdings in Topgolf Callaway Brands by 2,528.5% during the 3rd quarter. O Keefe Stevens Advisory Inc. now owns 347,008 shares of the company's stock valued at $3,297,000 after acquiring an additional 333,806 shares during the period. Corient Private Wealth LLC purchased a new position in shares of Topgolf Callaway Brands during the 2nd quarter valued at $209,000. Nomura Holdings Inc. purchased a new position in shares of Topgolf Callaway Brands during the 2nd quarter valued at $875,000. Public Sector Pension Investment Board grew its position in shares of Topgolf Callaway Brands by 7.4% during the 2nd quarter. Public Sector Pension Investment Board now owns 482,053 shares of the company's stock valued at $3,881,000 after purchasing an additional 33,131 shares in the last quarter. Finally, Tower Research Capital LLC TRC grew its position in shares of Topgolf Callaway Brands by 339.0% during the 2nd quarter. Tower Research Capital LLC TRC now owns 19,167 shares of the company's stock valued at $154,000 after purchasing an additional 14,801 shares in the last quarter. Institutional investors own 84.69% of the company's stock.

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.

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