Topgolf Callaway Brands Corp. (NYSE:MODG) Receives $10.00 Consensus Price Target from Brokerages

Key Points

• Topgolf Callaway Brands Corp. has received an average rating of "Hold" from ten research firms, with seven hold ratings and three buy ratings. The average target price among brokers is $10.00.
• Insider trading activity includes Director Erik J. Anderson selling 25,704 shares at $9.25, reducing his ownership by 55.50%, while Director Adebayo O. Ogunlesi acquired 384,731 shares at $6.48, increasing his holdings by over 100%.
• The company reported earnings of $0.24 EPS, exceeding estimates, with revenue of $1.11 billion for the quarter, despite a year-over-year decline of 4.1% in revenue.

Shares of Topgolf Callaway Brands Corp. (NYSE:MODG - Get Free Report) have been given a consensus rating of "Hold" by the ten ratings firms that are currently covering the company, MarketBeat.com reports. Seven research analysts have rated the stock with a hold recommendation and three have given a buy recommendation to the company. The average 1 year target price among brokerages that have issued a report on the stock in the last year is $10.00.

A number of equities research analysts have recently commented on MODG shares. B. Riley reiterated a "neutral" rating and set a $9.50 price target (up previously from $7.00) on shares of Topgolf Callaway Brands in a report on Monday, August 11th. Morgan Stanley started coverage on shares of Topgolf Callaway Brands in a report on Friday, July 18th. They set an "equal weight" rating and a $9.50 price objective for the company. Cfra reissued a "hold" rating and set a $9.00 price objective on shares of Topgolf Callaway Brands in a report on Friday, July 11th. Wall Street Zen raised shares of Topgolf Callaway Brands from a "sell" rating to a "hold" rating in a report on Saturday, August 9th. Finally, JPMorgan Chase & Co. decreased their price objective on shares of Topgolf Callaway Brands from $8.00 to $7.00 and set a "neutral" rating for the company in a report on Tuesday, May 27th.

Topgolf Callaway Brands Stock Down 2.2%

Shares of NYSE:MODG traded down $0.22 during trading on Friday, reaching $9.54. 1,991,278 shares of the stock traded hands, compared to its average volume of 3,091,812. The stock has a 50-day moving average of $9.13 and a two-hundred day moving average of $7.54. Topgolf Callaway Brands has a 52-week low of $5.42 and a 52-week high of $11.41. The company has a debt-to-equity ratio of 0.48, a quick ratio of 1.25 and a current ratio of 1.85. The stock has a market cap of $1.75 billion, a P/E ratio of -1.17 and a beta of 1.26.

Topgolf Callaway Brands (NYSE:MODG - Get Free Report) last posted its quarterly earnings results on Wednesday, August 6th. The company reported $0.24 EPS for the quarter, beating analysts' consensus estimates 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 firm had revenue of $1.11 billion for the quarter, compared to analysts' expectations of $1.08 billion. During the same quarter in the prior year, the company posted $0.42 earnings per share. The business's revenue for the quarter was down 4.1% on a year-over-year basis. As a group, sell-side analysts expect that Topgolf Callaway Brands will post 0.16 earnings per share for the current fiscal year.

Insider Activity

In related news, Director Erik J. Anderson sold 25,704 shares of the business's stock in a transaction that occurred 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 completion of the sale, the director directly owned 20,607 shares in the company, valued at approximately $190,614.75. The trade was a 55.50% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CEO Artie Starrs sold 106,734 shares of the business's stock in a transaction that occurred 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 owned 105,823 shares of the company's stock, valued at $914,310.72. This trade represents a 50.21% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders purchased 845,284 shares of company stock valued at $5,533,600 over the last three months. Insiders own 2.40% of the company's stock.

Institutional Trading of Topgolf Callaway Brands

Several large investors have recently added to or reduced their stakes in the business. Nomura Holdings Inc. bought a new position in shares of Topgolf Callaway Brands in the second quarter worth approximately $875,000. Public Sector Pension Investment Board lifted its holdings in shares of Topgolf Callaway Brands by 7.4% in the second quarter. Public Sector Pension Investment Board now owns 482,053 shares of the company's stock worth $3,881,000 after buying an additional 33,131 shares in the last quarter. Tower Research Capital LLC TRC increased its stake in Topgolf Callaway Brands by 339.0% during the second quarter. Tower Research Capital LLC TRC now owns 19,167 shares of the company's stock worth $154,000 after acquiring an additional 14,801 shares during the last quarter. Corient Private Wealth LLC purchased a new stake in Topgolf Callaway Brands during the 2nd quarter valued at $422,000. Finally, Sender Co & Partners Inc. purchased a new stake in shares of Topgolf Callaway Brands in the second quarter valued at $349,000. 84.69% of the stock is currently owned by institutional investors.

About Topgolf Callaway Brands

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.