Topgolf Callaway Brands (NYSE:MODG) Upgraded to Hold at Wall Street Zen

Key Points

• Topgolf Callaway Brands (NYSE:MODG) was recently upgraded from a "sell" to a "hold" rating by Wall Street Zen, indicating a more favorable outlook on the stock.
• The stock has seen a significant fluctuation in target prices, with multiple analysts setting varying targets between $7.00 and $9.50, and a current consensus target price of $9.75.
• Despite a challenging performance with a 10.1% drop, Topgolf Callaway Brands reported a quarterly earnings beat of $0.24 EPS, surpassing estimates significantly, though revenue decreased by 4.1% year-over-year.

Wall Street Zen upgraded shares of Topgolf Callaway Brands (NYSE:MODG - Free Report) from a sell rating to a hold rating in a report issued on Saturday.

A number of other equities analysts have also recently weighed in on MODG. Morgan Stanley initiated coverage on Topgolf Callaway Brands in a report on Friday, July 18th. They set an "equal weight" rating and a $9.50 price objective on the stock. Cfra restated a "hold" rating and set a $9.00 price target on shares of Topgolf Callaway Brands in a research report on Friday, July 11th. Truist Financial reduced their price target 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. B. Riley initiated coverage on Topgolf Callaway Brands in a research report on Friday, May 16th. They set a "neutral" rating and a $7.00 price target on the stock. Finally, JPMorgan Chase & Co. reduced their price target on Topgolf Callaway Brands from $8.00 to $7.00 and set a "neutral" rating on the stock in a research report on Tuesday, May 27th. One investment analyst has rated the stock with a sell rating, eight have issued a hold rating and three have issued a buy rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and an average target price of $10.00.

Topgolf Callaway Brands Stock Performance

MODG stock traded up $0.60 during midday trading on Friday, hitting $9.33. The company's stock had a trading volume of 886,903 shares, compared to its average volume of 2,966,370. The stock's 50-day moving average price is $8.60 and its 200 day moving average price is $7.37. 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 1 year low of $5.42 and a 1 year high of $12.03. The stock has a market cap of $1.71 billion, a price-to-earnings ratio of -1.15 and a beta of 1.26.

Topgolf Callaway Brands (NYSE:MODG - Get Free Report) last issued 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 positive return on equity of 0.37% and a negative net margin of 36.08%. 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 firm earned $0.42 EPS. The business's revenue for the quarter was down 4.1% compared to the same quarter last year. On average, equities analysts forecast that Topgolf Callaway Brands will post 0.16 EPS for the current year.

Insider Buying and Selling

In other news, CEO Artie Starrs sold 106,734 shares of the stock in a transaction that occurred on Tuesday, August 12th. The stock was sold at an average price of $8.64, for a total value of $922,181.76. Following the sale, the chief executive officer directly owned 105,823 shares in the company, valued at approximately $914,310.72. This represents a 50.21% 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, Director Erik J. Anderson sold 25,704 shares of the firm's stock in a transaction on Friday, August 8th. The stock was sold at an average price of $9.25, for a total value of $237,762.00. Following the transaction, the director owned 20,607 shares in the company, valued at $190,614.75. The trade was a 55.50% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have acquired 855,284 shares of company stock valued at $5,602,200. 2.49% of the stock is currently owned by company insiders.

Institutional Trading of Topgolf Callaway Brands

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Signaturefd LLC increased its stake in shares of Topgolf Callaway Brands by 1,669.0% in the 2nd quarter. Signaturefd LLC now owns 3,078 shares of the company's stock valued at $25,000 after purchasing an additional 2,904 shares in the last quarter. GAMMA Investing LLC purchased a new position in shares of Topgolf Callaway Brands in the 2nd quarter valued at about $36,000. Sterling Capital Management LLC increased its stake in Topgolf Callaway Brands by 821.5% during the 4th quarter. Sterling Capital Management LLC now owns 4,543 shares of the company's stock worth $36,000 after buying an additional 4,050 shares in the last quarter. CWM LLC increased its stake in Topgolf Callaway Brands by 124.0% during the 2nd quarter. CWM LLC now owns 4,679 shares of the company's stock worth $38,000 after buying an additional 2,590 shares in the last quarter. Finally, Public Employees Retirement System of Ohio increased its stake in Topgolf Callaway Brands by 24.6% during the 2nd quarter. Public Employees Retirement System of Ohio now owns 6,275 shares of the company's stock worth $51,000 after buying an additional 1,240 shares in the last quarter. Institutional investors and hedge funds 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.