Topgolf Callaway Brands (NYSE:MODG) Reaches New 12-Month High – What’s Next?

Topgolf Callaway Brands Corp. (NYSE:MODG)’s stock price hit a new 52-week high during mid-day trading on Monday . The stock traded as high as $13.95 and last traded at $13.80, with a volume of 177829 shares changing hands. The stock had previously closed at $13.77.

Wall Street Analysts Forecast Growth

Several brokerages recently weighed in on MODG. B. Riley reissued a “neutral” rating and issued a $11.00 target price (up previously from $9.50) on shares of Topgolf Callaway Brands in a research note on Monday, November 10th. Zacks Research raised Topgolf Callaway Brands from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, December 3rd. Truist Financial lifted their target price on Topgolf Callaway Brands from $10.00 to $12.00 and gave the stock a “buy” rating in a research report on Tuesday, November 4th. JPMorgan Chase & Co. boosted their target price on shares of Topgolf Callaway Brands from $9.00 to $10.00 and gave the stock a “neutral” rating in a research report on Wednesday, November 12th. Finally, Compass Point lifted their price target on shares of Topgolf Callaway Brands from $14.50 to $17.50 and gave the company a “buy” rating in a report on Monday, January 5th. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, Topgolf Callaway Brands currently has an average rating of “Hold” and an average price target of $11.67.

Topgolf Callaway Brands Price Performance

The stock has a market capitalization of $2.59 billion, a price-to-earnings ratio of -1.72 and a beta of 0.92. The business has a 50-day simple moving average of $11.45 and a two-hundred day simple moving average of $10.05. The company has a quick ratio of 1.30, a current ratio of 1.87 and a debt-to-equity ratio of 0.60.

Topgolf Callaway Brands (NYSE:MODG) last announced its earnings results on Thursday, November 6th. The company reported ($0.05) earnings per share for the quarter, beating the consensus estimate of ($0.21) by $0.16. Topgolf Callaway Brands had a negative return on equity of 0.13% and a negative net margin of 37.06%.The business had revenue of $465.30 million during the quarter, compared to analysts’ expectations of $903.96 million. During the same quarter last year, the business posted $0.02 earnings per share. The company’s quarterly revenue was down 7.8% on a year-over-year basis. As a group, research analysts predict that Topgolf Callaway Brands Corp. will post 0.16 earnings per share for the current fiscal year.

Topgolf Callaway Brands announced that its board has authorized a stock repurchase program on Monday, January 5th that authorizes the company to buyback $200.00 million in shares. This buyback authorization authorizes the company to repurchase up to 9.3% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s leadership believes its stock is undervalued.

Hedge Funds Weigh In On Topgolf Callaway Brands

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Signaturefd LLC boosted its holdings in shares of Topgolf Callaway Brands by 1,669.0% in the second quarter. Signaturefd LLC now owns 3,078 shares of the company’s stock worth $25,000 after buying an additional 2,904 shares during the period. Johnson Financial Group Inc. boosted its stake in Topgolf Callaway Brands by 5,092.9% in the 3rd quarter. Johnson Financial Group Inc. now owns 3,635 shares of the company’s stock worth $35,000 after purchasing an additional 3,565 shares during the period. GAMMA Investing LLC purchased a new position in Topgolf Callaway Brands during the 2nd quarter worth approximately $36,000. Smartleaf Asset Management LLC grew its position in Topgolf Callaway Brands by 42.3% during the 3rd quarter. Smartleaf Asset Management LLC now owns 3,893 shares of the company’s stock worth $37,000 after purchasing an additional 1,157 shares in the last quarter. Finally, CWM LLC raised 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 valued at $38,000 after purchasing an additional 2,590 shares during the period. Institutional investors and hedge funds own 84.69% of the company’s stock.

Topgolf Callaway Brands Company Profile

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.