Topgolf Callaway Brands (NYSE:MODG) Reaches New 1-Year Low After Analyst Downgrade

Topgolf Callaway Brands Corp. (NYSE:MODG) shares hit a new 52-week low during mid-day trading on Thursday after TheStreet downgraded the stock from a c rating to a d+ rating. The company traded as low as $10.11 and last traded at $10.61, with a volume of 3031168 shares trading hands. The stock had previously closed at $12.45.

Several other research firms also recently weighed in on MODG. JPMorgan Chase & Co. downgraded shares of Topgolf Callaway Brands from an “overweight” rating to a “neutral” rating and dropped their target price for the company from $23.00 to $13.00 in a report on Thursday. Compass Point dropped their target price on shares of Topgolf Callaway Brands from $34.00 to $31.00 and set a “buy” rating for the company in a report on Monday, August 21st. KeyCorp dropped their target price on shares of Topgolf Callaway Brands from $27.00 to $20.00 and set an “overweight” rating for the company in a report on Thursday. B. Riley reaffirmed a “buy” rating and set a $31.00 price target on shares of Topgolf Callaway Brands in a research note on Thursday, September 28th. Finally, Truist Financial decreased their price target on shares of Topgolf Callaway Brands from $25.00 to $18.00 and set a “buy” rating on the stock in a research note on Thursday. One analyst has rated the stock with a sell rating, three have issued a hold rating and six have assigned a buy rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $21.45.

Insider Buying and Selling

In related news, CEO Oliver G. Brewer III bought 10,000 shares of the firm’s stock in a transaction that occurred on Friday, August 25th. The shares were acquired at an average cost of $16.21 per share, with a total value of $162,100.00. Following the completion of the transaction, the chief executive officer now owns 847,556 shares of the company’s stock, valued at $13,738,882.76. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. In other Topgolf Callaway Brands news, Director Erik J. Anderson sold 5,000 shares of Topgolf Callaway Brands stock in a transaction that occurred on Monday, August 14th. The shares were sold at an average price of $17.01, for a total transaction of $85,050.00. Following the transaction, the director now directly owns 842,959 shares of the company’s stock, valued at $14,338,732.59. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CEO Oliver G. Brewer III purchased 10,000 shares of Topgolf Callaway Brands stock in a transaction on Friday, August 25th. The shares were acquired at an average cost of $16.21 per share, for a total transaction of $162,100.00. Following the completion of the transaction, the chief executive officer now owns 847,556 shares of the company’s stock, valued at $13,738,882.76. The disclosure for this purchase can be found here. Corporate insiders own 11.97% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of MODG. Raymond James & Associates acquired a new position in Topgolf Callaway Brands during the first quarter valued at approximately $1,286,000. Raymond James Financial Services Advisors Inc. purchased a new stake in shares of Topgolf Callaway Brands during the first quarter valued at approximately $1,393,000. IFP Advisors Inc purchased a new stake in shares of Topgolf Callaway Brands during the first quarter valued at approximately $59,000. Inspire Investing LLC purchased a new stake in shares of Topgolf Callaway Brands during the first quarter valued at approximately $273,000. Finally, State of New Jersey Common Pension Fund D purchased a new stake in shares of Topgolf Callaway Brands during the first quarter valued at approximately $2,137,000. 82.13% of the stock is owned by institutional investors and hedge funds.

Topgolf Callaway Brands Price Performance

The company has a market cap of $1.92 billion, a PE ratio of 19.53, a price-to-earnings-growth ratio of 1.52 and a beta of 1.83. The business’s 50 day moving average price is $14.06 and its 200-day moving average price is $17.26. The company has a quick ratio of 0.88, a current ratio of 1.78 and a debt-to-equity ratio of 0.39.

Topgolf Callaway Brands (NYSE:MODG) last posted its quarterly earnings data on Wednesday, November 8th. The company reported $0.20 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.11 by $0.09. The company had revenue of $1.04 billion for the quarter, compared to analyst estimates of $1.05 billion. Topgolf Callaway Brands had a net margin of 2.58% and a return on equity of 2.74%. The business’s quarterly revenue was up 5.3% on a year-over-year basis. During the same quarter last year, the firm posted $0.23 earnings per share. As a group, analysts forecast that Topgolf Callaway Brands Corp. will post 0.62 earnings per share for the current year.

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. It operates through three segments: Topgolf; Golf Equipment; and Active Lifestyle. 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.