Topgolf Callaway Brands Corp (NYSE: MODG)’s stock price has soared by 2.82 in relation to previous closing price of 6.38. Nevertheless, the company has seen a gain of 3.80% in its stock price over the last five trading days. seekingalpha.com reported 2025-04-11 that I maintain a concentrated portfolio and recently invested in Topgolf Callaway Brands, despite the market’s disagreement and the firm’s significant share price decline. Management plans to spin off Topgolf, allowing each entity to focus on strengths, potentially creating more shareholder value. Despite recent financial challenges, including a $1.45 billion impairment charge, I believe the stock is significantly undervalued.
Is It Worth Investing in Topgolf Callaway Brands Corp (NYSE: MODG) Right Now?
Moreover, the 36-month beta value for MODG is 1.20. Analysts have varying opinions on the stock, with 3 analysts rating it as a “buy,” 1 as “overweight,” 4 as “hold,” and 1 as “sell.”
The public float for MODG is 130.16M and currently, short sellers hold a 13.39% of that float. On April 23, 2025, MODG’s average trading volume was 3.19M shares.
MODG’s Market Performance
The stock of Topgolf Callaway Brands Corp (MODG) has seen a 3.80% increase in the past week, with a -2.81% drop in the past month, and a -23.54% fall in the past quarter. The volatility ratio for the week is 4.63%, and the volatility levels for the past 30 days are at 7.31% for MODG. The simple moving average for the last 20 days is 3.37% for MODG’s stock, with a simple moving average of -30.03% for the last 200 days.
Analysts’ Opinion of MODG
Many brokerage firms have already submitted their reports for MODG stocks, with Jefferies repeating the rating for MODG by listing it as a “Buy.” The predicted price for MODG in the upcoming period, according to Jefferies is $13 based on the research report published on January 02, 2025 of the current year 2025.
B. Riley Securities, on the other hand, stated in their research note that they expect to see MODG reach a price target of $12, previously predicting the price at $18. The rating they have provided for MODG stocks is “Neutral” according to the report published on October 17th, 2024.
Jefferies gave a rating of “Hold” to MODG, setting the target price at $12 in the report published on August 29th of the previous year.
MODG Trading at 0.43% from the 50-Day Moving Average
After a stumble in the market that brought MODG to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -61.15% of loss for the given period.
Volatility was left at 7.31%, however, over the last 30 days, the volatility rate increased by 4.63%, as shares sank -5.07% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -13.46% lower at present.
During the last 5 trading sessions, MODG rose by +3.80%, which changed the moving average for the period of 200-days by -56.27% in comparison to the 20-day moving average, which settled at $6.35. In addition, Topgolf Callaway Brands Corp saw -16.54% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at MODG starting from ANDERSON ERIK J, who sale 10,000 shares at the price of $15.19 back on May 10 ’24. After this action, ANDERSON ERIK J now owns 767,959 shares of Topgolf Callaway Brands Corp, valued at $151,900 using the latest closing price.
ANDERSON ERIK J, the Director of Topgolf Callaway Brands Corp, sale 7,500 shares at $15.37 during a trade that took place back on May 14 ’24, which means that ANDERSON ERIK J is holding 760,459 shares at $115,275 based on the most recent closing price.
Stock Fundamentals for MODG
Current profitability levels for the company are sitting at:
- -0.3 for the present operating margin
- 0.65 for the gross margin
The net margin for Topgolf Callaway Brands Corp stands at -0.34. The total capital return value is set at -0.18. Equity return is now at value -46.06, with -17.28 for asset returns.
Based on Topgolf Callaway Brands Corp (MODG), the company’s capital structure generated 0.38 points at debt to capital in total, while cash flow to debt ratio is standing at 0.26. The debt to equity ratio resting at 0.61. The interest coverage ratio of the stock is -5.42.
Currently, EBITDA for the company is -973.6 million with net debt to EBITDA at -0.98. When we switch over and look at the enterprise to sales, we see a ratio of 0.52. The receivables turnover for the company is 24.13for trailing twelve months and the total asset turnover is 0.56. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.94.
Conclusion
To wrap up, the performance of Topgolf Callaway Brands Corp (MODG) has been bad in recent times. The stock has received a mixed of “buy” and “hold” ratings from analysts. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
