Callaway Golf Co (NYSE:ELY) Expected to Post Quarterly Sales of $420.79 Million

Equities analysts expect that Callaway Golf Co (NYSE:ELY) will post $420.79 million in sales for the current quarter, according to Zacks. Eight analysts have provided estimates for Callaway Golf’s earnings. The highest sales estimate is $425.07 million and the lowest is $419.40 million. Callaway Golf reported sales of $262.65 million during the same quarter last year, which indicates a positive year-over-year growth rate of 60.2%. The firm is scheduled to issue its next earnings report after the market closes on Thursday, October 24th.

On average, analysts expect that Callaway Golf will report full-year sales of $1.70 billion for the current financial year, with estimates ranging from $1.69 billion to $1.70 billion. For the next fiscal year, analysts expect that the firm will report sales of $1.78 billion, with estimates ranging from $1.75 billion to $1.83 billion. Zacks’ sales calculations are an average based on a survey of sell-side analysts that that provide coverage for Callaway Golf.

Callaway Golf (NYSE:ELY) last issued its quarterly earnings results on Thursday, August 8th. The company reported $0.37 earnings per share for the quarter, topping analysts’ consensus estimates of $0.25 by $0.12. Callaway Golf had a net margin of 4.17% and a return on equity of 9.95%. The company had revenue of $446.71 million during the quarter, compared to analyst estimates of $430.12 million. During the same period in the prior year, the business posted $0.63 EPS. The business’s revenue for the quarter was up 12.7% compared to the same quarter last year.

ELY has been the topic of several analyst reports. Zacks Investment Research upgraded shares of Callaway Golf from a “hold” rating to a “buy” rating and set a $20.00 price target on the stock in a research note on Friday, July 12th. ValuEngine downgraded shares of Callaway Golf from a “buy” rating to a “hold” rating in a report on Tuesday. Raymond James raised shares of Callaway Golf from a “market perform” rating to an “outperform” rating and set a $21.00 price objective for the company in a report on Wednesday, September 11th. Stephens raised shares of Callaway Golf from an “equal” rating to a “weight” rating and upped their price objective for the stock from $18.00 to $21.50 in a report on Friday, August 9th. Finally, B. Riley set a $30.00 price objective on shares of Callaway Golf and gave the stock a “buy” rating in a report on Friday, July 19th. Three investment analysts have rated the stock with a hold rating and seven have given a buy rating to the stock. The company currently has an average rating of “Buy” and an average price target of $22.94.

Shares of ELY traded up $0.25 during mid-day trading on Wednesday, hitting $18.75. 959,473 shares of the company’s stock were exchanged, compared to its average volume of 1,254,869. The firm has a fifty day moving average of $18.27 and a two-hundred day moving average of $17.27. Callaway Golf has a twelve month low of $14.44 and a twelve month high of $24.38. The stock has a market cap of $1.76 billion, a price-to-earnings ratio of 17.52, a P/E/G ratio of 0.71 and a beta of 1.26. The company has a quick ratio of 0.92, a current ratio of 1.70 and a debt-to-equity ratio of 0.80.

Callaway Golf announced that its Board of Directors has authorized a share repurchase plan on Thursday, August 8th that authorizes the company to repurchase $100.00 million in shares. This repurchase authorization authorizes the company to purchase up to 5.9% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s board of directors believes its shares are undervalued.

In other Callaway Golf news, EVP Richard H. Arnett sold 13,137 shares of the stock in a transaction on Friday, August 9th. The shares were sold at an average price of $20.00, for a total value of $262,740.00. Following the completion of the sale, the executive vice president now directly owns 31,276 shares of the company’s stock, valued at approximately $625,520. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. 1.97% of the stock is owned by corporate insiders.

Institutional investors have recently modified their holdings of the business. Zions Bancorporation N.A. bought a new stake in Callaway Golf in the 1st quarter valued at $33,000. FNY Investment Advisers LLC bought a new position in shares of Callaway Golf during the 2nd quarter worth about $34,000. Nisa Investment Advisors LLC bought a new position in shares of Callaway Golf during the 2nd quarter worth about $34,000. First Mercantile Trust Co. bought a new position in shares of Callaway Golf during the 2nd quarter worth about $103,000. Finally, Point72 Hong Kong Ltd lifted its holdings in shares of Callaway Golf by 553.7% during the 2nd quarter. Point72 Hong Kong Ltd now owns 8,296 shares of the company’s stock worth $142,000 after acquiring an additional 7,027 shares during the period. 94.94% of the stock is owned by hedge funds and other institutional investors.

About Callaway Golf

Callaway Golf Company, together with its subsidiaries, designs, manufactures, and sells golf clubs, golf balls, golf bags, and other golf-related accessories. The company operates through three segments: Golf Clubs; Golf Balls; and Gear, Accessories and Other. The Golf Clubs segment provides golf drivers and fairway woods, hybrids, irons and wedges, putters, packaged sets, and pre-owned golf clubs.

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