TOPGOLF CALLAWAY BRANDS CORP (MODG)
US1311931042 - Common Stock
MODG gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 31 industry peers in the Leisure Products industry. MODG has a medium profitability rating, but doesn't score so well on its financial health evaluation. While showing a medium growth rate, MODG is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year MODG was profitable.
MODG had a positive operating cash flow in the past year.
Of the past 5 years MODG 4 years were profitable.
Of the past 5 years MODG 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of MODG (-0.13%) is comparable to the rest of the industry.
MODG has a Return On Equity of -0.31%. This is comparable to the rest of the industry: MODG outperforms 56.67% of its industry peers.
MODG's Return On Invested Capital of 1.68% is in line compared to the rest of the industry. MODG outperforms 53.33% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MODG is significantly below the industry average of 8.16%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.13% | ||
| ROE | -0.31% | ||
| ROIC | 1.68% |
ROA(3y)2.35%
ROA(5y)0.94%
ROE(3y)5.13%
ROE(5y)1.39%
ROIC(3y)2.6%
ROIC(5y)3.63%
1.3 Margins
MODG's Profit Margin has declined in the last couple of years.
The Operating Margin of MODG (4.21%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of MODG has declined.
MODG's Gross Margin of 62.49% is amongst the best of the industry. MODG outperforms 100.00% of its industry peers.
In the last couple of years the Gross Margin of MODG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.21% | ||
| PM (TTM) | N/A | ||
| GM | 62.49% |
OM growth 3Y12.16%
OM growth 5Y-9.98%
PM growth 3YN/A
PM growth 5Y-23.43%
GM growth 3Y14.4%
GM growth 5Y5.88%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MODG is destroying value.
The number of shares outstanding for MODG has been reduced compared to 1 year ago.
The number of shares outstanding for MODG has been increased compared to 5 years ago.
The debt/assets ratio for MODG is higher compared to a year ago.
2.2 Solvency
MODG has an Altman-Z score of 0.93. This is a bad value and indicates that MODG is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of MODG (0.93) is worse than 66.67% of its industry peers.
MODG has a debt to FCF ratio of 11.89. This is a negative value and a sign of low solvency as MODG would need 11.89 years to pay back of all of its debts.
MODG has a Debt to FCF ratio (11.89) which is in line with its industry peers.
MODG has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
MODG's Debt to Equity ratio of 0.46 is in line compared to the rest of the industry. MODG outperforms 43.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 11.89 | ||
| Altman-Z | 0.93 |
ROIC/WACC0.16
WACC10.47%
2.3 Liquidity
A Current Ratio of 1.93 indicates that MODG should not have too much problems paying its short term obligations.
MODG has a Current ratio of 1.93. This is in the lower half of the industry: MODG underperforms 63.33% of its industry peers.
MODG has a Quick Ratio of 1.14. This is a normal value and indicates that MODG is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of MODG (1.14) is worse than 63.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.93 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
The earnings per share for MODG have decreased strongly by -53.06% in the last year.
MODG shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -15.38% yearly.
The Revenue has decreased by -0.64% in the past year.
Measured over the past years, MODG shows a very strong growth in Revenue. The Revenue has been growing by 28.09% on average per year.
EPS 1Y (TTM)-53.06%
EPS 3Y-10.89%
EPS 5Y-15.38%
EPS Q2Q%-90%
Revenue 1Y (TTM)-0.64%
Revenue growth 3Y39.17%
Revenue growth 5Y28.09%
Sales Q2Q%-2.66%
3.2 Future
MODG is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -3.37% yearly.
Based on estimates for the next years, MODG will show a small growth in Revenue. The Revenue will grow by 3.74% on average per year.
EPS Next Y-65.35%
EPS Next 2Y-63.15%
EPS Next 3Y-29.21%
EPS Next 5Y-3.37%
Revenue Next Year-1.27%
Revenue Next 2Y0.86%
Revenue Next 3Y2.22%
Revenue Next 5Y3.74%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
MODG is valuated quite expensively with a Price/Earnings ratio of 32.39.
MODG's Price/Earnings ratio is in line with the industry average.
MODG is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.73, which is the current average of the S&P500 Index.
MODG is valuated quite expensively with a Price/Forward Earnings ratio of 119.25.
Based on the Price/Forward Earnings ratio, MODG is valued a bit more expensive than 66.67% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.83. MODG is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.39 | ||
| Fwd PE | 119.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MODG is valued cheaply inside the industry as 96.67% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, MODG is valued cheaply inside the industry as 86.67% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9 | ||
| EV/EBITDA | 6.05 |
4.3 Compensation for Growth
A cheap valuation may be justified as MODG's earnings are expected to decrease with -29.21% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-63.15%
EPS Next 3Y-29.21%
5. Dividend
5.1 Amount
MODG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TOPGOLF CALLAWAY BRANDS CORP
NYSE:MODG (12/20/2024, 8:25:15 PM)
After market: 7.4129 -0.04 (-0.5%)7.45
+0.16 (+2.19%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryLeisure Products
Earnings (Last)
Earnings (Next)
Inst Owners74.82%
Inst Owner ChangeN/A
Ins Owners1.63%
Ins Owner Change0.48%
Market Cap1.37B
Analysts72
Price Target15.09 (102.55%)
Short Float %11.46%
Short Ratio6.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)81.74%
Min EPS beat(2)51.38%
Max EPS beat(2)112.09%
EPS beat(4)4
Avg EPS beat(4)179.14%
Min EPS beat(4)11.36%
Max EPS beat(4)541.71%
EPS beat(8)7
Avg EPS beat(8)92.46%
EPS beat(12)11
Avg EPS beat(12)71.41%
EPS beat(16)14
Avg EPS beat(16)250.43%
Revenue beat(2)1
Avg Revenue beat(2)-1.86%
Min Revenue beat(2)-4.71%
Max Revenue beat(2)0.99%
Revenue beat(4)2
Avg Revenue beat(4)-1.3%
Min Revenue beat(4)-4.71%
Max Revenue beat(4)1.55%
Revenue beat(8)3
Avg Revenue beat(8)-1.43%
Revenue beat(12)4
Avg Revenue beat(12)-0.87%
Revenue beat(16)7
Avg Revenue beat(16)1.9%
PT rev (1m)-5.52%
PT rev (3m)-22.6%
EPS NQ rev (1m)-80.49%
EPS NQ rev (3m)-80.49%
EPS NY rev (1m)-9.85%
EPS NY rev (3m)-20.55%
Revenue NQ rev (1m)-9.68%
Revenue NQ rev (3m)-9.68%
Revenue NY rev (1m)-0.23%
Revenue NY rev (3m)-0.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.39 | ||
| Fwd PE | 119.25 | ||
| P/S | 0.33 | ||
| P/FCF | 9 | ||
| P/OCF | 2.88 | ||
| P/B | 0.35 | ||
| P/tB | 3.14 | ||
| EV/EBITDA | 6.05 |
EPS(TTM)0.23
EY3.09%
EPS(NY)0.06
Fwd EY0.84%
FCF(TTM)0.83
FCFY11.12%
OCF(TTM)2.59
OCFY34.74%
SpS22.92
BVpS21.41
TBVpS2.37
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.13% | ||
| ROE | -0.31% | ||
| ROCE | 2.13% | ||
| ROIC | 1.68% | ||
| ROICexc | 1.77% | ||
| ROICexgc | 3.17% | ||
| OM | 4.21% | ||
| PM (TTM) | N/A | ||
| GM | 62.49% | ||
| FCFM | 3.61% |
ROA(3y)2.35%
ROA(5y)0.94%
ROE(3y)5.13%
ROE(5y)1.39%
ROIC(3y)2.6%
ROIC(5y)3.63%
ROICexc(3y)2.71%
ROICexc(5y)3.99%
ROICexgc(3y)5.28%
ROICexgc(5y)7.53%
ROCE(3y)3.34%
ROCE(5y)4.8%
ROICexcg growth 3Y-14.85%
ROICexcg growth 5Y-26.87%
ROICexc growth 3Y-15.44%
ROICexc growth 5Y-28.35%
OM growth 3Y12.16%
OM growth 5Y-9.98%
PM growth 3YN/A
PM growth 5Y-23.43%
GM growth 3Y14.4%
GM growth 5Y5.88%
F-Score6
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 11.89 | ||
| Debt/EBITDA | 4.07 | ||
| Cap/Depr | 122.86% | ||
| Cap/Sales | 7.68% | ||
| Interest Coverage | 0.9 | ||
| Cash Conversion | 107.97% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.93 | ||
| Quick Ratio | 1.14 | ||
| Altman-Z | 0.93 |
F-Score6
WACC10.47%
ROIC/WACC0.16
Cap/Depr(3y)228.68%
Cap/Depr(5y)188.36%
Cap/Sales(3y)11.65%
Cap/Sales(5y)8.13%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-53.06%
EPS 3Y-10.89%
EPS 5Y-15.38%
EPS Q2Q%-90%
EPS Next Y-65.35%
EPS Next 2Y-63.15%
EPS Next 3Y-29.21%
EPS Next 5Y-3.37%
Revenue 1Y (TTM)-0.64%
Revenue growth 3Y39.17%
Revenue growth 5Y28.09%
Sales Q2Q%-2.66%
Revenue Next Year-1.27%
Revenue Next 2Y0.86%
Revenue Next 3Y2.22%
Revenue Next 5Y3.74%
EBIT growth 1Y-24.75%
EBIT growth 3Y56.1%
EBIT growth 5Y15.3%
EBIT Next Year100.41%
EBIT Next 3Y29.09%
EBIT Next 5Y25.92%
FCF growth 1Y137.01%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y619.67%
OCF growth 3Y16.92%
OCF growth 5Y31.63%