In its upcoming report, Topgolf Callaway Brands (MODG) is predicted by Wall Street analysts to post quarterly loss of $0.04 per share, reflecting a decline of 144.4% compared to the same period last year. Revenues are forecasted to be $1.06 billion, representing a year-over-year decrease of 7.4%.
The consensus EPS estimate for the quarter has been revised 3% lower over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.
Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
With that in mind, let's delve into the average projections of some Topgolf Callaway metrics that are commonly tracked and projected by analysts on Wall Street.
Analysts forecast 'Net Revenues by Category- Gear, Accessories & Other' to reach $108.97 million. The estimate indicates a year-over-year change of -2.6%.
According to the collective judgment of analysts, 'Net Revenues by Category- Apparel' should come in at $156.51 million. The estimate suggests a change of -1.9% year over year.
Analysts' assessment points toward 'Net Revenues by Category- Venues' reaching $379.66 million. The estimate indicates a change of -6.4% from the prior-year quarter.
The consensus among analysts is that 'Net Revenues- Topgolf' will reach $396.01 million. The estimate points to a change of -6.3% from the year-ago quarter.
The average prediction of analysts places 'Net Revenues by Category- Topgolf other business lines' at $16.60 million. The estimate indicates a change of -2.9% from the prior-year quarter.
Analysts expect 'Net Revenues- Golf Equipment' to come in at $444.44 million. The estimate indicates a year-over-year change of -1.2%.
Analysts predict that the 'Net Revenues- Active Lifestyle' will reach $265.76 million. The estimate points to a change of -2.1% from the year-ago quarter.
The combined assessment of analysts suggests that 'Net Revenues by Category- Golf Balls' will likely reach $98.92 million. The estimate points to a change of -4.9% from the year-ago quarter.
It is projected by analysts that the 'Net Revenues by Category- Golf Clubs' will reach $345.27 million. The estimate points to a change of -0.2% from the year-ago quarter.
The collective assessment of analysts points to an estimated 'Net Revenues- Services' of $392.88 million. The estimate indicates a year-over-year change of -6%.
Based on the collective assessment of analysts, 'Net Revenues- Products' should arrive at $689.28 million. The estimate indicates a year-over-year change of -5.1%.
The consensus estimate for 'Operating income (loss)- Golf Equipment' stands at $76.50 million. The estimate is in contrast to the year-ago figure of $82.10 million.
View all Key Company Metrics for Topgolf Callaway here>>>
Over the past month, shares of Topgolf Callaway have returned +9.9% versus the Zacks S&P 500 composite's +11.3% change. Currently, MODG carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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Topgolf Callaway Brands Corp. (MODG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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