Topgolf Callaway Brands shares tumble after cut to full-year forecast
Shares of Topgolf Callaway Brands (MODG) slid 19% after hours on Wednesday after the golf-equipment and entertainment company cut its full-year sales and profit outlook and offered a weak fourth-quarter sales forecast following what it said was a "challenging" third quarter. The company, which sells Callaway golf clubs and other equipment and runs the Topgolf recreational driving-range chain, said it expected full-year sales of $4.235 billion to $4.26 billion, down from a prior outlook of $4.42 billion to $4.47 billion. It said it expected full-year adjusted earnings per share of 39 cents to 43 cents, down from earlier expectations for 63 cents to 69 cents. The company said it expected fourth-quarter sales of $847 million to $872 million, below FactSet estimates for around $1 billion in sales. During the third quarter, where per-share profits topped expectations but sales just missed, management cited cooling trends at Topgolf, following "a post-Covid surge in the corporate events business last year," a decrease in golf-ball sales and fewer equipment product launches.
-Bill Peters
This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
11-09-23 0836ET
Copyright (c) 2023 Dow Jones & Company, Inc.-
What’s the Difference Between the CPI and PCE Indexes?
-
Micron Earnings: Great Guidance but Stock Now Looks Fairly Valued
-
August PCE Report Forecasts Show More Good News on Inflation
-
AI Stocks May Be Down, but Don’t Count Them Out
-
4 Stocks to Buy as the Fed Cuts Interest Rates
-
Markets Brief: The Uncertain Path to Neutral Interest Rates
-
What’s Happening in the Markets This Week
-
Where Top Stock Fund Managers Are Looking Next After the Fed Rate Cut
-
Our Top Pick for Investing in US Renewable Energy
-
Undervalued by 25% and Yielding 5%, This Stock Is a Buy
-
Can AI Predict Future Stock Returns?
-
The Best Energy Stocks to Buy Now
-
10 Undervalued Wide-Moat Stocks
-
Obesity Drugs: Can New Firms Take Market Share From Eli Lilly and Novo Nordisk?
-
New 4-Star Stocks
-
Intel Fair Value Left Unchanged Despite Qualcomm Takeover Talk