5 Best Sporting Goods Stocks To Invest In

4. Callaway Golf Company (NYSE:ELY)

Number Of Hedge Fund Holders: 34

Callaway Golf Company (NYSE:ELY) is an American global sports equipment manufacturing company that designs, manufactures, markets, and sells golf equipment. The company’s shares rose 7% in after-hours trading as the company raised its financial projections for the year on May 10.

Callaway Golf Company (NYSE:ELY) reported better-than-expected results for Q1 2022 on May 10. The golf company reported revenue and adjusted earnings per share of $1.04 billion and $3.36, respectively, while surpassing market estimates by $16.26 million and $0.12.

On May 12, KeyBanc analyst Brett Andress lowered the price target on Callaway Golf Company (NYSE:ELY) to $30 from $40 and maintained an Overweight rating on the shares. While the strong revenue metrics were already telegraphed at the investor day, the analyst was surprised by the upside in profitability despite near-term supply and inflation challenges. Additionally, the analyst believes the golf industry setup to be relatively resilient and continues to see meaningful earnings power.

34 hedge funds were bullish on Callaway Golf Company’s (NYSE:ELY) at the end of the fourth quarter of 2021, down from 38 funds in the third quarter of 2021. However, the stakes held in the company amounted to $469.62 million at the end of Q4 2021, up from $443.86 million for Q3 2021. Among the hedge funds being tracked by Insider Monkey, Ken Fisher’s Fisher Asset Management is one of the biggest shareholders in Callaway Golf Company (NYSE:ELY) with 3.17 million shares worth more than $87.1 million.