Should You Buy Callaway Golf Co (CALY) Today? Analysis, Price Targets, and 2026 Outlook.
Conclusion
Buy
Latest Price
14.650
1 Day change
-0.95%
52 Week Range
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Analysis Updated At
2026/01/28
Buy CALY now for a beginner long-term investor with $50k–$100k. The stock has improving fundamentals (loss narrowing, margins up), a constructive industry backdrop (strong golf participation), and a clear catalyst path (Topgolf separation clarity + new product cycle). With your impatience for perfect entries, the current ~$15 level is acceptable even if there’s minor near-term chop.
Technical Analysis
Price action is mildly bullish: CALY is up +1.00% in the regular session to $15.16 and +0.67% pre-market, while the S&P 500 is roughly flat (-0.06%), implying slight relative strength. Pattern-based forward view provided suggests a modest near-term dip risk (40% chance of -0.56% next day) but a positive bias over longer short horizons (+2.83% next week, +5.82% next month). Net: momentum/expectations favor an upward grind rather than a sharp downtrend, making the current price a reasonable long-term entry despite potential small pullbacks.
Options Data
Positive Catalysts
1) Analyst-driven catalyst reset after the PGA Show: multiple targets raised and one notable upgrade to Buy. 2) Industry demand tailwinds: golf rounds played reportedly >20% above 2019 and golfer participation higher, supporting 2026 category growth. 3) Company-specific catalyst: B. Riley cites the Quantum woods launch as a potential market-share catalyst. 4) Structural clarity: Topgolf separation passed, improving visibility into the core golf business outlook.
Neutral/Negative Catalysts
1) Top-line pressure: 2025/Q3 revenue declined -7.79% YoY, signaling demand normalization or competitive pressure. 2) Profitability still negative: net income and EPS improved but remain below zero, so execution must continue improving. 3) No proprietary trading signal support today (no AI Stock Picker / no SwingMax), which reduces the case for a short-term “must-buy-now” trading setup even though the long-term setup is improving. 4) Limited positioning signals: hedge funds and insiders are Neutral with no notable recent trend in the provided data.
Financial Performance
Latest quarter: 2025/Q3. Revenue fell to $934.0M (-7.79% YoY), indicating weaker sales versus last year. However, profitability trends improved sharply: net income rose to -$14.7M (up 308.33% YoY) and EPS improved to -$0.08 (up 300% YoY), showing losses are narrowing materially. Gross margin improved to 64.7% (+3.07% YoY), a positive sign for long-term earnings power if revenue stabilizes. Overall: mixed (sales down) but quality of earnings/margins improving, which supports a long-term buy case.
Growth
Profitability
Efficiency
Analyst Ratings and Price Target Trends
Recent trend is clearly improving: (1) 2026-01-22 B. Riley upgraded to Buy and raised PT to $19 from $11, citing strong golf fundamentals, Topgolf separation clarity, and a product-cycle catalyst. (2) 2026-01-23 JPMorgan raised PT to $16 from $10 but stayed Neutral. (3) 2026-01-22 Morgan Stanley raised PT to $17 from $15 but stayed Equal Weight. Wall Street pros: strengthening industry participation, improving visibility post-separation, and identifiable product catalysts with upside to mid/high-teens targets. Cons: some firms remain Neutral/Equal Weight, reflecting that revenue has been declining and the company is still not fully back to consistent profitability. Politicians/congress: no recent congress trading data available; no politician transactions provided.
Wall Street analysts forecast CALY stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CALY is 0 USD with a low forecast of 0 USD and a high forecast of 0 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
0 Analyst Rating
0
Wall Street analysts forecast CALY stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CALY is 0 USD with a low forecast of 0 USD and a high forecast of 0 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
0 Buy
0 Hold
0 Sell
0
Current: 14.790
Low
0
Averages
0
High
0
0
Current: 14.790
Low
0
Averages
0
High
0
JPMorgan
Neutral
maintain
$10 -> $16
AI Analysis
2026-01-23
Reason
JPMorgan
Price Target
$10 -> $16
AI Analysis
2026-01-23
maintain
Neutral
Reason
JPMorgan raised the firm's price target on Callaway Golf to $16 from $10 and keeps a Neutral rating on the shares after attending the PGA Show in Orlando. The firm says global golf rounds played are up more than 20% relative to 2019, with the number of golfers doubling.
B. Riley
B. Riley
Neutral -> Buy
upgrade
$11 -> $19
2026-01-22
Reason
B. Riley
B. Riley
Price Target
$11 -> $19
2026-01-22
upgrade
Neutral -> Buy
Reason
B. Riley upgraded Callaway Golf to Buy from Neutral with a price target of $19, up from $11. The firm sees continued strength in golf fundamentals and potential golf club market share stabilization for Callaway in 2026. With the Topgolf separation passed, B. Riley cites incremental conviction in the outlook for the golf business for the upgrade. It thinks the Quantum woods launch this year will provide a "distinct market share catalyst."
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