Panasonic (OTCMKTS:PCRFY) & Topgolf Callaway Brands (NYSE:CALY) Head-To-Head Review

Topgolf Callaway Brands (NYSE:CALY) and Panasonic (OTCMKTS:PCRFY) are both consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, dividends, valuation, analyst recommendations, profitability, earnings and risk.

Risk and Volatility

Topgolf Callaway Brands has a beta of 0.98, meaning that its share price is 2% less volatile than the S&P 500. Comparatively, Panasonic has a beta of 1.03, meaning that its share price is 3% more volatile than the S&P 500.

Valuation and Earnings

This table compares Topgolf Callaway Brands and Panasonic”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Topgolf Callaway Brands	$2.06 billion	1.44	-$409.30 million	$0.76	22.31
Panasonic	$62.02 billion	0.35	$1.96 billion	$1.54	6.08

Panasonic has higher revenue and earnings than Topgolf Callaway Brands. Panasonic is trading at a lower price-to-earnings ratio than Topgolf Callaway Brands, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

84.7% of Topgolf Callaway Brands shares are held by institutional investors. Comparatively, 9.4% of Panasonic shares are held by institutional investors. 2.9% of Topgolf Callaway Brands shares are held by company insiders. Comparatively, 1.0% of Panasonic shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings for Topgolf Callaway Brands and Panasonic, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Topgolf Callaway Brands	0	4	3	1	2.62
Panasonic	0	1	0	0	2.00

Topgolf Callaway Brands presently has a consensus price target of $19.83, indicating a potential upside of 16.98%. Given Topgolf Callaway Brands’ stronger consensus rating and higher possible upside, equities research analysts clearly believe Topgolf Callaway Brands is more favorable than Panasonic.

Profitability

This table compares Topgolf Callaway Brands and Panasonic’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Topgolf Callaway Brands	7.03%	7.58%	4.03%
Panasonic	5.96%	12.00%	5.82%

Summary

Topgolf Callaway Brands beats Panasonic on 9 of the 15 factors compared between the two stocks.

About Topgolf Callaway Brands

Topgolf Callaway Brands was the parent company of a golf equipment and lifestyle business and the Topgolf golf-entertainment business. Following the separation of Topgolf, the company operates as Callaway Golf Company and trades under the symbol CALY. Callaway Golf Company designs, develops and sells golf clubs, balls, bags and other equipment. Its brands include Callaway and Odyssey, known for golf clubs and putters, as well as TravisMathew and OGIO, which offer apparel, accessories and golf bags.

About Panasonic

Panasonic Holdings Corporation is a Japanese technology and manufacturing group with businesses serving consumers, companies and industrial customers. Its products and services include home appliances, heating and cooling systems, batteries and energy solutions, electronic components, and equipment and software for businesses. The company traces its origins to 1918, when Konosuke Matsushita established a small electrical-products business in Osaka, Japan. Over time, it expanded from household electrical goods into a range of consumer and business markets.