Boyar Research's Jonathan Boyar on how $MODG is growing an entire industry

Oct 17, 2023

Jonathan Boyar, President of Boyar Research, discusses the growth potential and concerns surrounding Topgolf Callaway Brands. Topics include the land grab for new stores, financing, advertising revenue, KPIs, valuation, and the impact of Toptracer. The speakers also touch on stock pressure, potential upside scenarios, and the benefits of the Modern Golf business model.

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Introduction

00:00 • 2min

Discussion on the growth potential and market concerns of a well-run consumer company

02:05 • 3min

Ownership structure, potential market concerns, and the impact of top golf on the game

05:27 • 3min

Building and Potential Success of Top Golf

08:17 • 13min

The Benefits of the Modern Golf Business Model

21:46 • 19min

Data analysis for golf clubs and discussion of potential concerns

40:39 • 2min

Stock Decline and Long-Term Investing

42:12 • 10min

Jonathan Boyar, President of Boyar Research, returns to the podcast for the fourth(!!) time to discuss his thesis on Topgolf Callaway Brands (NASDAQ: MODG) and how it is growing an entire industry.

Subscribe to the Boyar Research Substack here: https://boyarresearch.substack.com/

You can Follow Boyar Research on Twitter/X here: https://twitter.com/BoyarValue

$MODG write-up: https://boyarresearch.substack.com/p/a-company-thats-growing-its-entire

Chapters: [0:00] Introduction + Episode sponsor: Alphasense

[1:42] Topgolf Callaway Brands $MODG and why its interesting

[3:57] Why $MODG is clearly a "Topgolf" story? And, what is Topgolf

[12:05] Land grab for opening new "Topgolf" or competitive stores

[15:00] What Jon thinks people are so worried about Topgolf

[18:06] Topgolf pushback: financing new stores

[22:17] Would it be better to separate Topgolf and Callaway?

[24:42] Topgolf advertising revenue stream and what is the company referring to when they say they are "maximizing economics" of the business (PEI system)

[29:30] KPIs the company tracks

[33:50] $MODG valuation

[39:04] "Toptracer" part of the business

[41:22] Pressure on $MODG stock; what keeps Jon up at night about the idea and various upside scenarios

[46:36] Final thoughts

Today's episode is sponsored by: Alphasense

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