Callaway Golf Company (CALY) vs Life Time Group Holdings, Inc. (LTH)

Callaway Golf Company and Life Time Group Holdings, Inc. are both Leisure companies. Life Time Group Holdings, Inc. is the larger, with a market value of $8.9B against $2.6B — 3.5× the size. Life Time Group Holdings, Inc. trades at the lower P/E: 21.1× against 29.5×. Callaway Golf Company grew revenue faster over the last twelve months: 111.8% against 12.7%. Life Time Group Holdings, Inc. has the higher net margin (13.0% vs −12.4%) and the higher return on invested capital (7.56% vs 6.58%). Across the 20 metrics below, Life Time Group Holdings, Inc. leads on 11 and Callaway Golf Company on 9.

Valuation

Metric CALY LTH Leisure median
P/E 29.47 21.15 17.42
P/S 1.22 2.80 1.02
P/B 1.20 2.69 2.13
Price to free cash flow 7.66 n/m 11.49
EV/EBITDA 9.40 11.65 9.97
EV/Sales 1.11 3.19 2.00
Earnings yield 3.39% 4.73% 2.85%
Free cash flow yield 13.05% (1.70%) 3.64%

Profitability

Metric CALY LTH Leisure median
Gross margin 44.79% 48.02% 48.02%
Operating margin 9.56% 17.27% 3.08%
Net margin (12.37%) 13.04% 2.58%
Free cash flow margin 15.90% (4.74%) 2.13%
Return on equity (11.33%) 13.45% 0.00%
Return on assets (5.07%) 5.20% 0.05%
Return on invested capital 6.58% 7.56% 3.95%

Growth

Metric CALY LTH Leisure median
Revenue growth (TTM) 111.77% 12.69% 3.28%
EPS growth (last fiscal year) 102.66% 124.32% —
Revenue growth, 5-year CAGR 5.32% 25.86% 4.22%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric CALY LTH Leisure median
Debt to equity 0.02 0.45 0.02
Current ratio 3.04 0.66 1.76
Net debt to EBITDA 3.09 1.63 1.85

Dividend

Metric CALY LTH Leisure median
Dividend yield — — 2.86%
Payout ratio 0.00 0.00 0.00

Size

Metric CALY LTH Leisure median
Market cap 2.58b 8.91b 293.27m

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