Earnings To Watch: Acushnet (GOLF) Reports Q1 Results Tomorrow

Golf equipment and apparel company Acushnet (NYSE:GOLF) will be announcing earnings results tomorrow before market open. Here's what investors should know.

Acushnet missed analysts' revenue expectations by 3.8% last quarter, reporting revenues of $413 million, down 7.7% year on year. It was a weaker quarter for the company, with a miss of analysts' revenue and EPS estimates.

Is Acushnet a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting Acushnet's revenue to be flat year on year at $689.1 million, slowing from the 13.2% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.31 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Acushnet has only missed Wall Street's revenue estimates once over the last two years, exceeding top-line expectations by 5.7% on average.

Looking at Acushnet's peers in the leisure products segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Harley-Davidson's revenues decreased 3.3% year on year, beating analysts' expectations by 28.4%, and Johnson Outdoors reported a revenue decline of 13%, topping estimates by 10.8%. Harley-Davidson traded down 11.9% following the results.

Read our full analysis of Harley-Davidson's results here and Johnson Outdoors's results here.

Inflation fears have put pressure on growth stocks, and while some of the leisure products stocks have fared somewhat better, they have not been spared, with share prices down 3.4% on average over the last month. Acushnet is down 1.4% during the same time and is heading into earnings with an average analyst price target of $70.6 (compared to the current share price of $63).

When a company has more cash than it knows what to do with, buying back its own shares can make a lot of sense–as long as the price is right. Luckily, we’ve found one, a low-priced stock that is gushing free cash flow AND buying back shares. Click here to claim your Special Free Report on a fallen angel growth story that is already recovering from a setback.