Data is provided for informational purposes only and does not constitute investment advice. Past performance is not indicative of future results.
Golf & Co Group Ltd operates a chain of specialty retail stores focused on golf equipment and apparel in Israel. The company differentiates itself through a strong brand presence and exclusive partnerships with leading golf equipment manufacturers, driving customer loyalty and repeat business.
Consumer CyclicalSpecialty Retailmoderate - The company has a mix of fixed and variable costs, with significant investments in inventory and retail space, but also benefits from economies of scale as it expands its store footprint.
Business Overview
01Golf equipment sales - 60%
02Apparel sales - 30%
03Accessories and services - 10%
Golf & Co Group generates revenue primarily through the sale of golf clubs, balls, and apparel, leveraging exclusive distribution agreements with brands like Callaway and TaylorMade. The company benefits from strong pricing power due to its established brand reputation and customer loyalty, allowing for premium pricing on high-quality products.
What Moves the Stock
Changes in consumer spending on leisure activities, particularly golf-related products
Seasonal trends impacting golf equipment sales, especially in spring and summer
New product launches from key suppliers like Callaway and TaylorMade
Expansion of retail locations or online sales channels
Watch on Earnings
Same-store sales growthGross margin percentageInventory turnover ratio
Risk Factors
Long-term decline in golf participation rates due to changing consumer preferences
Regulatory changes affecting retail operations or import tariffs on golf equipment
Increased competition from online retailers and discount stores
Emergence of new brands that could disrupt market share
High debt-to-equity ratio (3.57) raises concerns about financial stability in downturns
Potential liquidity issues if cash flow does not improve
StructuralCompetitiveBalance Sheet
Macro Sensitivity
Economic Cycle
moderate - As a specialty retailer, Golf & Co Group's performance is linked to consumer discretionary spending, which is influenced by GDP growth and overall economic conditions.
Interest Rates
Higher interest rates could increase financing costs for inventory purchases and negatively impact consumer spending, leading to lower sales and margins.
Credit
minimal - The company operates with a relatively low debt level, reducing its sensitivity to credit conditions.