Is Callaway Out of the Sand Trap? By Jonathan Heller About this article: Callaway Golf is the epitome of a former growth darling that has all but fallen off the radar. The company is synonymous with high-quality, high-priced golf clubs, golf balls, apparel and other golf equipment (it now markets a golf-course GPS device) -- a product range that can be all but a death sentence during a recession. I typically avoid such companies, but can get interested when they appear to go to the dark side: deep value. Indeed, since hitting its all-time high in terms of revenue in 2007 ($1.125 billion) and nearly matching it in 2008 ($1.117 billion), Callaway has suffered the same fate as many other consumer discretionary companies, declining demand. Indeed, I'm surprised that revenue held up as well as it did. Second-quarter sales fell about 17% to $302 million and the company earned $6.5 million, or $.10 per share, versus net income of... Or, call us at 1-866-321-TSCM (8726) Monday-Friday, 8 a.m.-6 p.m. ET. Outside the U.S. and in Canada, call 1-212-321-5200. More Stories From RealMoney Durable Goods Up Move Down the Tech Food Chain Jobless Claims Still High Bulls' Tenacity Is the Big Question Mark Should You Buy It? Pharmaceutical Product Development Bad News Trumps All Support for Banks Holds, For Now Bummer, Yields Are on the Rise Money on the Line Makes a Big Difference Structured Products: Unsafe at Any Price MORE STORIES FROM REALMONEY

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