Preheat the oven to 400° F. Line a baking sheet with parchment paper. In a medium bowl, combine all ingredients, except turkey. Then add turkey and mix just until incorporated. Do not overwork. Roll into meatballs, about 1 1/2-inches in diameter and place on baking sheet. Bake for 15 minutes or until meatballs are firm.
For the mushroom gravy...
To same skillet add 1 Tbl. butter, sliced mushrooms, and shallots and sauté for 4-5 minutes. Add the fresh thyme and cook an additional minute. Dust mixture with flour and cook for 1-2 minutes. The mixture will be thick. Gradually stir in broth 1/2 cup at a time, allowing mixture to come to a boil in between each addition. Add more broth until desired thickness is achieved. Season with salt and pepper.
Return meatballs to gravy, reduce heat to low, and allow to braise until meatballs are cooked through.
Serve over mashed potatoes or rice with fresh parsley to garnish.