Newton Golf Company (NWTG) AI Stock Analysis

• Market Cap: $7.84M
• Dividend Yield: N/A
• Average Volume (3M): 121.73K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.89
• Revenue Growth: 178.32%
• EPS Growth: 70.79%
• Country: US
• Employees: 28
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Leisure
• EPS (TTM): -0.34
• Shares Outstanding: 4,752,463
• 10 Day Avg. Volume: 82,460
• 30 Day Avg. Volume: 121,730
• PEG Ratio: >-0.01
• Price to Book (P/B): -0.16
• Price to Sales (P/S): 0.24
• P/FCF Ratio: -0.15
• Enterprise Value/Market Cap: 0.35
• Enterprise Value/Revenue: 0.40
• Enterprise Value/Gross Profit: 0.58
• Enterprise Value/Ebitda: -0.45
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: $1.50 ▼(-3.85% Downside)

Newton Golf Company's overall stock score is primarily impacted by its weak financial performance, characterized by negative profitability and financial instability. Technical analysis provides some neutral signals, while valuation remains unattractive due to negative earnings. Corporate events, while positive for governance, do not significantly alter the financial outlook.

Positive Factors

Revenue Growth

The significant year-over-year revenue growth indicates strong product demand and market acceptance, which supports long-term business expansion.

International Expansion

The launch of a dedicated Japanese e-commerce site expands Newton's market reach, tapping into the growing golf market in Japan, which can drive sustained revenue growth.

Product Innovation

The success of the Fast Motion product line demonstrates Newton's ability to innovate and meet consumer demand, enhancing its competitive position in the market.

Negative Factors

Financial Instability

Negative equity indicates financial instability, with liabilities exceeding assets, which may limit the company's ability to invest in growth opportunities.

Profitability Challenges

Persistent profitability issues highlight operational inefficiencies, which could hinder long-term financial health and limit reinvestment in the business.

Cash Flow Challenges

Negative cash flow indicates difficulty in generating sufficient cash to cover expenses, which could impact the company's ability to sustain operations and invest in growth.

Newton Golf Company Business Overview & Revenue Model

Company Description

Newton Golf Company (NWTG) is a leading manufacturer and retailer of innovative golf equipment and accessories. Operating within the sports and recreation sector, NWTG specializes in high-performance golf clubs, balls, apparel, and technology-driven training aids. The company is dedicated to enhancing the golfing experience through quality products designed for players of all skill levels, from beginners to professionals.

How the Company Makes Money

Newton Golf Company generates revenue through multiple streams, primarily by selling its golf equipment and accessories directly to consumers via its online platform and through partnerships with retail stores. Key revenue streams include the sale of golf clubs, balls, and apparel, which are consistently in demand. Additionally, NWTG capitalizes on its proprietary technology by offering premium training aids and coaching software that attract golf enthusiasts looking to improve their game. Significant partnerships with golf courses, professional tournaments, and sponsorship agreements also contribute to its earnings by enhancing brand visibility and creating collaborative marketing opportunities.

Newton Golf Company Financial Statement Overview

Summary

Newton Golf Company exhibits strong revenue growth but faces substantial challenges in profitability and financial stability, with negative margins, equity, and cash flows. The company's financial health is concerning due to its inability to generate positive earnings or maintain a healthy balance sheet, posing significant risks moving forward.

Income Statement

Newton Golf Company shows significant revenue growth with a 887% increase from the previous year, indicating strong sales traction. However, the company struggles with profitability as indicated by a negative net profit margin of -341% and negative EBIT and EBITDA margins, which reflect high operational costs relative to revenue.

Balance Sheet

The company's balance sheet is under pressure with a negative stockholders' equity of -$5.19 million, indicating more liabilities than assets. The debt-to-equity ratio is not meaningful due to negative equity, and the equity ratio is also negative, suggesting significant financial instability.

Cash Flow

Despite a substantial increase in financing cash flows, the free cash flow remains negative, and the operating cash flow to net income ratio is negative, indicating ongoing cash flow challenges. There is a slight improvement in free cash flow growth, but it remains insufficient to cover net income losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.93M	3.44M	349.00K	190.00K	200.00K	182.00K
Gross Profit	4.76M	2.27M	122.00K	80.00K	84.00K	141.00K
EBITDA	-6.13M	-4.81M	-4.60M	-2.86M	0.00	0.00
Net Income	-11.97M	-11.75M	-4.63M	-3.50M	-302.00K	-479.00K
Balance Sheet
Total Assets	5.25M	9.77M	6.39M	710.00K	263.00K	201.00K
Cash, Cash Equivalents and Short-Term Investments	2.55M	7.65M	5.34M	147.00K	184.00K	100.00K
Total Debt	106.00K	34.00K	65.00K	944.00K	1.21M	953.00K
Total Liabilities	2.20M	14.95M	604.00K	2.59M	1.70M	1.36M
Stockholders Equity	3.06M	-5.19M	5.79M	-1.88M	-1.44M	-1.16M
Cash Flow
Free Cash Flow	-6.02M	-5.43M	-5.34M	-860.00K	-171.00K	-228.00K
Operating Cash Flow	-5.60M	-4.93M	-5.05M	-785.00K	-171.00K	-228.00K
Investing Cash Flow	-423.00K	-502.00K	-289.00K	-75.00K	0.00	0.00
Financing Cash Flow	7.26M	7.74M	10.50M	847.00K	255.00K	316.00K

Newton Golf Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.56
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NWTG, the sentiment is Positive. The current price of 1.56 is below the 20-day moving average (MA) of 1.60, above the 50-day MA of 1.52, and below the 200-day MA of 1.78, indicating a neutral trend. The MACD of 0.03 indicates Positive momentum. The RSI at 55.25 is Neutral, neither overbought nor oversold. The STOCH value of 46.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NWTG.

Newton Golf Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GOLF	74 Outperform	$4.84B	22.55	25.91%	1.14%	4.20%	24.12%
ESCA	72 Outperform	$176.55M	14.05	7.42%	4.69%	-4.56%	-2.85%
MODG	64 Neutral	$2.24B	-1.49	-46.95%	―	-3.58%	-12720.97%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
JOUT	60 Neutral	$452.77M	-13.11	-7.78%	3.22%	-0.07%	-31.45%
AOUT	49 Neutral	$105.98M	-19.09	-3.19%	―	2.85%	24.82%
NWTG	46 Neutral	$7.84M	-0.06	-383.63%	―	178.32%	70.79%

Newton Golf Company Corporate Events

Newton Golf Shareholders Elect Directors, Approve Equity Plan

At its annual meeting of stockholders held on December 18, 2025, Newton Golf Company’s shareholders elected four directors—Greg Campbell, Jane Casanta, Brett Hoge, and Akinobu Yorihiro—to serve until the next annual meeting or until their successors are duly appointed. Stockholders also ratified the appointment of Weinberg & Company, P.A. as the independent registered public accounting firm for the fiscal year ending December 31, 2025, and approved the Amended and Restated 2022 Equity Incentive Plan, collectively reinforcing the company’s existing governance framework, financial oversight, and long-term incentive structure for management and employees.

Newton Golf Enters Sales Agreement with Kingswood

On October 24, 2024, Newton Golf Company entered into an At The Market Sales Offering Agreement with Kingswood Capital Partners to potentially sell up to $10 million in common stock. The agreement allows for flexibility in sales, but there is no obligation for either party to buy or sell shares, and the company has filed a prospectus supplement with the SEC to facilitate this offering.

Newton Golf Faces Nasdaq Compliance Challenge After Resignation

On September 28, 2025, Dottie Pepper resigned from the Board of Directors of Newton Golf Company, Inc., with no disagreements regarding company operations. Her resignation led to non-compliance with Nasdaq Listing Rules concerning independent directors and audit committee composition. The company plans to appoint an independent director to address these deficiencies before the cure period ends.