TruGolf Holdings (TRUG) AI Stock Analysis

• Market Cap: $5.47M
• Dividend Yield: N/A
• Average Volume (3M): 163.85K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.74
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 71
• Sector: Financial
• Sector Strength: 80
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): -0.43
• Shares Outstanding: 810,656
• 10 Day Avg. Volume: 57,643
• 30 Day Avg. Volume: 163,847
• PEG Ratio: -1.05
• Price to Book (P/B): -36.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -8.28
• Enterprise Value/Market Cap: 10.76
• Enterprise Value/Revenue: 0.69
• Enterprise Value/Gross Profit: 3.93
• Enterprise Value/Ebitda: -8.23
• 1Y Price Target: $2.00
• Price Target Upside: -63.50% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 38 Underperform
• Price Target: $5.00 ▼(-8.76%Downside)

TruGolf Holdings' overall stock score is heavily impacted by its weak financial performance, lack of profitability, and technical indicators showing bearish trends. Valuation concerns and potential Nasdaq delisting compound the risks, making it a high-risk investment.

Positive Factors

Franchise Expansion

TRUG has already locked in commitments for 120 US franchise locations, representing $24M+ potential revenue for bundled hardware and equipment.

Market Opportunity

The golf simulation market is a multi-billion dollar opportunity worth playing, expected to grow at a CAGR of 10%, reaching $4.3B by 2032.

Negative Factors

Nasdaq Compliance

TRUG recently announced the Nasdaq Hearings Panel has granted the company an extension of time to comply with Nasdaq listing rules subject to panel conditions.

Revenue Estimates

Analysts temper their 2025 estimates due to slower than expected revenue ramp and roll out of initial franchise locations.

TruGolf Holdings Business Overview & Revenue Model

Company Description

TruGolf Holdings (TRUG) is a leading company in the golf technology sector, specializing in the development and distribution of advanced golf simulators and related software. The company's core products include high-fidelity golf simulators designed for both professional and recreational use, as well as software solutions that enhance the virtual golfing experience. TruGolf is committed to innovation and providing golfers with realistic and immersive experiences, catering to a global market of golf enthusiasts and commercial clients such as golf courses, training facilities, and entertainment venues.

How the Company Makes Money

TruGolf Holdings generates revenue primarily through the sale of its golf simulators and related software products. The company offers a range of simulator models that vary in features and price points, targeting both individual consumers and commercial clients. Additionally, TruGolf earns revenue from software licensing, offering updates and improvements that enhance the functionality and realism of their simulators. The company may also engage in strategic partnerships with golf courses, entertainment centers, and retail outlets to expand their market reach and drive sales. Furthermore, TruGolf might offer maintenance and support services, providing additional revenue streams by ensuring customer satisfaction and the longevity of their products.

TruGolf Holdings Financial Statement Overview

Summary

TruGolf Holdings shows revenue growth but is marred by persistent financial instability, including negative net income, negative equity, and high leverage. These issues pose significant financial risks despite a solid gross margin.

Income Statement

TruGolf Holdings has experienced a revenue increase from $20.58 million to $21.86 million YoY, indicating a positive growth trend. However, the company has struggled with profitability, as evidenced by the negative net income and EBIT margins, both of which remain below zero. The gross profit margin shows a healthy ratio of approximately 66.7%, but the inability to translate this into net profit is concerning.

Balance Sheet

The balance sheet reveals significant financial risk, with a negative stockholders' equity of -$4.64 million. The debt-to-equity ratio is not calculable due to negative equity, indicating potential solvency issues. The company has a high total debt level of $10.59 million compared to its equity position, which suggests a worrying leverage situation.

Cash Flow

TruGolf Holdings exhibited a negative free cash flow of -$4.03 million, which marks an improvement from the previous year's -$6.26 million, showing some positive trend in cash management. However, the operating cash flow remains negative at -$3.99 million, indicating ongoing challenges in generating cash from operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Mar 2021
Income Statement
Total Revenue	22.24M	21.86M	20.58M	20.23M	21.25M	0.00
Gross Profit	14.97M	14.59M	12.05M	13.21M	15.98M	0.00
EBITDA	-1.40M	-1.22M	-8.60M	-2.17M	-409.91K	-59.40K
Net Income	-10.16M	-8.80M	-10.28M	-400.23K	-414.05K	-59.40K
Balance Sheet
Total Assets	20.72M	17.14M	15.77M	9.78M	128.95M	537.57K
Cash, Cash Equivalents and Short-Term Investments	10.52M	10.88M	5.78M	9.76M	128.64M	500.07K
Total Debt	10.12M	9.12M	9.25M	1.86M	500.00K	500.00K
Total Liabilities	25.28M	21.78M	19.69M	7.22M	4.96M	546.96K
Stockholders Equity	-4.57M	-4.64M	-3.92M	2.55M	123.99M	-9.39K
Cash Flow
Free Cash Flow	-7.15M	-4.03M	-6.26M	-1.08M	-720.86K	-50.03K
Operating Cash Flow	-7.11M	-4.00M	-6.13M	-1.04M	-697.87K	-50.03K
Investing Cash Flow	738.79K	741.14K	-2.62M	120.42M	-127.77M	0.00
Financing Cash Flow	11.16M	8.74M	4.50M	-119.67M	128.84M	550.10K

TruGolf Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.48
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRUG, the sentiment is Negative. The current price of 5.48 is below the 20-day moving average (MA) of 7.31, below the 50-day MA of 10.23, and below the 200-day MA of 22.85, indicating a bearish trend. The MACD of -1.55 indicates Negative momentum. The RSI at 28.10 is Positive, neither overbought nor oversold. The STOCH value of 9.96 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TRUG.

TruGolf Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	58 Neutral	HK$90.97B	5.09	-3.21%	5.32%	7.36%	-55.21%
MSGM	55 Neutral	$17.39M	556.73	-31.58%	―	-9.65%	―
GIGM	54 Neutral	$15.92M	―	-5.02%	―	-30.80%	33.18%
TRUG	38 Underperform	$5.47M	―	32.18%	―	―	―
BHAT	37 Underperform	$12.24M	―	-26.18%	―	-74.59%	86.00%

TruGolf Holdings Corporate Events

TruGolf Holdings Implements Reverse Stock Split

On June 23, 2025, TruGolf Holdings, Inc. implemented a 1-for-50 reverse stock split of its Class A common stock, following approval at a special stockholders meeting on May 30, 2025. This move reduced the number of outstanding shares significantly, while maintaining the number of authorized shares and the par value. The reverse stock split aims to adjust the share price and number of shares in circulation, impacting stock options and equity awards proportionately, while ensuring no fractional shares are issued.

The most recent analyst rating on (TRUG) stock is a Buy with a $2.00 price target. To see the full list of analyst forecasts on TruGolf Holdings stock, see the TRUG Stock Forecast page.

TruGolf Holdings Transfers Listing to Nasdaq Capital Market

On May 30, 2025, TruGolf Holdings held a special meeting where stockholders approved several proposals, including increasing the number of authorized Class A Common Stock shares from 90 million to 650 million. This amendment was filed on June 2, 2025. The company also received a temporary exception from Nasdaq to regain compliance with listing requirements, with a hearing held on May 15, 2025, and a temporary exception granted until July 2025. The company’s listing will be transferred to the Nasdaq Capital Market effective June 3, 2025, as part of efforts to address compliance issues.

The most recent analyst rating on (TRUG) stock is a Buy with a $2.00 price target. To see the full list of analyst forecasts on TruGolf Holdings stock, see the TRUG Stock Forecast page.

TruGolf Holdings Secures $20M Equity Purchase Agreement

On May 14, 2025, TruGolf Holdings, Inc. entered into an Equity Purchase Facility Agreement with an institutional investor, allowing the company to issue and sell up to $20 million in newly issued shares of its Class A common stock. This agreement, contingent on stockholder approval, provides TruGolf with financial flexibility to issue shares at its discretion, potentially impacting its market operations and investor relations. The company also entered a Registration Rights Agreement to facilitate the resale of these shares, with penalties for non-compliance, highlighting the strategic importance of this financial maneuver.

The most recent analyst rating on (TRUG) stock is a Buy with a $2.00 price target. To see the full list of analyst forecasts on TruGolf Holdings stock, see the TRUG Stock Forecast page.

TruGolf Holdings Faces Nasdaq Delisting Hearing Notice

TruGolf Holdings, Inc. is facing challenges with its Nasdaq listing due to non-compliance with the minimum Market Value of Publicly Held Shares and bid price requirements. On May 7, 2025, the company received a notice from Nasdaq indicating continued non-compliance, leading to a scheduled hearing on May 15, 2025, where TruGolf plans to present a compliance plan to avoid delisting.