TruGolf Holdings (TRUG) AI Stock Analysis

• Market Cap: $2.33M
• Dividend Yield: N/A
• Average Volume (3M): 141.45K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.54
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 71
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): -4.87
• Shares Outstanding: 2,386,402
• 10 Day Avg. Volume: 165,464
• 30 Day Avg. Volume: 141,450
• PEG Ratio: 1.18
• Price to Book (P/B): -84.16
• Price to Sales (P/S): 17.87
• P/FCF Ratio: -96.86
• Enterprise Value/Market Cap: -1.77
• Enterprise Value/Revenue: -0.20
• Enterprise Value/Gross Profit: -0.32
• Enterprise Value/Ebitda: 0.40
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): -1.46
• Revenue Forecast (FY): $24.70M

• Rating: 41 Neutral
• Price Target: $0.86 ▼(-21.10% Downside)

The score is primarily held down by weak financial performance (declining revenue, persistent losses, high leverage, and negative operating/free cash flow). Technicals add pressure with a clear downtrend versus key moving averages and a negative MACD, while valuation is difficult to assess due to negative earnings. A Nasdaq compliance notice adds incremental risk.

Positive Factors

High gross margin

A 64% gross margin indicates structural production or service delivery efficiency and pricing power in hardware/software products. This margin provides a durable cushion to absorb SG&A and R&D, supporting path to profitability if revenue stabilizes or scales over the next several quarters.

Recurring revenue mix

Subscription and analytics fees create predictable, recurring cash inflows and improve customer lifetime value. Over 2–6 months this stabilizes revenues versus one‑time hardware sales and supports higher gross margin realization and upsell opportunities to existing installed base.

Niche market position and partnerships

Established B2B partnerships and a focused presence in golf simulation create durable distribution and credibility barriers to entry. These relationships help access club and commercial installations, drive bundled sales, and sustain product demand beyond cyclical consumer purchases.

Negative Factors

Declining revenue trend

A near‑term structural decline in revenue reduces operating leverage and undermines the company's ability to scale fixed‑cost investments like R&D and manufacturing. Persistent top‑line contraction makes returning to positive operating income and sustainable growth more challenging.

High financial leverage

A debt-to-equity ratio near 2.0 constrains financial flexibility, increasing sensitivity to revenue shocks and raising interest obligations. High leverage elevates refinancing and covenant risks, which can force cost cuts or equity raises that dilute long‑term strategic investments.

Negative operating and free cash flow

Sustained negative operating and free cash flow erodes liquidity and necessitates external financing to fund operations or growth. Over months this pressures balance sheet health, can limit product development or distribution expansion, and increases the risk of dilutive capital raises.

TruGolf Holdings Business Overview & Revenue Model

Company Description

TruGolf Holdings, Inc., through its subsidiary, engages in the development and sale of indoor golf simulator hardware under the TruGolf Nevada brand for residential and commercial markets in the United States. It also provides E6 Connect software for use on other companies' hardware. The company was founded in 1982 and is headquartered in Centerville, Utah.

How the Company Makes Money

TruGolf Holdings generates revenue primarily through the sale of its golf simulators and software products. The company operates on a direct sales model, selling its products through its website and authorized distributors. Additionally, TruGolf has established partnerships with golf courses and training facilities, which further expands its market reach and customer base. Subscription services for software updates and performance analytics also contribute to recurring revenue. Moreover, TruGolf engages in B2B collaborations with golf equipment manufacturers and retailers, enhancing its product offerings and driving additional sales through bundled packages and promotions.

TruGolf Holdings Financial Statement Overview

Summary

TruGolf Holdings faces significant financial challenges. The income statement shows declining revenue and persistent losses, while the balance sheet reveals high leverage and negative equity in past periods. Cash flow issues further exacerbate the company's financial instability. Despite a decent gross profit margin, the overall financial health is weak, with substantial risks due to high debt and ongoing losses.

Income Statement

TruGolf Holdings' income statement reveals significant challenges. The company has experienced a decline in revenue growth, with a negative growth rate of -9.4% in the TTM. Profitability metrics are concerning, with negative net profit and EBIT margins, indicating ongoing losses. The gross profit margin remains relatively strong at 64.1%, suggesting some efficiency in production or service delivery, but overall profitability is severely impacted by high operating expenses.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio of 1.93, indicating significant leverage and potential financial risk. The return on equity is negative, reflecting the company's inability to generate profits from shareholders' equity. However, the equity ratio is not available, limiting a full assessment of asset financing. The company's financial stability is compromised by high leverage and negative equity in previous periods.

Cash Flow

Cash flow analysis highlights negative operating cash flow and free cash flow, with a declining free cash flow growth rate of -11.9% in the TTM. The operating cash flow to net income ratio is negative, indicating cash flow challenges in covering net losses. Despite a positive free cash flow to net income ratio, the overall cash flow situation is concerning, reflecting liquidity issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	20.54M	21.86M	20.58M	20.23M	21.25M	0.00
Gross Profit	13.07M	14.59M	12.05M	13.21M	15.47M	0.00
EBITDA	-10.19M	-1.22M	-8.60M	858.58K	6.38M	-59.40K
Net Income	-19.13M	-8.80M	-10.28M	-956.84K	6.19M	-59.40K
Balance Sheet
Total Assets	22.98M	17.14M	15.77M	14.59M	14.89M	537.57K
Cash, Cash Equivalents and Short-Term Investments	11.44M	10.88M	5.78M	9.66M	10.71M	500.07K
Total Debt	5.85M	9.12M	9.25M	4.34M	3.60M	500.00K
Total Liabilities	16.73M	21.78M	19.69M	18.02M	18.04M	546.96K
Stockholders Equity	6.26M	-4.64M	-3.92M	-3.43M	-3.16M	-9.39K
Cash Flow
Free Cash Flow	-10.75M	-5.73M	-6.26M	750.45K	4.50M	-50.03K
Operating Cash Flow	-9.05M	-4.00M	-6.13M	791.88K	4.52M	-50.03K
Investing Cash Flow	215.08K	741.14K	-2.62M	-41.43K	-23.00K	0.00
Financing Cash Flow	14.91M	8.74M	4.50M	-1.80M	-810.45K	550.10K

TruGolf Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.09
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRUG, the sentiment is Neutral. The current price of 1.09 is above the 20-day moving average (MA) of 0.86, below the 50-day MA of 1.27, and below the 200-day MA of 6.25, indicating a neutral trend. The MACD of -0.15 indicates Negative momentum. The RSI at 45.44 is Neutral, neither overbought nor oversold. The STOCH value of 56.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TRUG.

TruGolf Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MSGM	50 Neutral	$17.57M	33.04	44.93%	―	11.38%	-94.39%
GMHS	49 Neutral	$55.18M	―	―	―	―	―
GAME	45 Neutral	$46.29M	-0.45	-52.37%	―	―	―
BHAT	43 Neutral	$8.26M	-0.08	-14.99%	―	-53.11%	82.68%
TRUG	41 Neutral	$2.33M	-0.04	―	―	―	―

TruGolf Holdings Corporate Events

TruGolf Receives Nasdaq Notice Over Delayed Annual Meeting

On January 5, 2026, TruGolf Holdings, Inc. received a delinquency notification from Nasdaq for failing to hold an annual shareholders’ meeting within twelve months of its fiscal year end, as required by Nasdaq Listing Rules 5620(a) and 5810(c)(2)(G). The notice, which does not immediately affect the listing or trading of TruGolf’s common stock on the Nasdaq Capital Market, requires the company to submit a compliance plan by February 19, 2026, and the company has scheduled its annual meeting for February 17, 2026, as it seeks to regain compliance within the potential grace period extending to June 29, 2026.

The most recent analyst rating on (TRUG) stock is a Sell with a $1.00 price target. To see the full list of analyst forecasts on TruGolf Holdings stock, see the TRUG Stock Forecast page.