TruGolf Holdings (TRUG) AI Stock Analysis

• Market Cap: $5.43M
• Dividend Yield: N/A
• Average Volume (3M): 363.44K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.83
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 71
• Sector: Financial
• Sector Strength: 72
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): -4.63
• Shares Outstanding: 1,117,603
• 10 Day Avg. Volume: 85,633
• 30 Day Avg. Volume: 363,438
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.86
• Enterprise Value/Revenue: 0.21
• Enterprise Value/Gross Profit: 0.31
• Enterprise Value/Ebitda: -3.33
• 1Y Price Target: $50.00
• Price Target Upside: 1096.17% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 47 Neutral
• Price Target: $5.50 ▲(31.58% Upside)

TruGolf Holdings faces significant financial and technical challenges, reflected in poor financial performance and weak technical indicators. While the company has made positive strides in regaining Nasdaq compliance, the overall outlook remains cautious due to ongoing profitability issues and high leverage.

Positive Factors

Market Opportunity

The golf simulation market is anticipated to grow significantly, presenting a multi-billion dollar opportunity with a projected CAGR of 10%.

Product Innovation

TruGolf Holdings, Inc. is set to enhance its market position with a completely revamped product suite and innovative hybrid golf simulator solutions.

Revenue Potential

TRUG has secured commitments for over 160 US franchise locations, promising a significant revenue opportunity of over $24M.

Negative Factors

Nasdaq Compliance

TruGolf's recent extension from the Nasdaq Hearings Panel highlights ongoing challenges in meeting listing requirements.

Revenue Forecast

Analysts have moderated their 2025 revenue estimates due to a slower than expected ramp-up in franchise locations.

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 related software. The company offers various models of simulators, catering to different market segments, from individual consumers to commercial golf facilities and entertainment venues. TruGolf also makes money by licensing its proprietary software, which powers the simulators and provides an immersive golfing experience, complete with accurate ball physics and a wide selection of virtual golf courses. Additionally, the company may engage in partnerships or collaborations with golf equipment manufacturers, sports venues, or technology firms to enhance its offerings and reach a broader audience. TruGolf's revenue is further supported by providing maintenance and support services for their products, ensuring customers have a seamless experience.

TruGolf Holdings Financial Statement Overview

Summary

TruGolf Holdings is facing significant financial challenges, including persistent losses, negative equity, and high leverage. Despite slight revenue growth, the company struggles with profitability and operational inefficiencies.

Income Statement

TruGolf Holdings has demonstrated some growth in revenue over the past year, with a TTM increase from $21.86 million to $22.24 million. However, the company continues to face challenges in achieving profitability, as evidenced by negative EBIT and net income margins. The gross profit margin remains relatively stable but is overshadowed by consistent net losses, indicating ongoing operational inefficiencies.

Balance Sheet

The company's balance sheet reflects significant financial distress, with negative stockholders' equity and a high debt-to-equity ratio. Total liabilities exceed total assets, placing the company in a technically insolvent position. This high leverage poses substantial risks, though the presence of cash reserves provides some short-term liquidity.

Cash Flow

Cash flow statements reveal negative operating and free cash flows, indicating difficulties in generating cash from core operations. While free cash flow has deteriorated further, the operating cash flow to net income ratio suggests that operational cash generation is insufficient. The company has been reliant on financing activities to sustain operations.

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

TruGolf Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.18
• 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 Negative. The current price of 4.18 is below the 20-day moving average (MA) of 4.88, below the 50-day MA of 5.83, and below the 200-day MA of 16.83, indicating a bearish trend. The MACD of -0.59 indicates Negative momentum. The RSI at 36.85 is Neutral, neither overbought nor oversold. The STOCH value of 22.85 is Neutral, 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 *	68 Neutral	$17.56B	11.61	10.34%	3.76%	9.69%	0.41%
GIGM	54 Neutral	$16.14M	―	-1.51%	―	-4.03%	84.99%
MSGM	48 Neutral	$16.18M	630.91	31.90%	―	-2.69%	-114.02%
TRUG	47 Neutral	$5.43M	―	32.18%	―	―	―
BHAT	37 Underperform	$11.66M	―	-26.18%	―	-74.59%	86.00%
GXAI	―	$19.66M	―	-36.91%	―	―	―
GMHS	―	$62.68M	6.00	4.14%	―	―	―

TruGolf Holdings Corporate Events

TruGolf Holdings Regains Nasdaq Compliance by August 2025

TruGolf Holdings, Inc. faced compliance issues with Nasdaq’s listing requirements, including market value, bid price, and shareholders’ equity. After a hearing on May 15, 2025, the company was granted an exception to meet these requirements by specific deadlines. By August 1, 2025, TruGolf Holdings had regained compliance, resulting in a transfer to the Nasdaq Capital Market. The company will be under a one-year Mandatory Panel Monitor, with strict conditions if compliance issues reoccur.

TruGolf Holdings Regains Nasdaq Compliance by July 2025

TruGolf Holdings, Inc. received a deficiency letter from Nasdaq regarding non-compliance with several listing requirements, including market value, bid price, and shareholders’ equity. After a hearing on May 15, 2025, the company was granted temporary exceptions to regain compliance, which it achieved by July 17, 2025, through strategic financial maneuvers such as converting notes into stock and exercising warrants, thereby exceeding the required shareholders’ equity for continued listing.

TruGolf Holdings Completes PIPE Notes Conversion Agreement

TruGolf Holdings, Inc. announced the completion of a significant exchange agreement on July 21, 2025, involving the conversion of PIPE Convertible Notes into Series A Preferred Stock. This strategic move, which included extending the expiration date of Preferred Warrants and a waiver agreement with a major holder, is expected to impact the company’s financial structure and investor relations positively.

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.

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.