Critical Contrast: TruGolf (TRUG) & Its Peers

TruGolf (NASDAQ:TRUG) is one of 19 public companies in the “Sporting & athletic goods, not elsewhere classified” industry, but how does it compare to its peers? We will compare TruGolf to related companies based on the strength of its institutional ownership, dividends, profitability, risk, earnings, analyst recommendations and valuation.

Volatility and Risk

TruGolf has a beta of -0.75, indicating that its share price is 175% less volatile than the S&P 500. Comparatively, TruGolf’s peers have a beta of 1.39, indicating that their average share price is 39% more volatile than the S&P 500.

Institutional and Insider Ownership

3.2% of TruGolf shares are held by institutional investors. Comparatively, 49.9% of shares of all “Sporting & athletic goods, not elsewhere classified” companies are held by institutional investors. 37.2% of TruGolf shares are held by insiders. Comparatively, 19.5% of shares of all “Sporting & athletic goods, not elsewhere classified” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

This table compares TruGolf and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
TruGolf	$20.35 million	-$360,000.00	-1.12
TruGolf Competitors	$2.82 billion	$65.74 million	3.27

TruGolf’s peers have higher revenue and earnings than TruGolf. TruGolf is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares TruGolf and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TruGolf	N/A	N/A	-21.06%
TruGolf Competitors	-70.19%	-167.53%	-28.10%

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for TruGolf and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TruGolf	0	0	1	0	3.00
TruGolf Competitors	76	511	746	8	2.51

TruGolf presently has a consensus target price of $2.00, indicating a potential upside of 325.53%. As a group, “Sporting & athletic goods, not elsewhere classified” companies have a potential upside of 10.35%. Given TruGolf’s stronger consensus rating and higher probable upside, equities analysts plainly believe TruGolf is more favorable than its peers.

Summary

TruGolf beats its peers on 7 of the 13 factors compared.

TruGolf Company Profile

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.