Newton Golf (NASDAQ:NWTG) versus TruGolf (NASDAQ:TRUG) Head to Head Analysis

Newton Golf (NASDAQ:NWTG) and TruGolf (NASDAQ:TRUG) are both small-cap consumer discretionary companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, earnings, dividends, institutional ownership, profitability, analyst recommendations and risk.

Valuation & Earnings

This table compares Newton Golf and TruGolf”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Newton Golf	$7.16 million	0.72	-$6.02 million	($1.93)	-0.59
TruGolf	$18.88 million	0.03	-$15.23 million	($10.82)	-0.24

Newton Golf has higher earnings, but lower revenue than TruGolf. Newton Golf is trading at a lower price-to-earnings ratio than TruGolf, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

0.5% of Newton Golf shares are owned by institutional investors. Comparatively, 3.2% of TruGolf shares are owned by institutional investors. 8.4% of Newton Golf shares are owned by company insiders. Comparatively, 5.8% of TruGolf shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Newton Golf and TruGolf, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Newton Golf	1	0	0	0	1.00
TruGolf	1	0	0	0	1.00

Volatility & Risk

Newton Golf has a beta of 2.47, suggesting that its stock price is 147% more volatile than the S&P 500. Comparatively, TruGolf has a beta of -1.08, suggesting that its stock price is 208% less volatile than the S&P 500.

Profitability

This table compares Newton Golf and TruGolf’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Newton Golf	-124.42%	-476.84%	-260.68%
TruGolf	-55.27%	-132.15%	-24.75%

Summary

TruGolf beats Newton Golf on 6 of the 11 factors compared between the two stocks.

About Newton Golf

Sacks Parente Golf, Inc. (“SPG”) is a technology-forward golf company, with a growing portfolio of golf products, including putting instruments, golf shafts, golf grips, and other golf-related products. In April 2022, in consideration of our growth opportunities in shaft technologies, we expanded our manufacturing business to include advanced premium golf shafts by opening a new shaft manufacturing facility in St. Joseph, MO. We intend to manufacture and assemble substantially all products in the United States. We anticipate expanding into golf apparel and other golf related product lines to enhance our growth. Our future expansions may include broadening our offerings through mergers, acquisitions or internal developments of product lines that are complementary to our premium brand. Product Portfolio Characteristics We design, manufacture and sell technology-forward, high-quality golf equipment, which is comprised of putting instruments, golf shafts, golf grips and related product groups. We design our golf products to fit golfers of all skill levels, amateur and professional, and our products are designed with the goal of conforming to the Rules of Golf as published by the United States Golf Association (“USGA”) and the ruling authority (“The R&A”). Our Products Our equipment includes putting instruments, golf shafts and grips. Our putting instruments are generally made of steel, aluminum, titanium alloys, carbon fiber, tungsten, and various other materials, including our patented magnesium face plate technologies. All of our products are currently sold under the SPG brand, but we intend to private label and sell certain components to interested third parties. Our shaft and putter technology has been shown by The Golf Lab, a Canadian golf research and education provider, to improve players’ ability to make putts, feel of the putter head, stroke, face angle at impact, and consistency for distance control. Our management believes that our proprietary shaft designs can enhance the performance of players’ putters as well as drivers and other golf clubs. Further, our management believes that these innovative designs, along with our proprietary manufacturing techniques, create performance improvements over traditional golf shafts. We were formed in 2018 as Sacks Parente Golf Company, LLC, a Delaware limited liability company. On March 18th, 2022, we converted into a Delaware corporation named Sacks Parente Golf, Inc. Sacks Parente Golf, Inc. 551 Calle San Pablo Camarillo, CA.

About TruGolf

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.