Analyzing Interactive Strength (NASDAQ:TRNR) and TruGolf (NASDAQ:TRUG)

Interactive Strength (NASDAQ:TRNR) 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.

Insider & Institutional Ownership

0.6% of Interactive Strength shares are owned by institutional investors. Comparatively, 3.2% of TruGolf shares are owned by institutional investors. 0.1% of Interactive Strength 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.

Profitability

This table compares Interactive Strength and TruGolf’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Interactive Strength	-159.24%	-469.40%	-52.97%
TruGolf	-55.27%	-132.15%	-24.75%

Volatility & Risk

Interactive Strength has a beta of 0.44, suggesting that its stock price is 56% less volatile than the S&P 500. Comparatively, TruGolf has a beta of -1.07, suggesting that its stock price is 207% less volatile than the S&P 500.

Valuation and Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Interactive Strength	$11.53 million	0.08	-$23.97 million	($306.87)	-0.01
TruGolf	$19.99 million	0.05	-$15.23 million	($10.82)	-0.08

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

Analyst Recommendations

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Interactive Strength	1	0	0	1	2.50
TruGolf	1	1	1	0	2.00

Interactive Strength presently has a consensus price target of $157.50, indicating a potential upside of 5,238.98%. Given Interactive Strength’s stronger consensus rating and higher possible upside, analysts plainly believe Interactive Strength is more favorable than TruGolf.

Summary

TruGolf beats Interactive Strength on 9 of the 15 factors compared between the two stocks.

About Interactive Strength

Interactive Strength Inc., doing business as FORME, operates digital fitness platform that provides connected fitness hardware products and related accessories in the United States. The company offers the Forme Studio, a fitness mirror with touchscreen display; and the Forme Studio Lift, a fitness mirror and cable-based digital resistance. It also provides video on-demand classes, and personal training and expert health coaching services. The company sells its products through retail stores, as well as online. Interactive Strength Inc. was incorporated in 2017 and is headquartered in Austin, Texas.

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.