Agilysys (AGYS) AI Stock Analysis

• Market Cap: $3.42B
• Dividend Yield: N/A
• Average Volume (3M): 250.96K
• Price to Earnings (P/E): 146.8
• Beta (1Y): 0.79
• Revenue Growth: 17.77%
• EPS Growth: -76.05%
• Country: US
• Employees: 1,900
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.40
• Shares Outstanding: 28,042,507
• 10 Day Avg. Volume: 368,274
• 30 Day Avg. Volume: 250,957
• PEG Ratio: -1.15
• Price to Book (P/B): 7.51
• Price to Sales (P/S): 7.24
• P/FCF Ratio: 38.13
• Enterprise Value/Market Cap: 0.86
• Enterprise Value/Revenue: 9.84
• Enterprise Value/Gross Profit: 15.93
• Enterprise Value/Ebitda: 65.69
• 1Y Price Target: $140.00
• Price Target Upside: 10.94% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 1.63
• Revenue Forecast (FY): $310.78M

• Rating: 76 Outperform
• Price Target: $160.00 ▲(26.79% Upside)

Agilysys's strong financial performance and positive earnings call sentiment are the most significant factors driving the stock score. The company shows robust revenue growth and cash flow management, with increased guidance reflecting strong business momentum. However, the high P/E ratio suggests overvaluation, and technical indicators point to a potential pullback due to overbought conditions.

Positive Factors

Revenue Growth

Consistent revenue growth over 15 consecutive quarters indicates strong market demand and effective sales strategies, supporting long-term business stability.

Subscription Revenue

Significant growth in subscription sales highlights the success of Agilysys's recurring revenue model, ensuring steady cash flow and customer retention.

AI Integration

The integration of AI into products provides a competitive edge by improving efficiency and innovation, likely leading to sustained market leadership.

Negative Factors

Profit Margin Pressure

Decreasing profit margins suggest rising costs or pricing pressures, which could impact long-term profitability if not addressed.

Customer Implementation Delays

Delays in customer implementations can slow revenue recognition and strain customer relationships, affecting future sales and growth.

Seasonal Revenue Impact

Seasonal revenue fluctuations can lead to uneven cash flow, complicating financial planning and potentially impacting quarterly performance.

Agilysys Business Overview & Revenue Model

Company Description

Agilysys, Inc., together with its subsidiaries, operates as a developer and marketer of hardware and software products and services to the hospitality industry in North America, Europe, the Asia-Pacific, and India. It offers point of sale, property management systems, inventory and procurement, payments, reservations management, and seat solutions to enhance guest experience. The company also provides technical software support, maintenance, and subscription services; and professional services. It offers its solutions for gaming, hotels, resorts and cruise, corporate foodservice management, restaurants, universities, stadium, and healthcare. The company was formerly known as Pioneer-Standard Electronics, Inc. and changed its name to Agilysys, Inc. in 2003. Agilysys, Inc. was founded in 1932 and is headquartered in Alpharetta, Georgia.

How the Company Makes Money

Agilysys generates revenue through a combination of software licensing, subscription services, and support and maintenance fees. The company offers its software products on a recurring subscription basis, which provides a steady stream of income. Additionally, Agilysys earns revenue from professional services related to the implementation and customization of its solutions. Key partnerships with major hospitality brands and technology providers enhance its market position and drive sales. The company also benefits from ongoing customer relationships, as clients often require updates, training, and support, contributing to its long-term revenue stability.

Agilysys Financial Statement Overview

Summary

Agilysys exhibits solid financial performance with consistent revenue growth and strong cash flow generation. The company maintains a low leverage position, enhancing financial stability. While profitability margins have faced some pressure, the overall financial health remains robust, positioning Agilysys well for future growth.

Income Statement

Agilysys has demonstrated consistent revenue growth with a TTM growth rate of 3.82% and a strong gross profit margin of 62.13%. However, the net profit margin has decreased to 4.85% in the TTM, indicating some pressure on profitability. The EBIT and EBITDA margins are stable, reflecting efficient operational management.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio of 0.08, indicating low leverage and financial stability. The return on equity has decreased to 5.26% in the TTM, suggesting a need for improved profitability. The equity ratio remains healthy, supporting long-term financial health.

Cash Flow

Agilysys shows robust cash flow management with a significant free cash flow growth rate of 19.21% in the TTM. The operating cash flow to net income ratio is strong at 0.51, indicating efficient cash generation relative to earnings. The free cash flow to net income ratio is high, reflecting strong cash conversion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	299.81M	275.62M	237.46M	198.06M	162.64M	137.18M
Gross Profit	185.17M	171.99M	144.26M	120.82M	101.53M	89.38M
EBITDA	44.91M	35.16M	25.95M	19.28M	10.39M	-16.40M
Net Income	24.36M	23.23M	86.19M	14.58M	6.48M	-21.00M
Balance Sheet
Total Assets	425.57M	434.37M	350.43M	243.04M	214.16M	189.87M
Cash, Cash Equivalents and Short-Term Investments	59.34M	73.04M	144.89M	112.84M	96.97M	99.18M
Total Debt	20.64M	46.96M	23.89M	16.74M	10.70M	13.63M
Total Liabilities	128.82M	168.48M	113.95M	98.27M	81.36M	74.54M
Stockholders Equity	296.75M	265.89M	236.48M	144.77M	132.80M	115.33M
Cash Flow
Free Cash Flow	56.19M	52.34M	40.06M	27.23M	27.28M	27.02M
Operating Cash Flow	58.31M	55.13M	48.19M	34.46M	28.48M	28.41M
Investing Cash Flow	-2.95M	-148.57M	-7.60M	-6.87M	-25.68M	-1.39M
Financing Cash Flow	-50.72M	21.93M	-8.56M	-11.09M	-4.90M	25.32M

Agilysys Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 126.19
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AGYS, the sentiment is Positive. The current price of 126.19 is above the 20-day moving average (MA) of 118.94, above the 50-day MA of 111.76, and above the 200-day MA of 98.13, indicating a bullish trend. The MACD of 4.93 indicates Negative momentum. The RSI at 58.96 is Neutral, neither overbought nor oversold. The STOCH value of 35.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AGYS.

Agilysys Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AGYS	76 Outperform	$3.42B	146.83	8.74%	―	17.77%	-76.05%
BL	67 Neutral	$3.49B	45.79	23.79%	―	7.99%	-28.47%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SPT	61 Neutral	$600.91M	―	-26.69%	―	13.09%	32.34%
BLKB	52 Neutral	$2.97B	―	-78.53%	―	-1.17%	-597.89%
OCFT	47 Neutral	$308.49M	-3.06	-24.21%	―	-48.61%	-2291.48%
ALIT	43 Neutral	$1.35B	―	-66.86%	5.93%	-12.37%	-754.18%

Agilysys Corporate Events

Agilysys, Inc. Reports Record Revenue and Growth

Agilysys, Inc. recently held its earnings call, revealing a robust financial performance characterized by record revenue growth and a significant increase in subscription sales. The integration of AI into their product offerings is enhancing their competitive edge, and international sales are thriving. Despite minor challenges such as seasonal impacts and customer delays, the overall business momentum and increased guidance reflect a positive outlook.

Agilysys Reports Record Revenue and Raises Guidance

Agilysys, Inc. is a global provider of innovative hospitality software solutions, catering to a diverse range of clients including hotels, resorts, casinos, and more, with a focus on enhancing guest experiences and operational efficiency.

Agilysys Holds 2025 Annual Stockholders Meeting

The 2025 Annual Meeting of Stockholders of Agilysys, Inc. took place on September 4, 2025, where several key proposals were voted on. The election of directors resulted in the appointment of individuals to serve until the 2026 Annual Meeting. Additionally, there was an advisory vote on executive compensation and the ratification of Grant Thornton LLP as the independent registered public accounting firm for the fiscal year ending March 31, 2026.

The most recent analyst rating on (AGYS) stock is a Buy with a $121.00 price target. To see the full list of analyst forecasts on Agilysys stock, see the AGYS Stock Forecast page.

Agilysys Reports Strong Q1 FY26 Financial Performance

Agilysys has released a slide presentation for Q1 Fiscal Year 2026, highlighting their financial performance and strategic focus. The company reported a strong financial position with significant revenue growth and a raised annual guidance for FY26. Agilysys continues to focus on expanding its subscription revenue and maintaining a robust balance sheet, which is expected to enhance its market positioning in the hospitality industry.

The most recent analyst rating on (AGYS) stock is a Buy with a $120.00 price target. To see the full list of analyst forecasts on Agilysys stock, see the AGYS Stock Forecast page.