Agilysys Inc logo

Agilysys Inc(AGYS)

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ADVISORIES YOU CAN VERIFY
QUALITY SIGNAL
2-STAR RATING
PASS
LAST CLOSE
$101.18
09/23/2026
(24-hour delay)

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Upturn Advisory & Investor View for AGYS

09/23/2026: AGYS (2-star) is currently NOT-A-BUY. Pass it for now.

Agilysys Inc is a specialized provider of cloud-native hospitality software, focusing on point-of-sale and property management systems for large-scale operators like resorts and casinos. The company has a leading position in high-complexity environments and is successfully transitioning to a high-margin, recurring SaaS revenue model. Its primary investment opportunity lies in continued market share expansion and cross-selling across its unified software ecosystem. Key risks include intense competition from large enterprise software players and sensitivity to hospitality industry cycles. The stock generally suits growth-oriented investors who can tolerate market volatility and should monitor R&D execution and acquisition integration as primary drivers of future performance.

How to Read the Upturn Advisory

The Upturn Star Rating and the current BUY, SELL, or PASS advisory are generated by Upturn’s AI advisory engine based on proprietary signal analysis, price behavior, advisory history, and historical signal performance.

Company fundamentals, valuation, risks, and news provide supporting context about the business.

Investor Fit

Investor styleFitWhy
Growth investorStrong fitThe company is in a clear transition to a high-margin recurring SaaS revenue model with significant runway in the hospitality sector.
Momentum investorMixed fitStock performance often follows successful product adoption cycles and cloud-revenue growth announcements.
Value investorWeak fitThe stock typically trades at a premium valuation reflecting its high-growth profile rather than traditional value metrics.
Dividend investorWeak fitThe company does not pay a dividend, focusing all cash flow on growth and expansion.
Low-risk investorWeak fitHigh sensitivity to hospitality industry cycles and higher valuation multiples contribute to inherent market volatility.

Risk Profile

Risk factorLevelWhy it matters
Price volatilityMedium / highAs a growth-oriented SaaS stock, shares can be sensitive to market shifts and interest rate changes.
Valuation riskMedium / highThe stock often commands a high multiple, leaving little room for error if growth targets are missed.
Competition risk (enterprise software)HighLarge incumbents like Oracle have vast resources to defend their market share in hospitality.
Business qualityMediumStrong recurring revenue trends are tempered by the cyclical nature of the underlying hospitality industry.
Dividend incomeLow / noneThe company does not provide income through dividends.
Execution riskMediumSuccessful growth depends on the continued, error-free integration of acquired technologies.

Price Behavior

Strong Uptrend
PRICE PATH

Strong Uptrend

The stock has maintained a strong upward price trend across the last three quarters.

Choppy
PRICE STABILITY

Choppy

The stock has experienced frequent reversals and pronounced short-term price swings.

Analysis of Past Performance

Type Stock
Historic Profit 41.82%
Avg. Invested days 40
Today’s Advisory PASS
Upturn Advisory Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 4.0
Stock Returns Performance Upturn Returns Performance icon 3.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 09/23/2026

Upturn Scorecard

Upturn Star Rating

★★★★★
AGYS receives a 4-star rating, supported by solid unit economics, solid company fundamentals, and solid analyst coverage. The rating is constrained by weak price momentum.

Company Fundamentals

★★★★★
AGYS has solid overall fundamentals (4 stars), with solid financial health, solid growth momentum, and solid ownership. In FY2026 versus FY2025, strong earnings growth (+67.0%) and strong cash generation (FCF margin 21.3%) are partially offset by modest insider ownership of 3.63%.

Financial Health Rating

★★★★★
AGYS's financial health is supported by solid liquidity, including working-capital and asset support (WC/assets 12.3%). Profitability is moderate (3 stars), which helps explain the 4-star overall score.

Growth Momentum Score

★★★★★
Earnings growth is AGYS's strongest growth driver at +67.0% FY2026 versus FY2025 (strong, 5 stars). Revenue growth (+15.8%, solid) and free-cash-flow growth (+30.2%, solid) are also constructive, though not equally high across every growth measure.

Ownership

★★★★★
Institutional ownership is 106.9% and approximately 95.2% of outstanding shares are publicly tradable, supporting liquidity and institutional participation. Insider ownership of 3.63% provides only moderate management-shareholder alignment.

Top 5 Institutional Investors

BlackRock Inc 13.81%
Mak Capital One LLC 4.23%
Vanguard Capital Management, LLC 4.03%
Vanguard Portfolio Management, LLC 3.82%
State Street Corp 3.69%

Unit Economics (Per $1K Revenue)

★★★★★
AGYS generates approximately $619 of gross profit, $126 of operating income, and $213 of free cash flow for every $1,000 of revenue. Based on FY2026 results. Strong cash conversion and healthy margins support the rating, although capital efficiency remains below the highest tier.

Economic Dimensions

★★★★★
Effective Tax Rate: 19.87%

Quantitative Style Profile

★★★★★
AGYS has a high-quality, liquid, relatively low-volatility profile. Weak momentum is the primary drawback, while valuation that is moderately attractive rather than deeply discounted.

Style Classification

Quality Focused

Quality TiltLow VolatilitySmall / Mid Cap RiskShort Squeeze RiskHighly Liquid / Institution-Friendly

Key Highlights

Company Size Mid-Cap Stock
Market Capitalization 2.83B USD
Price to earnings Ratio 65.6
1Y Target Price 134.5
Price to earnings Ratio 65.6
1Y Target Price 134.5
Volume (30-day avg) 249.1K shares
Beta 0.38
52 Weeks Range 61.50 - 145.25
Updated Date 09/23/2026
52 Weeks Range 61.50 - 145.25
Updated Date 09/23/2026
Dividends yield (FY) -
Basic EPS (TTM) 1.53

How Company Makes Money

Business areaWhat it includesRetail investor read
Subscription ServicesRevenue from cloud-based software subscriptions for PMS and POS systems.This is the core, high-margin, predictable income stream for the company.
Professional ServicesImplementation, training, and custom integration of software solutions.These services act as a gateway to signing up new, long-term subscription customers.

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

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Valuation

Trailing PE 65.6
Forward PE 45.25
Enterprise Value 2.72B
Price to Sales(TTM) 8.57
Enterprise Value 2.72B
Price to Sales(TTM) 8.57
Enterprise Value to Revenue 8.24
Enterprise Value to EBITDA 42
Shares Outstanding 28.21M
Shares Floating 26.86M
Shares Outstanding 28.21M
Shares Floating 26.86M
Percent Insiders 3.63
Percent Institutions 106.93

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Financial Metrics

🧭 Investment Snapshot

Total Revenue (Scale)

Information icon Total money earned from selling products or services before any costs. It is needed to understand the scale of the business and its ability to generate income.

Net Income (Profit)

Information icon Final profit after all expenses, interest, and taxes are deducted. It is needed to determine the overall profitability available to shareholders.

Free Cash Flow (Cash Strength)

Information icon Cash remaining after operating activities and capital expenditures, showing cash available for growth. It is needed to evaluate the company’s ability to invest, pay dividends, or reduce debt.

📈 Growth & Strength

Operating Income (Core Profit)

Information icon Profit from core operations after deducting all operating expenses. It is needed to measure how efficiently the company runs its primary business activities.

EBITDA (Cash Earnings)

Information icon Earnings before interest, taxes, depreciation, and amortization, indicating operating cash potential. It is needed to compare operating performance across companies without accounting or financing differences.

Gross Profit (Unit Profitability)

Information icon Revenue minus cost of revenue, showing profit after direct production costs. It is needed to evaluate core business profitability before overhead expenses.

🛡️ Financial Safety

Cash (Liquidity Buffer)

Information icon Total cash and cash equivalents on hand. It is needed to evaluate immediate liquidity and financial flexibility.

Total Debt (Leverage Risk)

Information icon Total debt including both short-term and long-term components. It is needed to assess the company’s leverage and financial risk.

Net Working Capital (Short-Term Health)

Information icon Current assets minus current liabilities, indicating short-term liquidity strength. It is needed to assess whether the company can meet its short-term obligations.

🧱 Balance Sheet Strength

Stockholder Equity (Net Worth)

Information icon Total equity value held by shareholders. It is needed to understand the net worth of the company from the owners’ perspective.

Total Assets (Asset Base)

Information icon The full value of everything the company owns, including cash, inventory, equipment, and investments. It is needed to understand the resource base used to generate revenue.

Income Before Tax (Pre-Tax Earnings)

Information icon Income before provision for income taxes. It is needed to analyze profitability independent of tax structures.

⚙️ Cost & Drag Factors

Cost of Revenue (Production Cost)

Information icon Direct costs required to produce and deliver the products or services sold. It is needed to assess efficiency in production and service delivery.

Total Operating Expenses (Operating Cost)

Information icon Indirect costs of running the business such as salaries, marketing, and administration. It is needed to understand how much it costs to sustain ongoing business operations.

Income Tax Expense (Tax Drag)

Information icon Amount of taxes paid or payable to the government. It is needed to evaluate the impact of taxation on overall profitability.

About Agilysys Inc

Exchange NASDAQ
Headquarters Alpharetta, GA, United States
IPO Launch date 1990-03-26
CEO, President & Director Mr. Ramesh Srinivasan
Sector Technology
Industry Software - Application
Full time employees 2413
Full time employees 2413

Agilysys, Inc. operates as a developer and marketer of software-enabled solutions and services to the hospitality industry in North America, Europe, the Asia-Pacific, and India. The company offers software solutions fully integrated with third party hardware and operating systems; cloud applications, support, and maintenance; subscription and maintenance; and professional services. Its hospitality software solutions comprise hospitality experience cloud offers solution ecosystems that combine core operational systems for property management, point-of-sale (POS), and inventory and procurement; and Hospitality Solution Studios. The company also provides food and beverage ecosystem solutions, such as the InfoGenesis POS, IG Kiosk, a self-service, customer-facing kiosk point of sale solution; and IG KDS, a digital kitchen management solution. Its food and beverage experience enhancer solutions include IG OnDemand; IG Fly; IG Quick Pay payment solution; IG Smart Menu; IG Digital Menu Board; IG PanOptic; Pay; eCash; gift card solution; and Analyze. In addition, the company offers hospitality and leisure ecosystem solutions comprising LMS, an on-premises or hosted, web, and mobile-enabled PMS solution; Versa; and Stay, a cloud-native SaaS property management system. Its hospitality and leisure and experience enhancer solutions consist of Book, Express Kiosk and Express Mobile for check-in and check-out; Spa software; Golf; Sales and Catering; Service; Authorize; DataMagine; Reserve solution; Digital Marketing solution; Retail POS solution; Central Reservations; Loyalty and Promotions; Membership; Residence Management; and Guest App. Further, the company provides inventory and procurement ecosystem solutions, including the Eatec solution and Stratton Warren System. 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.