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Agilysys Inc (AGYS)



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Upturn Advisory Summary
03/11/2025: AGYS (1-star) is currently NOT-A-BUY. Pass it for now.
Analysis of Past Performance
Type Stock | Historic Profit -15.92% | Avg. Invested days 35 | Today’s Advisory PASS |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 2.04B USD | Price to earnings Ratio 96.72 | 1Y Target Price 133.25 |
Price to earnings Ratio 96.72 | 1Y Target Price 133.25 | ||
Volume (30-day avg) 419515 | Beta 0.98 | 52 Weeks Range 70.40 - 142.64 | Updated Date 04/1/2025 |
52 Weeks Range 70.40 - 142.64 | Updated Date 04/1/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) 0.75 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 8.45% | Operating Margin (TTM) 10.41% |
Management Effectiveness
Return on Assets (TTM) 3.8% | Return on Equity (TTM) 9.14% |
Valuation
Trailing PE 96.72 | Forward PE - | Enterprise Value 2028646689 | Price to Sales(TTM) 7.76 |
Enterprise Value 2028646689 | Price to Sales(TTM) 7.76 | ||
Enterprise Value to Revenue 7.7 | Enterprise Value to EBITDA 61.78 | Shares Outstanding 27964000 | Shares Floating 26241662 |
Shares Outstanding 27964000 | Shares Floating 26241662 | ||
Percent Insiders 4.78 | Percent Institutions 101.32 |
Analyst Ratings
Rating 4.8 | Target Price 151.5 | Buy 1 | Strong Buy 4 |
Buy 1 | Strong Buy 4 | ||
Hold - | Sell - | Strong Sell - | |
Strong Sell - |
Upturn AI SWOT
Agilysys Inc
Company Overview
History and Background
Agilysys, Inc. (AGYS) was founded in 1971 as Pioneer-Standard Electronics, Inc. It evolved from electronics distribution to providing IT solutions, particularly in the hospitality industry. It rebranded as Agilysys in 2003, reflecting its focus on software and services.
Core Business Areas
- Hospitality Solutions: Provides property management systems (PMS), point-of-sale (POS), inventory and procurement, analytics, and mobile and self-service solutions to hotels, resorts, casinos, restaurants, stadiums, and cruise lines.
Leadership and Structure
Ramesh Srinivasan serves as the President and CEO. The company operates with a typical corporate structure including various vice presidents overseeing sales, marketing, technology, and finance.
Top Products and Market Share
Key Offerings
- rGuest Pay: A payment gateway solution providing secure transactions and data encryption. It is EMV-validated and P2PE (Point-to-Point Encryption) certified. Market share data is not publicly available, but significant competitors include Shift4 Payments (FOUR), Global Payments (GPN), and Oracle Hospitality.
- rGuest Stay: A property management system (PMS) designed to streamline hotel operations, including reservations, check-in/out, and guest services. Competitors include Oracle Hospitality's OPERA, Infor HMS, and Amadeus Hospitality.
- InfoGenesis POS: A Point of Sale system. Agilysys does not specify revenue for this product alone. Competitors include Shift4 Payments (FOUR), Block (SQ) and NCR Voyix (VYX).
Market Dynamics
Industry Overview
The hospitality technology market is growing, driven by increasing demand for digital solutions to enhance guest experiences and improve operational efficiency. Trends include cloud adoption, mobile solutions, and data analytics.
Positioning
Agilysys is positioned as a specialized provider of technology solutions for the hospitality industry, offering a comprehensive suite of products and services. Its competitive advantages include industry-specific expertise and a strong customer base.
Total Addressable Market (TAM)
The global hospitality software market is projected to reach hundreds of billions of dollars. Agilysys is positioned to capture a portion of this TAM with its focused product offerings and customer base.
Upturn SWOT Analysis
Strengths
- Industry-specific expertise
- Comprehensive product suite
- Strong customer relationships
- Cloud-based solutions
Weaknesses
- Smaller scale compared to larger competitors
- Dependence on the hospitality industry
- Limited brand recognition outside of hospitality
Opportunities
- Expanding cloud-based offerings
- Growing demand for data analytics in hospitality
- Strategic acquisitions to expand product portfolio
- International expansion
Threats
- Intense competition from larger players
- Economic downturn impacting the hospitality industry
- Rapid technological changes
- Cybersecurity threats
Competitors and Market Share
Key Competitors
- ORCL
- FOUR
- NCR
- AMCX
Competitive Landscape
Agilysys faces competition from larger, more diversified technology companies like Oracle and NCR, as well as specialized players like Shift4 Payments. Agilysys benefits from its narrow focus which allows them to build expertise and offer better service.
Major Acquisitions
Strategic Data Systems (SDS)
- Year: 2022
- Acquisition Price (USD millions): 55
- Strategic Rationale: Acquisition to expand Agilysys's footprint in the casino gaming sector and enhance its product offerings.
Growth Trajectory and Initiatives
Historical Growth: Agilysys has experienced strong revenue growth in recent years, driven by increased demand for its hospitality solutions and strategic acquisitions.
Future Projections: Analysts project continued revenue growth, driven by cloud adoption and expansion into new markets.
Recent Initiatives: Recent initiatives include expanding its cloud-based platform, investing in new product development, and making strategic acquisitions to broaden its product portfolio.
Summary
Agilysys is a strong company with positive revenue growth in the hospitality market. Its strength comes from its industry-specific expertise, which is a core competitive advantage. However, its smaller size compared to giants like Oracle leaves it vulnerable to market share being eaten up. The company should continue to focus on growing cloud-based products.
Similar Companies
- ORCL
- FOUR
- NCR
- AMCX
Sources and Disclaimers
Data Sources:
- Company Filings (10-K, 10-Q)
- Earnings Call Transcripts
- Analyst Reports
- Company Press Releases
- Company Website
Disclaimers:
This analysis is for informational purposes only and should not be considered financial advice. Investment decisions should be based on individual research and consultation with a financial professional. Market share data is estimated and may not be precise. Future financial performance is not guaranteed and is subject to market conditions and other factors.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Agilysys Inc
Exchange NASDAQ | Headquaters Alpharetta, GA, United States | ||
IPO Launch date 1990-03-26 | CEO, President & Director Mr. Ramesh Srinivasan | ||
Sector Technology | Industry Software - Application | Full time employees 1900 | Website https://www.agilysys.com/en/ |
Full time employees 1900 | Website https://www.agilysys.com/en/ |
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. It offers software solutions fully integrated with third party hardware and operating systems; cloud applications, support, and maintenance; subscription and maintenance; and professional services. The company's hospitality software solutions include 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. Its food and beverage ecosystem solutions comprise InfoGenesis POS; IG Kiosk; IG Flex; IG KDS; IG OnDemand; IG Fly; IG Quick Pay; IG Smart Menu; IG Digital Menu Board; IG PanOptic AI-powered self-checkout kiosk; Pay, a payment processing solution; eCash for cashless tender; gift card solution; and Analyze, a cloud-based data analytic platform. The company's inventory and procurement ecosystem solutions include Eatec solution and Stratton Warren System; LMS, a on-premise or hosted, web and mobile-enabled PMS solution; Versa, a hospitality solution; and Stay, a cloud-native SaaS property management system. Its hospitality and leisure and experience enhancer solutions comprise Book, Express Kiosk and Express Mobile for check-in and check-out; Spa software; Golf; Sales & Catering; Service; Authorize; DataMagine; Reserve solution; Digital Marketing solution; Retail POS solution; Central Reservations; Loyalty & Promotions; Membership; Residence Management; and Guest App. It serves hotels, resorts and cruise lines, casinos, corporate food service management, restaurants, universities, stadiums, 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.
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