Agilysys (AGYS) Shares Dip 1% but Show Long-Term Growth Potential
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 25 2025
0mins
Should l Buy AGYS?
Source: Yahoo Finance
- Price Dip: Agilysys shares have recently dipped about 1% to $120.10, following a strong 16% increase over the past 90 days, indicating that while short-term enthusiasm may be cooling, long-term momentum remains intact.
- Valuation Insight: With a narrative fair value of $142, Agilysys is considered 15.4% undervalued, hinging on the durability of its growth and margins as critical factors for future performance.
- AI-Driven Enhancements: The company's focus on AI-driven innovations such as personalized upselling, dynamic pricing, and AI-powered guest engagement tools is expected to significantly elevate product value and operational efficiency, positively impacting revenue growth and net margins.
- Market Risks: Despite the current valuation suggesting upside potential, any softening in hospitality demand or rising competition could squeeze margin expansion, leading to a potential re-rating of Agilysys by the market.
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Analyst Views on AGYS
Wall Street analysts forecast AGYS stock price to rise
7 Analyst Rating
6 Buy
1 Hold
0 Sell
Strong Buy
Current: 80.870
Low
135.00
Averages
142.00
High
155.00
Current: 80.870
Low
135.00
Averages
142.00
High
155.00
About AGYS
Agilysys, Inc. is a hospitality software company, which is engaged in delivering cloud-native software-as-a-service (SaaS) and on-premises solutions for hotels, resorts, cruise lines, casinos, corporate foodservice management, restaurants, universities, stadiums, and healthcare facilities. The Company’s software solutions include point-of-sale (POS), property management (PMS), inventory and procurement, payments, and related applications that manage and enhance the entire guest journey. It operates across North America, Europe, the Middle East, Asia-Pacific, and India. Its food and beverage ecosystem solutions include InfoGenesis, IG Kiosk, IG KDS, IG OnDemand, IG Fly, IG Quick Pay, IG Smart Menu, IG Digital Menu Board, IG PanOptic, eCash, and Analyze. Its hospitality and leisure (H&L) ecosystem solutions include LMS, Versa, and Stay. Its hospitality and leisure (H&L) experience-enhancer solutions include Book, Express Kiosk, Express Mobile, Spa, Golf, and Sales & Catering.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Revenue Guidance Increase: The company raised its fiscal 2026 total revenue guidance to $318 million, reaching the upper end of the previous range, reflecting confidence in future performance despite facing short-term market fluctuations.
- Net Revenue Growth: Agilysys achieved a 15.6% year-over-year increase in total net revenue to $80.4 million, up from $69.6 million in the prior year, showcasing strong market performance and sustained customer demand.
- Margin Outlook: Management indicated that while major rollouts could impact margins, most costs are accounted for, and they expect continued margin expansion, highlighting the company's proactive strategies in cost control and efficiency improvements.
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