Agilysys, Inc.
Agilysys, Inc. Fundamental Analysis
Agilysys, Inc. (AGYS) shows moderate financial fundamentals with a PE ratio of 72.55, profit margin of 9.79%, and ROE of 10.50%. The company generates $0.3B in annual revenue with strong year-over-year growth of 16.07%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 62.5/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze AGYS's fundamental strength across five key dimensions:
Efficiency Score
WeakAGYS struggles to generate sufficient returns from assets.
Valuation Score
WeakAGYS trades at a premium to fair value.
Growth Score
ModerateAGYS shows steady but slowing expansion.
Financial Health Score
ExcellentAGYS maintains a strong and stable balance sheet.
Profitability Score
WeakAGYS struggles to sustain strong margins.
Key Financial Metrics
Is AGYS Expensive or Cheap?
P/E Ratio
AGYS trades at 72.55 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, AGYS's PEG of 3.04 indicates potential overvaluation.
Price to Book
The market values Agilysys, Inc. at 7.05 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 45.83 times EBITDA. This signals the market has high growth expectations.
How Well Does AGYS Make Money?
Net Profit Margin
For every $100 in sales, Agilysys, Inc. keeps $9.79 as profit after all expenses.
Operating Margin
Core operations generate 10.57 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.50 in profit for every $100 of shareholder equity.
ROA
Agilysys, Inc. generates $6.40 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Agilysys, Inc. produces operating cash flow of $61.62M, showing steady but balanced cash generation.
Free Cash Flow
Agilysys, Inc. generates strong free cash flow of $59.48M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $2.12 in free cash annually.
FCF Yield
AGYS converts 2.70% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
72.55
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
3.04
vs 25 benchmark
P/B Ratio
Price to book value ratio
7.05
vs 25 benchmark
P/S Ratio
Price to sales ratio
7.14
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.11
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.31
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.10
vs 25 benchmark
How AGYS Stacks Against Its Sector Peers
| Metric | AGYS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 72.55 | 35.19 | Worse (Expensive) |
| ROE | 10.50% | 1155.00% | Weak |
| Net Margin | 9.79% | -127067.00% (disorted) | Weak |
| Debt/Equity | 0.11 | 0.41 | Strong (Low Leverage) |
| Current Ratio | 1.31 | 4.71 | Neutral |
| ROA | 6.40% | -314918.00% (disorted) | Weak |
AGYS outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Agilysys, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
44.76%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
157.56%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
340.13%
Industry Style: Growth, Innovation, High Beta
High Growth