DB:PS3

Stock Analysis Report

Executive Summary

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.


Snowflake Analysis

Flawless balance sheet with concerning outlook.


Similar Companies

Share Price & News

How has Agilysys's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PS3 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-5.9%

PS3

-0.4%

DE Software

0.2%

DE Market


1 Year Return

63.7%

PS3

33.5%

DE Software

13.6%

DE Market

Return vs Industry: PS3 exceeded the German Software industry which returned 33.5% over the past year.

Return vs Market: PS3 exceeded the German Market which returned 13.6% over the past year.


Shareholder returns

PS3IndustryMarket
7 Day-5.9%-0.4%0.2%
30 Day2.8%-1.3%-0.08%
90 Day-6.9%11.6%6.0%
1 Year63.7%63.7%35.3%33.5%17.1%13.6%
3 Year124.2%124.2%61.5%55.1%19.6%9.0%
5 Year140.9%140.9%145.7%128.3%38.9%20.0%

Price Volatility Vs. Market

How volatile is Agilysys's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Agilysys undervalued compared to its fair value and its price relative to the market?

5.85x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: PS3 (€22.2) is trading above our estimate of fair value (€12.08)

Significantly Below Fair Value: PS3 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: PS3 is unprofitable, so we can't compare its PE Ratio to the Software industry average.

PE vs Market: PS3 is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate PS3's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: PS3 is overvalued based on its PB Ratio (5.8x) compared to the DE Software industry average (2.9x).


Next Steps

Future Growth

How is Agilysys forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

69.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PS3 is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: PS3 is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: PS3 is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: PS3's revenue (10.7% per year) is forecast to grow faster than the German market (4.9% per year).

High Growth Revenue: PS3's revenue (10.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if PS3's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Agilysys performed over the past 5 years?

-10.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PS3 is currently unprofitable.

Growing Profit Margin: PS3 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PS3 is unprofitable, and losses have increased over the past 5 years at a rate of -10.1% per year.

Accelerating Growth: Unable to compare PS3's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: PS3 is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (14.6%).


Return on Equity

High ROE: PS3 has a negative Return on Equity (-12.33%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Agilysys's financial position?


Financial Position Analysis

Short Term Liabilities: PS3's short term assets ($72.4M) exceed its short term liabilities ($52.6M).

Long Term Liabilities: PS3's short term assets ($72.4M) exceed its long term liabilities ($12.8M).


Debt to Equity History and Analysis

Debt Level: PS3 is debt free.

Reducing Debt: PS3 has not had any debt for past 5 years.


Balance Sheet

Inventory Level: PS3 has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if PS3's debt is covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable PS3 has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: PS3 is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 79.7% per year.


Next Steps

Dividend

What is Agilysys's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%1.3%markettop25%3.6%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate PS3's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate PS3's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if PS3's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if PS3's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: PS3 is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PS3's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

What is the CEO of Agilysys's salary, the management and board of directors tenure and is there insider trading?

2.8yrs

Average management tenure


CEO

Ramesh Srinivasan (59yo)

2.9yrs

Tenure

US$1,066,039

Compensation

Mr. Ramesh Srinivasan has been the Chief Executive Officer, President and Director at Agilysys, Inc. since January 3,2017. Throughout his career, Mr. Srinivasan has demonstrated tremendous success in formu ...


CEO Compensation Analysis

Compensation vs Market: Ramesh's total compensation ($USD1.07M) is about average for companies of similar size in the German market ($USD826.58K).

Compensation vs Earnings: Ramesh's compensation has been consistent with company performance over the past year.


Management Age and Tenure

2.8yrs

Average Tenure

55yo

Average Age

Experienced Management: PS3's management team is considered experienced (2.8 years average tenure).


Board Age and Tenure

4.3yrs

Average Tenure

62yo

Average Age

Experienced Board: PS3's board of directors are considered experienced (4.3 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$46,28211 Sep 19
Jebaseelan Kingsley
EntityIndividual
Shares2,000
Max PriceUS$23.14
BuyUS$227,92904 Sep 19
Ramesh Srinivasan
EntityIndividual
Role
Chief Executive Officer
CEO, President & Director
Shares10,000
Max PriceUS$22.79
BuyUS$243,03502 Aug 19
Ramesh Srinivasan
EntityIndividual
Role
Chief Executive Officer
CEO, President & Director
Shares11,000
Max PriceUS$22.09
SellUS$142,09621 Feb 19
Keith Kolerus
EntityIndividual
Shares8,400
Max PriceUS$17.63
BuyUS$323,41506 Feb 19
Ramesh Srinivasan
EntityIndividual
Role
Chief Executive Officer
CEO, President & Director
Shares20,000
Max PriceUS$16.44

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Ramesh Srinivasan (59yo)

    CEO, President & Director

    • Tenure: 2.9yrs
    • Compensation: US$1.07m
  • Kyle Badger (51yo)

    Senior VP

    • Tenure: 8.2yrs
    • Compensation: US$600.99k
  • Prabuddha Biswas (59yo)

    Chief Technology Officer

    • Tenure: 1.7yrs
    • Compensation: US$1.12m
  • Theresa Putnal

    Vice President of Human Resources

    • Tenure: 0yrs
  • Rob Jacks (61yo)

    VP & Chief Information Officer

    • Tenure: 1.4yrs
  • Don Demarinis (55yo)

    Senior Vice President of Sales - Americas

    • Tenure: 1.9yrs
    • Compensation: US$607.23k
  • Tony Pritchett (37yo)

    VP & CFO

    • Tenure: 3.1yrs
    • Compensation: US$555.58k
  • James Slatter

    EMEA Managing Director

    • Tenure: 3.4yrs
  • Prakash Bhat (54yo)

    VP & MD of India Development Center

    • Tenure: 2.8yrs
  • Andrew Cox

    Managing Director of APAC

    • Tenure: 0.8yrs

Board Members

  • John Mutch (62yo)

    Independent Director

    • Tenure: 10.8yrs
    • Compensation: US$125.00k
  • Donald Colvin (66yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: US$130.00k
  • Mel Keating (72yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: US$137.50k
  • Jerry Jones (63yo)

    Independent Director

    • Tenure: 7.9yrs
    • Compensation: US$125.00k
  • Ramesh Srinivasan (59yo)

    CEO, President & Director

    • Tenure: 2.9yrs
    • Compensation: US$1.07m
  • Mike Kaufmann (47yo)

    Chairman of the Board

    • Tenure: 4.2yrs
    • Compensation: US$92.50k
  • Dana Jones (44yo)

    Independent Director

    • Tenure: 0.7yrs

Company Information

Agilysys, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Agilysys, Inc.
  • Ticker: PS3
  • Exchange: DB
  • Founded: 1963
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$575.182m
  • Listing Market Cap: US$518.411m
  • Shares outstanding: 23.24m
  • Website: https://www.agilysys.com

Number of Employees


Location

  • Agilysys, Inc.
  • 1000 Windward Concourse
  • Suite 250
  • Alpharetta
  • Georgia
  • 30005
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AGYSNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDDec 1972
PS3DB (Deutsche Boerse AG)YesCommon SharesDEEURDec 1972

Biography

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, a ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/11 20:47
End of Day Share Price2019/12/11 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.