Agilysys (NASDAQ:AGYS) Shares Gap Down After Earnings Miss

Agilysys, Inc. (NASDAQ:AGYS)’s stock price gapped down prior to trading on Tuesday following a dissappointing earnings announcement. The stock had previously closed at $116.94, but opened at $100.45. Agilysys shares last traded at $107.01, with a volume of 211,324 shares trading hands.

The software maker reported $0.33 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.36 by ($0.03). Agilysys had a net margin of 4.85% and a return on equity of 11.37%. The business had revenue of $76.68 million for the quarter, compared to analyst estimates of $74.42 million. During the same quarter in the prior year, the business earned $0.30 earnings per share. The firm’s quarterly revenue was up 20.7% compared to the same quarter last year.

Analyst Ratings Changes

A number of equities analysts have commented on the stock. Cantor Fitzgerald initiated coverage on shares of Agilysys in a research note on Tuesday, June 3rd. They issued an “overweight” rating and a $125.00 price target for the company. Oppenheimer boosted their price objective on shares of Agilysys from $90.00 to $120.00 and gave the company an “outperform” rating in a report on Tuesday. Needham & Company LLC reissued a “buy” rating and set a $105.00 price objective (up from $100.00) on shares of Agilysys in a report on Tuesday, May 20th. Finally, Northland Securities set a $152.00 price objective on shares of Agilysys in a report on Tuesday, May 20th. One analyst has rated the stock with a hold rating and six have assigned a buy rating to the company. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $120.86.

Insider Activity

In other news, insider Chris J. Robertson sold 258 shares of the company’s stock in a transaction dated Tuesday, July 1st. The shares were sold at an average price of $113.39, for a total value of $29,254.62. Following the transaction, the insider directly owned 21,137 shares in the company, valued at approximately $2,396,724.43. This represents a 1.21% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director John Mutch sold 500 shares of the company’s stock in a transaction dated Thursday, June 5th. The stock was sold at an average price of $110.83, for a total transaction of $55,415.00. Following the completion of the transaction, the director owned 31,404 shares in the company, valued at approximately $3,480,505.32. The trade was a 1.57% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 1,405 shares of company stock worth $158,033. Insiders own 19.30% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. HighTower Advisors LLC bought a new stake in shares of Agilysys in the 4th quarter valued at about $253,000. Natixis Advisors LLC boosted its holdings in shares of Agilysys by 2.0% in the 4th quarter. Natixis Advisors LLC now owns 10,612 shares of the software maker’s stock valued at $1,398,000 after buying an additional 208 shares in the last quarter. Cibc World Markets Corp bought a new stake in shares of Agilysys in the 4th quarter valued at about $278,000. Xponance Inc. bought a new stake in shares of Agilysys in the 4th quarter valued at about $224,000. Finally, American Century Companies Inc. boosted its holdings in shares of Agilysys by 4.6% in the 4th quarter. American Century Companies Inc. now owns 451,812 shares of the software maker’s stock valued at $59,508,000 after buying an additional 19,994 shares in the last quarter. 88.00% of the stock is currently owned by institutional investors.

Agilysys Stock Down 4.7%

The firm has a market capitalization of $3.12 billion, a P/E ratio of 222.82 and a beta of 0.75. The company has a debt-to-equity ratio of 0.09, a quick ratio of 1.07 and a current ratio of 1.11. The business’s fifty day moving average price is $107.79 and its two-hundred day moving average price is $93.18.

About Agilysys

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.