Agilysys (NASDAQ:AGYS) Cut to “Strong Sell” at Zacks Research

Zacks Research lowered shares of Agilysys (NASDAQ:AGYS) from a hold rating to a strong sell rating in a research report sent to investors on Wednesday morning,Zacks.com reports.

Other equities research analysts also recently issued research reports about the stock. UBS Group reissued a “buy” rating on shares of Agilysys in a research report on Monday, December 15th. Wall Street Zen raised Agilysys from a “hold” rating to a “buy” rating in a report on Saturday, January 10th. BTIG Research initiated coverage on shares of Agilysys in a research note on Tuesday, December 16th. They set a “neutral” rating on the stock. Weiss Ratings reissued a “hold (c)” rating on shares of Agilysys in a research note on Wednesday, January 21st. Finally, Oppenheimer lifted their target price on shares of Agilysys from $130.00 to $140.00 and gave the company an “outperform” rating in a research note on Thursday, December 4th. Four research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, Agilysys presently has an average rating of “Hold” and an average target price of $145.40.

Agilysys Stock Up 1.7%

NASDAQ AGYS opened at $86.75 on Wednesday. The company has a 50-day moving average price of $117.05 and a 200-day moving average price of $114.66. Agilysys has a 52 week low of $63.71 and a 52 week high of $145.25. The firm has a market capitalization of $2.44 billion, a P/E ratio of 81.07 and a beta of 0.43.

Agilysys (NASDAQ:AGYS) last announced its earnings results on Monday, January 26th. The software maker reported $0.42 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.46 by ($0.04). Agilysys had a net margin of 9.79% and a return on equity of 10.71%. The business had revenue of $80.39 million for the quarter, compared to the consensus estimate of $79.07 million. During the same quarter last year, the firm posted $0.38 earnings per share. The business’s quarterly revenue was up 15.6% compared to the same quarter last year. As a group, equities research analysts anticipate that Agilysys will post 0.8 EPS for the current year.

Insider Transactions at Agilysys

In other Agilysys news, SVP Kyle C. Badger sold 502 shares of the stock in a transaction dated Monday, November 3rd. The shares were sold at an average price of $124.64, for a total transaction of $62,569.28. Following the completion of the transaction, the senior vice president owned 114,911 shares of the company’s stock, valued at $14,322,507.04. This represents a 0.43% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Donald A. Colvin sold 6,000 shares of the firm’s stock in a transaction dated Friday, November 21st. The shares were sold at an average price of $123.28, for a total value of $739,680.00. Following the transaction, the director owned 24,592 shares of the company’s stock, valued at approximately $3,031,701.76. The trade was a 19.61% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 9,576 shares of company stock valued at $1,189,070. 8.60% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Agilysys

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in AGYS. William Blair Investment Management LLC bought a new stake in Agilysys in the 2nd quarter worth approximately $58,993,000. Wellington Management Group LLP increased its position in Agilysys by 75.9% in the third quarter. Wellington Management Group LLP now owns 690,498 shares of the software maker’s stock worth $72,675,000 after purchasing an additional 297,846 shares during the last quarter. Goldman Sachs Group Inc. raised its stake in Agilysys by 125.0% during the first quarter. Goldman Sachs Group Inc. now owns 331,953 shares of the software maker’s stock valued at $24,080,000 after purchasing an additional 184,402 shares in the last quarter. American Century Companies Inc. raised its stake in Agilysys by 38.7% during the second quarter. American Century Companies Inc. now owns 627,660 shares of the software maker’s stock valued at $71,955,000 after purchasing an additional 175,137 shares in the last quarter. Finally, Invesco Ltd. lifted its position in Agilysys by 28.1% during the second quarter. Invesco Ltd. now owns 545,386 shares of the software maker’s stock valued at $62,523,000 after purchasing an additional 119,736 shares during the last quarter. 88.00% of the stock is owned by institutional investors.

Agilysys News Summary

Here are the key news stories impacting Agilysys this week:

• Positive Sentiment: Needham reiterated a “Buy” rating on AGYS, providing support from a buy‑side firm that can help demand. Needham Reiterates Buy
• Positive Sentiment: Northland raised its Q4 2026 EPS view to $0.44 (from $0.37) and nudged FY2026 to $1.18, signaling some near‑term earnings upside versus prior company forecasts. MarketBeat: Northland Estimates
• Neutral Sentiment: Northland published a full slate of quarterly and FY estimates for FY2026–FY2027 (Q1–Q4 2027 and FY2027 at $1.59), which updates the modeling inputs investors use but does not by itself move fundamentals materially. MarketBeat: Detailed Estimates
• Neutral Sentiment: Short‑interest data released 1/28 appears internally inconsistent (reported as a big increase but showing zero shares/NaN); no clear short squeeze or persistent short pressure is evident from the published numbers. (Data appears unreliable.)
• Negative Sentiment: Zacks Research downgraded AGYS from “Hold” to “Strong Sell,” a headline downgrade that can weigh on sentiment and trigger outflows from momentum‑driven funds. Zacks Downgrade
• Negative Sentiment: Northland cut its FY2027 outlook (now $1.59, down from $1.89 previously), reducing longer‑term earnings expectations — a fundamental headwind for valuation. MarketBeat: FY2027 Revision
• Negative Sentiment: Shares had gapped down after Agilysys missed the prior quarter’s EPS estimate, a catalyst that likely triggered recent analyst re‑ratings and elevated volatility. Earnings Miss / Gap Down

About Agilysys

Agilysys, Inc is a publicly traded technology company (NASDAQ: AGYS) that specializes in providing software and services to the hospitality industry. The company’s solutions span property management, point-of-sale, inventory and procurement, workforce management, analytics and mobile guest engagement. These offerings are designed to streamline hotel and resort operations, enhance guest experiences and improve financial performance for clients across the lodging, gaming, cruise, senior living and higher-education markets.

Agilysys delivers its portfolio through both cloud-based and on-premises deployments, enabling hoteliers and hospitality operators to select the infrastructure model that best aligns with their operational requirements and IT strategies.