Analyst Upside

AU · rank #6 · 2026-07-22

AGYS

NASDAQ · $3.01B (USD)

SignalStrong Buy7.3strength 7.3 / 10
verdict · PROCEED

The exact numbers the algorithm saw.

Factor scores and the inputs behind this pick.
Composite score
Z-score blend of all factors below.
2.390
EPS revisions (30d)
Change in consensus EPS estimate over the past 30 days ($/share).
+$0.39
Net revisions (30d)
Number of analysts revising upward minus downward.
6
Insider signal (90d)
$0 across 0 unique buyers.
-0.197
Analyst upside
Consensus target $127.33
+26.5%
Momentum acceleration
3-month minus 12-month momentum.
+61.95%
Analyst rating
5 = Strong Buy, 1 = Strong Sell.
4.80
Gross margin TTM+62.6%
52w high$145.25
Market cap (USD)$3.01B

The AI research card

Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.

Summary

Agilysys is a vertically integrated hospitality software platform serving hotels, resorts, casinos, and cruise lines with mission-critical PMS, POS, payments, and guest-experience solutions on a growing recurring-revenue base.

Rationale

The analyst_upside_pct of 26.5% is reinforced by concrete fundamentals — a 26.7% earnings beat, 100% EPS revision agreement across 8 analysts, and record FY2026 revenue with guidance above Street — suggesting the upside target reflects genuine re-rating potential rather than stale sentiment.

Material risks

  • 1At a trailing P/E in the high-70s on ~$1.36 EPS, the valuation leaves almost no margin for error; any deceleration in cloud migration deal flow or elongated hospitality capex cycles could compress the multiple sharply before analysts cut targets.
  • 2Analyst target dispersion of 46.3% is unusually wide for an 8-analyst coverage group, signaling meaningful disagreement on terminal growth assumptions and suggesting the consensus upside figure may be anchored by a small number of aggressive bull-case targets.

AI verdict council

Each pick is reviewed independently by 3 models before any order. 2 of 3 voted to proceed.

OpenAI
Proceed
Claude
Proceed
Gemini
Error