Share count
28Mpeak FY2026
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AGYS, Agilysys
Agilysys operates across the Americas, Europe, the Middle East, Africa, Asia-Pacific, and India with headquarters located in Alpharetta, GA.
Agilysys has been a leader in hospitality software for more than 45 years, delivering innovative cloud-native SaaS and on-premise solutions for hotels, multi-amenity resorts, cruise lines, casinos, corporate foodservice management, restaurants, universities, stadiums, and healthcare facilities.
The Company's software solutions include point-of-sale (POS), property management (PMS), inventory and procurement, payments, and related applications that manage and enhance the entire guest journey.
The business
What it sells, where the money comes from, the kind of company it is.
Revenue · FY2026
$319M
+15.9% YoY · 18% 5-yr CAGR
Vital signs · TTM, with 5-yr average
Revenue $319M 5-yr avg $239M
Revenue $80M +15.6% vs yr-ago qtr
Operating margin 14.6% yr-ago 10.7%
Net income $10M yr-ago $4M
Net margin 12.3% yr-ago 5.5%
The business in brief
read the 10-K →What this business is and what moves its needle, from its own SEC filings.
- What it is
- Revenue is Subscription and maintenance (64%), Professional Services (23%) and Products (13%).
- Situation
- Cyclical. Margins collapse and recover repeatedly across the record; a single year, good or bad, misstates the through-cycle earning power.
- What moves the needle
- Operating margin has reached 13% at its best but run negative through the cycle (median −8.9%) on a 61% gross margin — so the question is which reading is truer: whether the median was pulled below zero by one-off charges, by the cycle, or by spending it is still growing into, and whether it settles back at a profit. Stock-based pay runs about 5.9% of sales, a real and recurring claim on owners that the GAAP margin understates. Read this kind of business on retention and the cost of growth. On its own account, the filing leans hardest on supplier & input dependence, set against the numbers in what the filing emphasizes, below.
- Is it a good business?
- Return on capital has rarely cleared the cost of capital (median −14%, above 15% in 2 of 7 years). The steadier read is owner earnings: roughly 17% of revenue reaches owners as cash, consistently. The cycle and the balance sheet decide this one; the worst year tells more than the median, and the rest is in the 10-K.
Every line is arithmetic on the company's filings, shown in full in the sections below.
Where the money comes from
read the 10-K →Subscription and maintenance is 64% of revenue, with Professional Services the other meaningful line at 23%.
Revenue by product line, FY2026
- Subscription and maintenance64%$206M
- Professional Services23%$72M
- Products13%$41M
From the segment footnote of the company's own 10-K. Shares are of total revenue; the profit bar shows each segment's share of segment operating profit, before unallocated corporate costs.
The record
Ten years of arithmetic, read across the cycle.
The record, 2017–2026
realized figures from each filing · older years to the left| 2017’17 | 2018’18 | 2019’19 | 2020’20 | 2021’21 | 2022’22 | 2023’23 | 2024’24 | 2025’25 | 2026’26 | TTMTTMMar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Income statement | |||||||||||
| $128M | $127M | $141M | $161M | $137M | $163M | $198M | $237M | $276M | $319M | $319M | RevenueRevenue |
| 50% | 51% | 52% | 50% | 65% | 62% | 61% | 61% | 62% | 63% | 63% | Gross marginGross mgn |
| 16% | 60% | 62% | 72% | 80% | 59% | 54% | 54% | 15% | 13% | 13% | SG&A / revenueSG&A/rev |
| 23% | 22% | 27% | 26% | 40% | 28% | 25% | 24% | 23% | 23% | 23% | R&D / revenueR&D/rev |
| ($11M) | ($12M) | ($13M) | ($34M) | ($21M) | $6M | $13M | $16M | $23M | $43M | $43M | Operating incomeOp. inc. |
| −8.9% | −9.5% | −9.3% | −21.2% | −15.3% | 3.9% | 6.5% | 6.6% | 8.2% | 13.5% | 13.5% | Operating marginOp. mgn |
| ($12M) | ($8M) | ($13M) | ($34M) | ($21M) | $6M | $15M | $86M | $23M | $39M | $39M | Net incomeNet inc. |
| — | — | — | — | — | 1% | 7% | — | 9% | 20% | 20% | Effective tax rateTax rate |
| Cash flow & returns | |||||||||||
| $3M | $7M | $7M | $11M | $28M | $28M | $34M | $48M | $55M | $70M | $70M | Operating cash flowOp. cash |
| $2M | $3M | $3M | $3M | $3M | $2M | $2M | $4M | $4M | $4M | $4M | DepreciationDeprec. |
| $10M | $8M | $14M | $37M | $6M | $5M | $5M | ($56M) | $10M | $6M | $6M | Working capital & otherWC & other |
| $4M | $6M | $3M | $3M | $1M | $1M | $7M | $8M | $3M | $2M | $2M | CapexCapex |
| 3.3% | 4.8% | 2.4% | 2.1% | 1.0% | 0.7% | 3.7% | 3.4% | 1.0% | 0.6% | 0.6% | Capex / revenueCapex/rev |
| $1M | $4M | $5M | $8M | $27M | $27M | $33M | $44M | $52M | $68M | $68M | Owner earningsOwner earn. |
| 0.8% | 3.3% | 3.4% | 5.0% | 19.7% | 16.8% | 16.5% | 18.7% | 19.0% | 21.3% | 21.3% | Owner earnings marginOE mgn |
| ($725K) | $734K | $4M | $7M | $27M | $27M | $27M | $40M | $52M | $68M | $68M | Free cash flowFCF |
| −0.6% | 0.6% | 2.8% | 4.5% | 19.7% | 16.8% | 13.7% | 16.9% | 19.0% | 21.3% | 21.3% | Free cash flow marginFCF mgn |
| $0 | — | — | $0 | $0 | $24M | $0 | $0 | $146M | $0 | $0 | AcquisitionsAcquis. |
| -14% | -14% | -17% | -107% | — | — | — | 17% | 9% | 16% | 16% | ROICROIC |
| -10% | -8% | -13% | -47% | -26% | 7% | 13% | 36% | 9% | 12% | 12% | Return on equityROE |
| Balance sheet | |||||||||||
| $49M | $40M | $41M | $47M | $99M | $97M | $113M | $145M | $73M | $117M | $122M | Cash & investmentsCash+inv |
| $16M | $16M | $27M | $36M | $26M | $25M | $22M | $29M | $32M | $43M | $43M | ReceivablesReceiv. |
| $2M | $2M | $2M | $4M | $1M | $7M | $10M | $5M | $5M | $8M | $8M | InventoryInvent. |
| $9M | $8M | $5M | $13M | $6M | $10M | $9M | $9M | $12M | $12M | $12M | Accounts payablePayables |
| $9M | $10M | $24M | $26M | $21M | $22M | $23M | $25M | $24M | $38M | $38M | Operating working capitalOper. WC |
| $74M | $64M | $79M | $93M | $133M | $136M | $155M | $189M | $124M | $184M | $184M | Current assetsCur. assets |
| $46M | $45M | $58M | $69M | $61M | $71M | $79M | $89M | $111M | $125M | $125M | Current liabilitiesCur. liab. |
| 1.6× | 1.4× | 1.4× | 1.3× | 2.2× | 1.9× | 2.0× | 2.1× | 1.1× | 1.5× | 1.5× | Current ratioCurr. ratio |
| $20M | $20M | $20M | $20M | $20M | $33M | $33M | $33M | $131M | $134M | $134M | GoodwillGoodwill |
| $167M | $157M | $164M | $155M | $190M | $214M | $243M | $350M | $434M | $482M | $482M | Total assetsAssets |
| — | — | — | — | — | — | — | $0 | $24M | $0 | $0 | Total debtDebt |
| — | — | — | — | — | — | — | ($145M) | ($49M) | ($117M) | ($122M) | Net debt / (cash)Net debt |
| -760.5× | -1208.0× | -1308.1× | -3784.6× | -1047.9× | 526.6× | — | — | 14.8× | 87.3× | 87.3× | Interest coverageInt. cov. |
| $114M | $108M | $101M | $72M | $80M | $97M | $109M | $236M | $266M | $327M | $327M | Shareholders’ equityEquity |
| 1.9% | 3.7% | 3.1% | 3.2% | 29.2% | 8.9% | 6.5% | 5.9% | 6.4% | 6.8% | 6.8% | Stock comp / revenueSBC/rev |
| Per share | |||||||||||
| 22.6M | 22.8M | 23.0M | 23.2M | 23.5M | 25.5M | 25.9M | 26.8M | 28.3M | 28.4M | 28.4M | Shares out (diluted)Shares |
| $5.65 | $5.59 | $6.11 | $6.92 | $5.85 | $6.38 | $7.64 | $8.85 | $9.75 | $11.25 | $11.25 | Revenue / shareRev/sh |
| $-0.52 | $-0.37 | $-0.57 | $-1.47 | $-0.90 | $0.25 | $0.56 | $3.21 | $0.82 | $1.37 | $1.37 | EPS (diluted)EPS |
| $0.05 | $0.19 | $0.21 | $0.34 | $1.15 | $1.07 | $1.26 | $1.65 | $1.85 | $2.40 | $2.40 | Owner earnings / shareOE/sh |
| $-0.03 | $0.03 | $0.17 | $0.31 | $1.15 | $1.07 | $1.05 | $1.49 | $1.85 | $2.40 | $2.40 | Free cash flow / shareFCF/sh |
| $0.18 | $0.27 | $0.14 | $0.15 | $0.06 | $0.05 | $0.28 | $0.30 | $0.10 | $0.07 | $0.07 | Cap. spending / shareCapex/sh |
| $5.03 | $4.76 | $4.37 | $3.09 | $3.41 | $3.82 | $4.22 | $8.81 | $9.41 | $11.51 | $11.51 | Book value / shareBVPS |
Per-share growththe realized rate an owner's share compounded
| 9-yr | 5-yr | |
|---|---|---|
| Revenue / share | +8.0%/yr | +14.0%/yr |
| Owner earnings / share | +55.5%/yr | +15.8%/yr |
| Capital spending / share | −10.9%/yr | +1.9%/yr |
| Book value / share | +9.6%/yr | +27.6%/yr |
The year, in the company's words
the filing →Verbatim from the 10-K's management discussion. Each sentence is shown only because its subject, direction, and stated figures check out against the filed numbers on this page. The words are the company's; the arithmetic is the record's.
- Subscription and maintenance+21.1%
“Subscription and maintenance revenue increased $35.9 million, or 21.1%, driven by continued growth in subscription-based revenue including $21.3 million and $11.2 million of Book4Time subscription-based revenue during the years ended March 31, 2026 and 2025, respectively.”
✓ figure matches the filed record - Professional Services+12.4%
“Professional services revenue increased $8.0 million, or 12.4%, due to higher sales and service activity as our new and existing customers continue implementing technology to improve their operations.”
✓ figure matches the filed record - Products-0.4%
“Products revenue decreased $0.2 million, or 0.4%, due to increasing customer preference for subscription-based software licenses instead of perpetual software licenses.”
✓ figure matches the filed record
The record, charted
FY2017–2026Each measure over its full record; the current point and the worst year marked.
ROIC
16%low FY2020
Gross margin
63%low FY2017
Owner earnings vs. net income
Owner earningsNet incomeThe accountant's number, and the cash an owner can take; the gap is the tell.
$68Mowner earningsvs.$39Mnet incomelow FY2017
Where the cash went
ReinvestBuybacksDividendsAcquisitionsRetainedBeyond op. cashEach year's outlays against its operating cash: the mix, and how it drifts. The hatched cap is spending beyond that year's operating cash — financed from the balance sheet or borrowing, not operations.
FY2017FY2026
Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.
In fiscal 2026 the business turned $39M of profit into $68M of owner earnings: more cash than the profit line showed, after the non-cash charges and the capital it put back in.
| FY2026 | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|
| Reported net income | $39M | $23M | $86M | $15M | $6M |
| Depreciation & amortizationnon-cash charge added back | +$4M | +$4M | +$4M | +$2M | +$2M |
| Stock-based compensationreal costnon-cash, but a real cost | +$22M | +$18M | +$14M | +$13M | +$15M |
| Working capital & othertiming of cash in and out, other non-cash items | +$6M | +$10M | −$56M | +$5M | +$5M |
| Cash from operations | $70M | $55M | $48M | $34M | $28M |
| Maintenance capital expenditurethe spending needed just to hold position and volume | −$2M | −$3M | −$4M | −$2M | −$1M |
| Owner earnings | $68M | $52M | $44M | $33M | $27M |
| Growth capital expenditurediscretionary; spent to get bigger, not to stand still | — | — | −$4M | −$5M | — |
| Free cash flow | $68M | $52M | $40M | $27M | $27M |
| Owner-earnings marginowner earnings ÷ revenue | 21% | 19% | 19% | 17% | 17% |
Owner earnings is the cash an owner could pull out without starving the business: operating cash less the capital it must spend to hold its position . The cash-flow statement also adds stock comp back as non-cash, but it is a real cost paid in shares; counted as the expense it is (less $22M), owner earnings is nearer $46M.
Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.
Quality & stewardship
Returns, the balance sheet, capital allocation, and pay.
Owner’s Scorecard
FY2026 10-K · source on SEC EDGAR →
Will it survive?
- Can it pay its interest? 87.3×ComfortableOperating income $43M ÷ interest expense $493K
What this means
Operating profit covers interest with the kind of margin Graham wanted for a defensive holding. Necessary, not sufficient, it says solvent, not cheap.
- Net cash, debt-freeCash $117M − debt $0
What this means
Cash and short-term investments exceed every dollar of debt by $117M, on net the company owes nothing, and can act from strength when others can't. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
- TightDSO 49 + DIO 23 − DPO 38 days
What this means
Days cash is tied up between paying suppliers and collecting from customers. Lower is better; a long cycle means growth itself eats cash.
Is it a good business?
- Below average through the cycle7-yr median, range -107%–17%; 16% latest = NOPAT $34M ÷ invested capital $210MIndustry peers: median -8%
What this means
The rate the business earns on the money tied up in it, Buffett's north star, because over time a stock tracks the ROIC beneath it. Above ~15% sustained hints at a moat; a return below the cost of capital (~8%) erodes value as a business grows rather than building it — the test Buffett weighs most. The headline is the median of the last 7 years (it ran 16% most recently), so one peak or trough year doesn't set the verdict. Asset-light businesses (R&D expensed, little capital) read artificially high, pair this with Owner Earnings.
- High through the cycle10-yr median margin, range 1%–21%; latest $68M = operating cash $70M − maintenance capex $2MIndustry peers: median 5%
What this means
What an owner could take out without starving the business: operating cash less the maintenance capital it must spend to hold its position — Buffett's owner earnings. That's 21% of revenue this year, a 17% median across 10 years. Treating stock comp as the real expense it is (less $22M of SBC) leaves $46M.
- Cash-backedCash from ops $70M ÷ net income $39M
What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.
How is the cash used?
- Reinvests most of itDividends + buybacks $1M ÷ Owner Earnings $68M
What this means
Of $68M Owner Earnings, $1M (2%) went back to shareholders, $1M dividends, $0 buybacks. Returning most of it is the mark of a mature business with little left to reinvest at a high return; reinvesting most could mean a long runway, or empire-building. The split doesn't say which; the return earned on it (see ROIC) does.
- Investing or harvesting? 0.48×HarvestingCapex $2M ÷ depreciation $4M
What this means
Descriptive, not a grade. Above ~1× means investing faster than assets wear out (growth, or, sustained for years, today's earnings carrying less depreciation than tomorrow's will). Below means spending less than it's wearing out (efficiency, or a melting asset base). The ratio won't tell you which; the filings will.
Graham’s defensive tests · 1 of 5 met
Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.
- Adequate size MissRevenue ≥ $2B · $319M
What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
- Strong liquidity MissCurrent ratio ≥ 2× · 1.47×
What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
- Conservative debt PassDebt ≤ working capital · $0 vs $59M WC
What this means
Graham's rule that borrowings not exceed net current assets. Capital-heavy and buyback-heavy firms routinely fail it, read it next to interest coverage, not alone.
- Earnings stability MissA profit every year (10-yr record) · 5 loss years
What this means
Graham wanted earnings in each of the past ten years, the stability a defensive owner leans on.
- Dividend record MissUninterrupted dividends · none paid
What this means
An unbroken dividend was Graham's mark of durability. He wanted twenty years; the filings show about ten, and a single suspension breaks the streak. Non-payers, many fine modern compounders, fall outside his defensive net by design.
- Earnings growth —Earnings +33% over the record · —
What this means
Earnings were negative early in the record, a growth rate isn't meaningful.
- Moderate price —P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price
What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $1.75/share (latest year $1.38), the averaged base the calculator's gate runs on, and book value is $11.60/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.
Durability & moat, 2017–2026
Whether the record’s returns held, and what the capital reinvested earned.
- Profitable years 5 of 10
What this means
Lost money in 5 year(s), look at what happened there before trusting the average.
- Return on capital ≥ 15% 2 of 3 yrs
What this means
A moat shows up as a high return on invested capital that holds year after year, not one good vintage.
- Operating margin −9% → 9% (3-yr avg ends)
What this means
Through the cycle the operating margin widened — about −9% early to 9% lately, median −9% — pricing power intact or improving.
- Reinvestment, incremental ROIC returns capital
What this means
The capital base barely grew: this business returns cash through dividends and buybacks rather than reinvesting. Judge it on the cash returned, not on compounding.
- Owner earnings growth +42%/yr
What this means
Owner earnings grew about 42% a year over the record.
- Worst year 2020 · −21.2% op. margin
What this means
Operations went underwater in 2020, understand why before trusting the good years.
- Share count +2.6%/yr
What this means
The share count is rising, dilution works against you on a per-share basis.
Does AI threaten the moat?
Elevated contestabilityThe product is software or information, the very thing capable AI now produces more cheaply, so the moat is more contestable than the record alone implies.
In its own filing A competitive risk, new this year
Its FY2026 10-K names artificial intelligence as a competitive threat, in language that was not in the prior year's filing.
“We use AI in our platform and product offerings, and our success is dependent upon our ability to leverage data, develop competitive products, and manage related risks.”
AI has collapsed the cost of building a capable substitute for the very thing this business sells. When a credible alternative can be assembled for a fraction of the incumbent's price, it is pricing power that erodes first, not revenue tomorrow. The live question is whether the moat survives that, not whether it held in the past. Whether that question is answerable at all is yours to decide, against your own circle of competence.
Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.
All figures as filed; the source filing is linked above.
Current Position
as of fiscal year-end, Mar 31, 2026Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.
Current assets$184M
- Cash & short-term investments$122M
- Receivables$43M
- Inventory$8M
- Other current assets$12M
Current liabilities$125M
- Accounts payable$12M
- Other current liabilities$113M
Current ratio1.47×all current assets ÷ what's due · Graham looked for 2×
Quick ratio1.41×stricter: inventory excluded
Cash ratio0.97×strictest: cash alone against what's due
Working capital$59Mthe cushion left after near-term bills
Revenue, latest quarter vs. a year ago+15.6%the freshest read on whether the business is still growing
Current ratio, recent quarters2.4× → 1.5×
Deeper floors
Tangible book value$127Mequity stripped of goodwill & intangibles
Debt incl. operating leases$19M$19M of it operating leases
Deferred revenue$39Mcustomer cash collected before delivery; operating float
From the company's latest filing.
How the cash was used, 2017–2026
Over the record, the business generated $293M of operating cash; how management split it reads as a balanced allocator, splitting cash between the business, owners, and the balance sheet.
- Reinvested$40M · 14%
- Retained (debt / cash)$253M · 86%
- Source of fundingOperating cash
Operating cash covered reinvestment and returns; over the span cash and short-term investments rose $73M.
- Net change in share count25.5%
The diluted count rose from 23M to 28M: issuance (stock pay, deals) outran any buybacks, so owners were diluted on net.
- Dividend record—
No dividend line was reported in the filing data over the span; the record here neither confirms nor rules out a payout.
- Return on what it retained64%
Of the earnings it kept rather than paid out ($81M over the span), annual owner earnings (first three years vs last three) grew $52M, so each retained $1 added about 0.64 of yearly owner earnings. Buffett's test, run on owner earnings instead of market value.
Buybacks are gross of stock issued to staff; the share-count line above is the net of that, the figure that decides whether owners gained. The average price paid blends a year of purchases (and any accelerated repurchase), so it is close, not exact. The record of where the cash went and on what terms.
Acquisitions & goodwill
from the balance sheet & the 10-year cash-flow recordGoodwill grows only when a company acquires and falls only when it concedes it overpaid. The size of that bet, the cash put into buying rather than building, and how much has already been written off.
Goodwill & intangibles$200M42% of all assets; the premium carried on the balance sheet for businesses acquired
Against book equity41%goodwill is this share of book equity; the rest is the company’s own retained and paid-in capital
Cash spent acquiring$171Mover 10 years buying other businesses, against $40M of capital spent building
None written down over the record; the goodwill is still carried at full cost. That is the deals holding their value on the books so far; whether they keep doing so is the test an owner watches, since the write-down, when it comes, is the admission the price was too high.
Goodwill, acquired intangibles and equity from the latest balance sheet; acquisition spend and write-downs summed across the 10-year record, from the company's own filings.
Management, ownership & pay
read the proxy →From the proxy: how much of the business the people running it own, and how they are paid, beside what the business earned for its owners in the same years.
| Fiscal year | Chief executive | Pay, as filed | “Actually paid” | Owner earnings |
|---|---|---|---|---|
| 2022 | Mr. Srinivasan | $823k | −$206k | $27M |
| 2023 | Mr. Srinivasan | $5.8M | $9.3M | $33M |
| 2024 | Mr. Srinivasan | $1.2M | $990k | $44M |
| 2025 | Mr. Srinivasan | $1.1M | $1.3M | $52M |
| 2026 | Mr. Srinivasan | $1.2M | $1.3M | $68M |
Both pay figures are the company’s own, from the pay-versus-performance table its proxy statement files. “As filed” is the Summary Compensation Table total: salary, bonus, and equity awards at their value on the day of grant. “Actually paid” is the SEC’s prescribed recalculation, which re-marks those equity awards to what they became as they vested; it can swing far above or below the filed figure in either direction, and negative years occur. Owner earnings are the whole business's, from the record above, for the same fiscal years.
- CEO pay ratio25:1
What the chief earns for every dollar the median employee makes, per the 2025 proxy. A high ratio alone settles nothing; some businesses are genuinely top-heavy in scarce skill. A runaway figure is where Buffett starts asking whether the board is doing its job.
- Stock-based compensation$22M
The slice of the business handed to employees in shares this year, 7% of revenue, equal to 51% of operating profit. Buffett's oldest accounting fight: this is compensation, compensation is an expense, real whether or not the headline earnings admit it. One trap: the cash-flow statement adds SBC back, so the operating cash, and the owner earnings drawn from it, are flattered by exactly this amount; counted as the cost it is, what an owner keeps is lower.
Inverting the record
Invert: instead of why Agilysys is a good business, the question is what would make owning it a mistake, and whether those marks are in the record. Disconfirming tests across 2017–2026.
1 of the 5 tests turned up something to look into; the other 4 came back clean.
- Look hereDid the share count rise anyway?25.5%
Diluted shares grew 25.5% over 2017–2026. Owners were diluted on net; each share owns less of the business than it did. Read the buyback line beside this one, not on its own.
And these came back clean
- Is it less profitable than it was?
- Did reported profit become cash?
- Did receivables and inventory outpace sales?
- Are "one-time" charges a yearly habit?
Each test is read from the filings and is noisy alone; a flag can mark a cyclical trough or a year of heavy investment as easily as a problem. The filing says which.
What an owner would ask, FY2026
read the 10-K →- Which reported numbers are a judgment call?Management names Revenue recognition, Stock compensation as critical estimates
each rests partly on management's judgment; the filing's note sets out the assumptionsverify →
The questions the record and the charts do not answer on their own; each carries the figure and the place to look.
Peers, Software
The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.
| Company | Revenue | Gross margin | Op. margin | ROIC | Owner earn. margin |
|---|---|---|---|---|---|
| DSPViant Technology Inc. | $344M | 46% | 1.2% | -8% | 13% |
| AMPLAmplitude Inc. | $343M | 70% | -32.2% | -77% | -4% |
| MKTWMarketWise Inc. | $328M | 57% | 11.6% | — | 14% |
| AGYSAgilysys | $319M | 61% | -2.5% | -14% | 17% |
| DOMODomo, Inc. | $319M | 73% | -34.5% | — | -8% |
| HSTMHealthStream Inc. | $304M | 86% | 5.8% | 4% | 18% |
| OSPNOneSpan Inc. | $243M | 68% | 1.4% | 1% | 5% |
| TLSTelos Corporation | $165M | 36% | -8.5% | -61% | 2% |
| Group median | — | 65% | -0.7% | -11% | 9% |
The price
What a price has to assume.
What the price implies
reverse-DCFType today's close and see the owner-earnings growth you'd have to believe to justify it, beside what Agilysys has delivered.
Agilysys’s latest year runs above its own through-cycle margin — the reported figure may flatter a peak. So the tool opens on the through-cycle base, Graham’s averaging cutting both ways; clear the toggle below to read the latest year exactly as reported.
$
Through the cycle, Agilysys earns about $53M on its 16.6% median owner-earnings margin. This year’s 21.3% margin runs above that; the reported figure may flatter a peak you'd be paying on. Normalize, below, values the price on that through-cycle figure rather than the latest year. It comes pre-checked here for that reason, the same rule that already normalizes a trough; clear it to price the year as filed.
Base
—
The assumptions
9.0% = the 4.55% 10-year Treasury (Jul 15, 2026) + 4.45 points of equity premium. The rate you require is yours to set.
Enter a price above to run it.
A dated snapshot of the price you typed, the assumptions you set, and what the page showed for them. A snapshot is never edited after it is saved. Your notebook is yours alone — the commitment states what is stored and what we will never do.
Implied by the price—
Owner-earnings growth · ’22→’26+19%/yr
Owner-earnings growth · ’17→’26+187%/yr
Owner-earnings growth · ’17→’26+42%/yr
Owner-earnings yield—
What a growth belief costs, in multiples
The growth each return requires, at your price
P/E (3-yr earnings ’24–’26)—
P/B—
Graham’s price gate—
Graham capped the multiple at 15×; Buffett and Munger let that rule go: a wonderful business can deserve 50× if the thesis holds. The gate marks the bargain-hunter's floor.
Against a high-grade bond: Graham’s yardstick bond yield%
Prefilled with the 10-year Treasury (4.55%, as of Jul 15, 2026). Edit it for today’s exact figure, or a AAA corporate yield.
Graham measured a stock against the bond you could own instead, the heart of his margin of safety. Enter a price above to weigh the owner-earnings yield against this bond.
Owner-earnings yield—
High-grade bond yield—
Margin over the bond—
Owner earnings $68M on 28M shares outstanding, per the 10-K cover, as of 2026-05-08; net cash $122M. The base opens on the through-cycle figure (the latest year sits above the record’s own median, and Graham’s averaging cuts both ways); clear Normalize to use the year as filed. Net of stock comp treats option pay as the expense it is. The dials set the multiple a growth belief justifies; the price, and every dollar on this page, is yours.
Cite: Owner Scorecard, "Agilysys (AGYS), the owner's record," https://ownerscorecard.com/c/AGYS, data as of 2026-07-09.
Manual order: ← AGX its page in the Manual AHCO →
Industry order: ← ADSK the Software chapter AI →