NEW YORK, May 19, 2026, 10:04 EDT
- Agilysys shares jumped around 28% Tuesday morning. The hospitality software company reported record fiscal fourth-quarter revenue.
- The company is targeting fiscal 2027 revenue between $365 million and $370 million, and said subscription revenue should grow at least 30%.
- Oppenheimer bumped its price target to $100 from $90 and stuck with an Outperform. Needham stayed at Buy with its $120 target unchanged.
Agilysys shares jumped early Tuesday after the hospitality software company posted a record fiscal fourth quarter and issued a revenue outlook for fiscal 2027 that beat expectations.
The stock jumped 28% to $89.96 in recent trading, hitting an intraday peak of $94.25 earlier. More than 555,000 shares had changed hands, well above normal for the small-cap software company. The Invesco QQQ Trust, which tracks the Nasdaq-100, slipped about 0.5%.
Agilysys is pushing to show investors that subscription revenue can take the place of weaker one-time product sales. The company, known for software for hotels, resorts, casinos and restaurants, is counting on recurring subscription fees to offer more predictability than hardware or license sales.
Agilysys reported net revenue of $82.9 million for the fiscal fourth quarter ended March 31, up 11.7%. For the full year, revenue came in at $319.3 million, a 15.9% gain. Subscription revenue for the year jumped 30.2%.
Agilysys CEO Ramesh Srinivasan said the company just posted its “17th consecutive record revenue quarter” and now sees fiscal 2027 revenue in the range of $365 million to $370 million. Adjusted EBITDA is expected to run at 24% of revenue, Srinivasan said. agilysys.com
Agilysys is entering fiscal 2027 with what CEO Srinivasan called “excellent visibility” on the earnings call, backed by higher subscription ARR from last year. Srinivasan also said a major property-management-system project should stretch beyond a single year, suggesting the rollout could drive revenue for more than one fiscal period. Investing.com
Agilysys’s latest outlook got analysts moving. Oppenheimer bumped its price target for the stock to $100 from $90 and kept its Outperform call, MT Newswires said on MarketScreener.
Agilysys NASDAQ:AGYS stuck with a Buy at Needham & Company, which also held its $120 price target, MarketBeat said. The firm pointed to adjusted EPS of 63 cents and revenue of $82.95 million, both topping estimates cited by MarketBeat.
The rally was more noticeable compared to peers. Shares of PAR Technology gained roughly 5%. NCR Voyix traded up about 1%.
Risks remain for Agilysys. The company is forecasting another strong year for subscription growth, but that puts pressure on hitting targets. Any delays in implementation, softening hotel tech budgets, or slower launches at big clients could be a problem. Shares started Tuesday trading well under their 52-week high, showing investors have already cut the stock once this year.
U.S. markets were trading as usual. Nasdaq’s normal hours are 9:30 a.m. to 4 p.m. Eastern. The next U.S. market holiday on the calendar is Memorial Day, May 25.
