Hospitality industry software provider Agilysys (NASDAQ:AGYS) will be reporting earnings tomorrow after the bell. Here’s what investors should know.
Agilysys beat analysts’ revenue expectations by 1.1% last quarter, reporting revenues of $68.28 million, up 16.5% year on year. It was a very strong quarter for the company, with an impressive beat of analysts’ EBITDA estimates and full-year revenue guidance topping analysts’ expectations.
Is Agilysys a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Agilysys’s revenue to grow 20.8% year on year to $73.15 million, in line with the 21.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.34 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Agilysys has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 1.4% on average.
Looking at Agilysys’s peers in the vertical software segment, only Adobe has reported results so far. It beat analysts’ revenue estimates by 1.2%, delivering year-on-year sales growth of 11.1%. The stock was down 13.7% on the results.
Read our full analysis of Adobe’s earnings results here.Investors in the vertical software segment have had steady hands going into earnings, with share prices flat over the last month. Agilysys is down 7.8% during the same time and is heading into earnings with an average analyst price target of $151.50 (compared to the current share price of $125.76).
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