Melvin L. Keating, a director at Agilysys Inc. (NASDAQ:AGYS), recently sold a total of 5,420 shares of the company's common stock. The transactions, which took place on November 6 and 7, were executed at prices ranging from $114.19 to $117.55 per share. These sales amounted to a total value of approximately $625,361.
Following these transactions, Keating holds 39,587 shares of Agilysys stock. The sales were carried out as part of routine portfolio management, and the company has not disclosed any specific reasons for the transactions. Agilysys is a provider of hospitality software solutions, and its stock is listed on the NASDAQ exchange under the ticker AGYS.
In other recent news, Agilysys has been the subject of positive developments. Oppenheimer increased Agilysys' stock price target from $120.00 to $135.00, maintaining an Outperform rating, based on the company's business momentum and growth prospects. This optimism follows a meeting with Agilysys CFO Dave Wood and is influenced by factors such as the company's increasing product penetration and the impact of the Book4Time deal.
Agilysys reported record revenues for the 11th consecutive quarter, with a significant 16.5% increase year-over-year to $68.3 million. The acquisition of Book4Time, a spa management software provider, is projected to enhance Agilysys' market position by boosting its customer properties by 30%. Recurring revenue also experienced a 21% growth to $41.4 million, with subscription revenue up by 36.6%.
The company's services revenue reached a record $16.3 million, up 39.2% from the prior year, despite a downward trend in product revenue by approximately 10%. Full-year revenue guidance has been raised to between $280 million and $285 million, with subscription revenue growth projected to exceed 38%. These recent developments reinforce the positive outlook for Agilysys, despite anticipated challenges in the U.S. food service management vertical and APAC region.
InvestingPro Insights
The recent stock sale by Agilysys Inc. (NASDAQ:AGYS) director Melvin L. Keating comes at a time when the company's shares are trading near their 52-week high. According to InvestingPro data, AGYS's stock price is currently at 97.74% of its 52-week high, with a closing price of $122.89 as of the last trading session.
This strong performance is reflected in the company's financial metrics. Agilysys has shown impressive revenue growth, with a 17.05% increase over the last twelve months as of Q2 2025, reaching $254.58 million. The company's profitability is also noteworthy, with a gross profit margin of 62.53% for the same period.
InvestingPro Tips highlight that Agilysys has seen significant returns recently, with a 50.21% price total return over the past six months. This aligns with the timing of Keating's stock sale, potentially indicating a favorable market for insiders to realize gains.
It's worth noting that while the company is trading at high valuation multiples, including a P/E ratio of 34.62, analysts remain optimistic. An InvestingPro Tip reveals that four analysts have revised their earnings upwards for the upcoming period, suggesting confidence in Agilysys's future performance.
For investors seeking a more comprehensive analysis, InvestingPro offers 16 additional tips for Agilysys, providing a deeper understanding of the company's financial health and market position.
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