Agilysys Story

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32% of stocks are less volatile than Agilysys, and 99% of all traded equity instruments are projected to make higher returns than the company over the 90 days investment horizon. While some risk-seeking retail investors are getting worried about technology space, it is reasonable to sum up Agilysys as a possible investment alternative. What exactly are Agilysys shareholders getting in August?
Published over a month ago
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Are Agilysys investors ready to exit?
The company currently holds 15.38 M in liabilities with Debt to Equity (D/E) ratio of 0.21, which may suggest Agilysys is not taking enough advantage from borrowing. Agilysys has a current ratio of 1.32, which is within standard range for the sector.

How important is Agilysys's Liquidity

Agilysys financial leverage refers to using borrowed capital as a funding source to finance Agilysys ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Agilysys financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between Agilysys's total debt and its cash.

How Agilysys utilizes its cash?

To perform a cash flow analysis of Agilysys, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Agilysys is receiving and how much cash it distributes out in a given period. The Agilysys cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities. Agilysys Net Cash Flow from Operations is relatively stable at the moment as compared to the past year. Agilysys reported last year Net Cash Flow from Operations of 10.57 Million

Details

The entity reported the previous year's revenue of 160.76 M. Net Loss for the year was (34.07 M) with profit before overhead, payroll, taxes, and interest of 80.95 M.

Agilysys has a fair chance to close above $18.24 mark in August

Latest market risk adjusted performance indicator falls down to -0.28. Possible price gain? Agilysys exhibits very low volatility with skewness of -3.1 and kurtosis of 17.89. However, we advise investors to further study Agilysys technical indicators to make sure all market info is available and is reliable.

Our Final Take On Agilysys

While some other firms in the software?application industry are either recovering or due for a correction, Agilysys may not be as strong as the others in terms of longer-term growth potentials. With an impartial outlook on the current market volatility, it may be better to hold off any inventment activity and neither take in nor exit any shares of Agilysys at this time. The Agilysys risk-reward trade off is not appealing enough to do any trading. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Agilysys.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Agilysys. Please refer to our Terms of Use for any information regarding our disclosure principles.

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