Agilysys: Buy The Post-Earnings Dip, Deal Delays Are Only Transitory
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Agilysys, a hospitality software company, experienced a ~20% stock drop after revising its FY25 outlook due to weaker POS software sales. Despite this, the company is expected to benefit from a major deal with Marriott starting in the second half of 2025.
January 23, 2025 | 2:15 pm
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Agilysys' stock fell ~20% after a negative FY25 outlook update due to softer POS software sales. However, a significant deal with Marriott is expected to positively impact revenue in the latter half of 2025.
The ~20% stock drop is a direct reaction to the revised FY25 outlook, indicating immediate negative sentiment. However, the Marriott deal suggests potential long-term revenue growth, but this will not impact the short-term stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100