Agilysys, Inc. (AGYS) vs SoundHound AI, Inc. (SOUN)

Agilysys, Inc. and SoundHound AI, Inc. are both Software Application companies. Agilysys, Inc. and SoundHound AI, Inc. are of similar size ($2.8B and $2.8B). SoundHound AI, Inc. has negative trailing earnings, so its P/E is not meaningful; Agilysys, Inc. trades at 65.1×. SoundHound AI, Inc. grew revenue faster over the last twelve months: 54.6% against 14.4%. Agilysys, Inc. has the higher net margin (13.0% vs −67.1%) and the higher return on invested capital (14.1% vs −30.3%). Across the 16 metrics below, Agilysys, Inc. leads on 11 and SoundHound AI, Inc. on 5.

Valuation

Metric AGYS SOUN Software Application median
P/E 65.12 n/m 24.79
P/S 8.48 12.82 2.67
P/B 8.28 5.31 3.01
Price to free cash flow 34.81 n/m 16.59
EV/EBITDA 46.09 n/m 14.40
EV/Sales 8.14 12.03 2.62
Earnings yield 1.54% (5.45%) 0.00%
Free cash flow yield 2.87% (4.81%) 1.91%

Profitability

Metric AGYS SOUN Software Application median
Gross margin 63.06% 42.29% 67.03%
Operating margin 14.60% (68.55%) 0.00%
Net margin 12.99% (67.10%) 0.00%
Free cash flow margin 24.35% (61.66%) 4.32%
Return on equity 13.80% (32.08%) 0.00%
Return on assets 9.54% (21.86%) 0.00%
Return on invested capital 14.05% (30.26%) 0.00%

Growth

Metric AGYS SOUN Software Application median
Revenue growth (TTM) 14.38% 54.58% 12.40%
EPS growth (last fiscal year) 67.07% 96.71% —
Revenue growth, 5-year CAGR 18.41% — 13.72%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric AGYS SOUN Software Application median
Debt to equity 0.00 0.00 0.02
Current ratio 1.74 3.91 1.55
Net debt to EBITDA (2.19) (16.15) 0.06

Dividend

Metric AGYS SOUN Software Application median
Dividend yield — — 1.25%
Payout ratio 0.00 — 0.00

Size

Metric AGYS SOUN Software Application median
Market cap 2.81b 2.76b 396.11m

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