PEGA vs AGYS

For growth investors, Pegasystems Inc.

(PEGA) is the stronger pick with 16. 6% revenue growth year-over-year, versus 16. 1% for Agilysys, Inc. (AGYS). Pegasystems Inc. (PEGA) offers the better valuation at 17. 2x trailing P/E (13. 5x forward), making it the more compelling value choice. Analysts rate Pegasystems Inc. (PEGA) a "Buy" — based on 23 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Pegasystems Inc.

(PEGA) is the cheapest at 17. 2x versus Agilysys, Inc. at 88. 9x. On forward P/E, Pegasystems Inc. is actually cheaper at 13. 5x.

Over the past 5 years, Agilysys, Inc.

(AGYS) delivered a total return of +39. 8%, compared to -38. 3% for Pegasystems Inc. (PEGA). Over 10 years, the gap is even starker: AGYS returned +571. 5% versus PEGA's +188. 8%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Agilysys, Inc.

(AGYS) is the lower-risk stock at 0. 87β versus Pegasystems Inc. 's 1. 16β — meaning PEGA is approximately 33% more volatile than AGYS relative to the S&P 500. On balance sheet safety, Pegasystems Inc. (PEGA) carries a lower debt/equity ratio of 10% versus 18% for Agilysys, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Pegasystems Inc.

(PEGA) is pulling ahead at 16. 6% versus 16. 1% for Agilysys, Inc. (AGYS). On earnings-per-share growth, the picture is similar: Pegasystems Inc. grew EPS 287. 3% year-over-year, compared to -74. 1% for Agilysys, Inc.. Over a 3-year CAGR, AGYS leads at 19. 2% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Pegasystems Inc.

(PEGA) is the more profitable company, earning 22. 5% net margin versus 8. 4% for Agilysys, Inc. — meaning it keeps 22. 5% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: PEGA leads at 15. 1% versus 8. 2% for AGYS. At the gross margin level — before operating expenses — PEGA leads at 75. 9%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Pegasystems Inc.

(PEGA) trades at 13. 5x forward P/E versus 44. 3x for Agilysys, Inc. — 30. 8x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for PEGA: 54. 1% to $56. 60.

In this comparison, PEGA (0.

2% yield) pays a dividend. AGYS does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Agilysys, Inc.

(AGYS) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 87), +571. 5% 10Y return). Both have compounded well over 10 years (AGYS: +571. 5%, PEGA: +188. 8%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Technology sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.