10 Best Travel Hospitality Software for January 2026
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Market Overview & Selection Criteria
The travel, hospitality, and software sectors continue to show resilience amid evolving consumer behaviors and digital transformation trends. ValueSense analysis highlights companies with strong intrinsic value potential, focusing on metrics like Quality rating, ROIC, revenue growth, and FCF margins. These 10 best stock picks were selected using ValueSense's proprietary screener criteria: Quality rating above 4.9, positive intrinsic value upside where applicable, and exposure to travel-hospitality-software themes. Stocks range from large-cap leaders to small-cap opportunities, emphasizing undervalued names with growth catalysts in booking platforms, field service software, sports betting tech, and hospitality systems. This watchlist prioritizes balanced financial health, with market caps from $53.3M to $48.7B, providing investment opportunities for diversified portfolios.
Featured Stock Analysis
Stock #1: Trip.com Group Limited (TCOM)
| Metric | Value |
|---|---|
| Market Cap | $48.7B |
| Quality Rating | 6.1 |
| Intrinsic Value | $70.4 |
| 1Y Return | 15.0% |
| Revenue | CN¥59.8B |
| Free Cash Flow | CN¥0.0 |
| Revenue Growth | 17.5% |
| FCF margin | 0.0% |
| Gross margin | 80.7% |
| ROIC | 13.0% |
| Total Debt to Equity | 18.8% |
Investment Thesis
Trip.com Group Limited (TCOM), a major player in travel booking, presents a compelling case for value analysis with a Quality rating of 6.1 and intrinsic value of $70.4. The company boasts a substantial market cap of $48.7B, revenue of CN¥59.8B, and revenue growth of 17.5%, supported by an impressive gross margin of 80.7% and ROIC of 13.0%. Despite free cash flow at CN¥0.0 and FCF margin of 0.0%, the 1Y return of 15.0% reflects steady performance. Total debt to equity at 18.8% indicates manageable leverage, positioning TCOM as an undervalued growth stock in the travel sector for investors analyzing long-term recovery trends.
This analysis underscores TCOM's high-margin business model, ideal for educational review of travel tech resilience.
Key Catalysts
- Strong revenue growth of 17.5% signaling travel demand rebound
- Exceptional gross margin of 80.7% highlighting pricing power
- Solid ROIC of 13.0% demonstrating efficient capital use
- Large market cap $48.7B providing stability in volatile markets
Risk Factors
- Zero FCF margin 0.0% raising cash conversion concerns
- Neutral free cash flow (CN¥0.0) amid expansion investments
- Moderate debt to equity 18.8% in cyclical travel industry
Stock #2: ServiceTitan, Inc. (TTAN)
| Metric | Value |
|---|---|
| Market Cap | $9,505.7M |
| Quality Rating | 5.2 |
| Intrinsic Value | $13.6K |
| 1Y Return | 0.1% |
| Revenue | $707.2B |
| Free Cash Flow | $90.2B |
| Revenue Growth | 96,025.2% |
| FCF margin | 12.8% |
| Gross margin | 70.2% |
| ROIC | (11.3%) |
| Total Debt to Equity | 3.6% |
Investment Thesis
ServiceTitan, Inc. (TTAN), focused on field service management software for hospitality and trades, shows a Quality rating of 5.2 with an extraordinary intrinsic value of $13.6K. Its market cap stands at $9,505.7M, driven by explosive revenue of $707.2B and revenue growth of 96,025.2%. Free cash flow reaches $90.2B with a healthy FCF margin of 12.8%, complemented by gross margin of 70.2%. However, ROIC is negative at 11.3%, and 1Y return is modest at 0.1%, with low total debt to equity of 3.6%. This profile suits analysis of high-growth software disrupting hospitality operations.
TTAN's metrics highlight potential in scalable SaaS models, though efficiency improvements are key for sustained value.
Key Catalysts
- Phenomenal revenue growth of 96,025.2% indicating hyper-scaling
- Robust free cash flow $90.2B and FCF margin 12.8%
- High gross margin 70.2% supporting profitability path
- Minimal debt to equity 3.6% for financial flexibility
Risk Factors
- Negative ROIC -11.3% signaling capital inefficiencies
- Low 1Y return 0.1% despite growth hype
- Scale challenges in massive revenue base $707.2B
Stock #3: Sportradar Group AG (SRAD)
| Metric | Value |
|---|---|
| Market Cap | $6,977.1M |
| Quality Rating | 7.1 |
| Intrinsic Value | $33.8 |
| 1Y Return | 33.7% |
| Revenue | €1,228.1M |
| Free Cash Flow | €282.0M |
| Revenue Growth | 16.7% |
| FCF margin | 23.0% |
| Gross margin | 41.8% |
| ROIC | 19.0% |
| Total Debt to Equity | 6.4% |
Investment Thesis
Sportradar Group AG (SRAD), a sports data and betting software provider tied to hospitality entertainment, earns a top Quality rating of 7.1 and intrinsic value of $33.8. With a market cap of $6,977.1M, revenue of €1,228.1M grows at 16.7%, generating free cash flow of €282.0M and FCF margin of 23.0%. Gross margin is 41.8%, ROIC excels at 19.0%, and 1Y return hits 33.7%, bolstered by low total debt to equity of 6.4%. This makes SRAD a standout for undervalued stocks analysis in gaming-tech crossover.
Strong profitability metrics position SRAD as a leader in data-driven hospitality adjacencies.
Key Catalysts
- Highest Quality rating 7.1 among peers
- Excellent ROIC 19.0% and FCF margin 23.0%
- Strong 1Y return 33.7% with steady revenue growth 16.7%
- Low debt to equity 6.4% enhancing stability
Risk Factors
- Moderate gross margin 41.8% vs. software peers
- Euro-denominated revenue €1,228.1M exposed to FX volatility
Stock #4: Agilysys, Inc. (AGYS)
| Metric | Value |
|---|---|
| Market Cap | $3,280.3M |
| Quality Rating | 6.4 |
| Intrinsic Value | $48.7 |
| 1Y Return | -10.9% |
| Revenue | $299.8M |
| Free Cash Flow | $56.2M |
| Revenue Growth | 17.8% |
| FCF margin | 18.7% |
| Gross margin | 61.8% |
| ROIC | 8.2% |
| Total Debt to Equity | 7.0% |
Investment Thesis
Agilysys, Inc. (AGYS) delivers hospitality software solutions with a Quality rating of 6.4 and intrinsic value of $48.7. Market cap is $3,280.3M, revenue $299.8M grows 17.8%, with free cash flow $56.2M and FCF margin 18.7%. Gross margin stands at 61.8%, ROIC 8.2%, despite 1Y return of -10.9% and total debt to equity of 7.0%. AGYS offers balanced stock watchlist appeal for property management tech.
These figures support review of mid-cap growth in hospitality POS systems.
Key Catalysts
- Solid revenue growth 17.8% and FCF margin 18.7%
- Strong gross margin 61.8% for software efficiency
- Healthy Quality rating 6.4 with low debt 7.0%
- Positive free cash flow $56.2M trajectory
Risk Factors
- Negative 1Y return -10.9% amid market pressures
- Modest ROIC 8.2% needing improvement
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Stock #5: EverCommerce Inc. (EVCM)
| Metric | Value |
|---|---|
| Market Cap | $2,088.5M |
| Quality Rating | 6.0 |
| Intrinsic Value | $23.8 |
| 1Y Return | 7.4% |
| Revenue | $612.8M |
| Free Cash Flow | $132.0M |
| Revenue Growth | (11.6%) |
| FCF margin | 21.5% |
| Gross margin | 73.0% |
| ROIC | 3.4% |
| Total Debt to Equity | 0.8% |
Investment Thesis
EverCommerce Inc. (EVCM), providing commerce software for service industries including hospitality, has a Quality rating of 6.0 and intrinsic value of $23.8. Market cap $2,088.5M, revenue $612.8M shows revenue growth of 11.6%, but free cash flow $132.0M yields FCF margin 21.5%. Gross margin 73.0%, ROIC 3.4%, 1Y return 7.4%, and ultra-low total debt to equity 0.8% highlight resilience.
EVCM merits analysis for cash-generative models despite growth dip.
Key Catalysts
- High FCF margin 21.5% and gross margin 73.0%
- Impressive free cash flow $132.0M
- Near-zero debt to equity 0.8% for strength
- Positive 1Y return 7.4%
Risk Factors
- Negative revenue growth -11.6% signaling slowdown
- Low ROIC 3.4%
Stock #6: LSI Industries Inc. (LYTS)
| Metric | Value |
|---|---|
| Market Cap | $560.1M |
| Quality Rating | 6.2 |
| Intrinsic Value | $36.2 |
| 1Y Return | -4.4% |
| Revenue | $592.5M |
| Free Cash Flow | $14.7M |
| Revenue Growth | 22.3% |
| FCF margin | 2.5% |
| Gross margin | 25.0% |
| ROIC | 91.4% |
| Total Debt to Equity | 20.2% |
Investment Thesis
LSI Industries Inc. (LYTS) supports hospitality lighting and displays with Quality rating 6.2 and intrinsic value $36.2. Market cap $560.1M, revenue $592.5M grows 22.3%, free cash flow $14.7M, FCF margin 2.5%. Gross margin 25.0%, standout ROIC 91.4%, 1Y return -4.4%, total debt to equity 20.2%. Exceptional ROIC drives value stocks interest.
Key Catalysts
- Exceptional ROIC 91.4%
- Robust revenue growth 22.3%
- Solid Quality rating 6.2
Risk Factors
- Low FCF margin 2.5% and gross margin 25.0%
- Negative 1Y return -4.4%
Stock #7: Sabre Corporation (SABR)
| Metric | Value |
|---|---|
| Market Cap | $550.0M |
| Quality Rating | 4.9 |
| Intrinsic Value | $14.9 |
| 1Y Return | -62.7% |
| Revenue | $2,893.7M |
| Free Cash Flow | ($3,323.0K) |
| Revenue Growth | (3.6%) |
| FCF margin | (0.1%) |
| Gross margin | 43.2% |
| ROIC | 12.9% |
| Total Debt to Equity | (562.9%) |
Investment Thesis
Sabre Corporation (SABR), a travel software giant, scores Quality rating 4.9 with intrinsic value $14.9. Market cap $550.0M, revenue $2,893.7M declines 3.6%, free cash flow negative $3,323.0K, FCF margin 0.1%. Gross margin 43.2%, ROIC 12.9%, but 1Y return -62.7% and total debt to equity 562.9%. Analysis focuses on recovery potential.
Key Catalysts
- Decent ROIC 12.9% and gross margin 43.2%
- Large revenue base $2,893.7M
Risk Factors
- Severe 1Y return decline -62.7%
- Negative FCF and extreme negative debt to equity -562.9%
- Declining revenue growth -3.6%
Stock #8: Inspired Entertainment, Inc. (INSE)
| Metric | Value |
|---|---|
| Market Cap | $268.1M |
| Quality Rating | 5.5 |
| Intrinsic Value | $72.7 |
| 1Y Return | 1.6% |
| Revenue | $309.9M |
| Free Cash Flow | $25.2M |
| Revenue Growth | 4.0% |
| FCF margin | 8.1% |
| Gross margin | 26.8% |
| ROIC | (10.3%) |
| Total Debt to Equity | (4,175.6%) |
Investment Thesis
Inspired Entertainment, Inc. (INSE) offers gaming software for hospitality with Quality rating 5.5 and high intrinsic value $72.7. Market cap $268.1M, revenue $309.9M grows 4.0%, free cash flow $25.2M, FCF margin 8.1%. Gross margin 26.8%, ROIC 10.3%, 1Y return 1.6%, total debt to equity 4,175.6%. Upside potential stands out.
Key Catalysts
- Attractive intrinsic value $72.7
- Positive FCF $25.2M and growth 4.0%
Risk Factors
- Negative ROIC -10.3%
- Extreme negative debt to equity -4,175.6%
Stock #9: Gambling.com Group Limited (GAMB)
| Metric | Value |
|---|---|
| Market Cap | $185.6M |
| Quality Rating | 6.0 |
| Intrinsic Value | $13.1 |
| 1Y Return | -63.9% |
| Revenue | $154.5M |
| Free Cash Flow | $30.2M |
| Revenue Growth | 24.2% |
| FCF margin | 19.5% |
| Gross margin | 93.2% |
| ROIC | 0.6% |
| Total Debt to Equity | 66.0% |
Investment Thesis
Gambling.com Group Limited (GAMB) provides affiliate software for betting with Quality rating 6.0 and intrinsic value $13.1. Market cap $185.6M, revenue $154.5M grows 24.2%, free cash flow $30.2M, FCF margin 19.5%. Exceptional gross margin 93.2%, low ROIC 0.6%, 1Y return -63.9%, total debt to equity 66.0%.
Key Catalysts
- Stellar gross margin 93.2% and revenue growth 24.2%
- Strong FCF margin 19.5%
Risk Factors
- Sharp 1Y return drop -63.9%
- Elevated debt to equity 66.0%
Stock #10: Bragg Gaming Group Inc. (BRAG)
| Metric | Value |
|---|---|
| Market Cap | $53.3M |
| Quality Rating | 5.2 |
| Intrinsic Value | $17.2 |
| 1Y Return | -42.0% |
| Revenue | €105.5M |
| Free Cash Flow | (€1,901.0K) |
| Revenue Growth | 7.4% |
| FCF margin | (1.8%) |
| Gross margin | 55.4% |
| ROIC | (7.3%) |
| Total Debt to Equity | 11.2% |
Investment Thesis
Bragg Gaming Group Inc. (BRAG), a B2B gaming platform for hospitality, has Quality rating 5.2 and intrinsic value $17.2. Market cap $53.3M, revenue €105.5M grows 7.4%, but free cash flow negative €1,901.0K, FCF margin 1.8%. Gross margin 55.4%, ROIC 7.3%, 1Y return -42.0%, total debt to equity 11.2%.
Key Catalysts
- Decent revenue growth 7.4% and gross margin 55.4%
Risk Factors
- Negative FCF and ROIC -7.3%
- Significant 1Y return loss -42.0%
Portfolio Diversification Insights
This stock watchlist clusters around travel-hospitality-software, with TCOM and SABR anchoring travel booking (large-cap stability), TTAN/EVCM/AGYS in service/hospitality software (mid-cap growth), and SRAD/INSE/GAMB/BRAG/LYTS in gaming/display tech (small-cap upside). Sector allocation: 40% travel tech, 30% hospitality software, 30% gaming adjacencies. Pair high-ROIC names like SRAD 19.0% with cash-generative EVCM for balance; avoid overexposure to negative FCF like SABR/BRAG. Cross-references show SRAD's strength complementing TCOM's scale, reducing cyclical risks while capturing software margins averaging 60%+.
Market Timing & Entry Strategies
Consider positions during travel season ramps or post-earnings with positive sentiment, targeting intrinsic value discounts >20% (e.g., TCOM at $70.4). Use dollar-cost averaging for volatile small-caps like GAMB/BRAG; monitor revenue growth >15% for entries. Scale into leaders like SRAD on dips below 52-week highs, aligning with ValueSense screener signals for undervalued stocks to buy.
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FAQ Section
How were these stocks selected?
These 10 best stock picks were filtered via ValueSense criteria emphasizing Quality rating, intrinsic value, ROIC, and travel-hospitality-software exposure for diversified investment ideas.
What's the best stock from this list?
Sportradar (SRAD) leads with the highest Quality rating 7.1, top ROIC 19.0%, and 33.7% 1Y return, ideal for growth-oriented analysis.
Should I buy all these stocks or diversify?
Diversify across large-caps like TCOM and small-caps like BRAG to balance risk; allocate based on market cap and sector overlap for optimal portfolio construction.
What are the biggest risks with these picks?
Key concerns include negative FCF (SABR, BRAG), high negative debt (SABR, INSE), and 1Y declines (GAMB -63.9%, SABR -62.7%), amplifying cyclical travel volatility.
When is the best time to invest in these stocks?
Target entries on intrinsic value pullbacks or revenue acceleration signals, using ValueSense charting for timing against historical ROIC trends.