Agora, Inc. shows strong buy potential with double-digit growth despite low valuation and AI investment risks.

Agora, Inc. maintains a strong buy rating as it continues to deliver double-digit revenue growth, despite trading at a low EV/Sales multiple of 0.58x. The company is investing early in conversational AI, which has led to a gross margin contraction to 63.4%, but future scaling partnerships are expected to improve margins. Recent changes in disclosures and a move to short-term cash deposits suggest possible management buyout activity. While there are risks from AI giants developing their own infrastructure, Agora's solid fundamentals and cash reserves provide confidence against a structural decline.