JACK HENRY & ASSOCIATES INC (JKHY) Fundamental Analysis & Valuation

NASDAQ:JKHY • US4262811015

Current stock price

153.31 USD
-3.89 (-2.47%)
At close:
153.31 USD
0 (0%)
After Hours:

This JKHY fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

8

1. JKHY Profitability Analysis

1.1 Basic Checks

  • JKHY had positive earnings in the past year.
  • JKHY had a positive operating cash flow in the past year.
  • Each year in the past 5 years JKHY has been profitable.
  • Each year in the past 5 years JKHY had a positive operating cash flow.
JKHY Yearly Net Income VS EBIT VS OCF VS FCFJKHY Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M

1.2 Ratios

  • JKHY has a better Return On Assets (16.58%) than 96.00% of its industry peers.
  • With an excellent Return On Equity value of 23.03%, JKHY belongs to the best of the industry, outperforming 88.00% of the companies in the same industry.
  • JKHY's Return On Invested Capital of 18.41% is amongst the best of the industry. JKHY outperforms 94.00% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for JKHY is significantly above the industry average of 8.07%.
  • The 3 year average ROIC (16.83%) for JKHY is below the current ROIC(18.41%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 16.58%
ROE 23.03%
ROIC 18.41%
ROA(3y)13.75%
ROA(5y)13.87%
ROE(3y)21.63%
ROE(5y)22.96%
ROIC(3y)16.83%
ROIC(5y)17.31%
JKHY Yearly ROA, ROE, ROICJKHY Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20 25

1.3 Margins

  • JKHY has a better Profit Margin (20.59%) than 79.00% of its industry peers.
  • In the last couple of years the Profit Margin of JKHY has grown nicely.
  • Looking at the Operating Margin, with a value of 25.87%, JKHY is in the better half of the industry, outperforming 73.00% of the companies in the same industry.
  • JKHY's Operating Margin has been stable in the last couple of years.
  • JKHY has a better Gross Margin (43.84%) than 68.00% of its industry peers.
  • In the last couple of years the Gross Margin of JKHY has remained more or less at the same level.
Industry RankSector Rank
OM 25.87%
PM (TTM) 20.59%
GM 43.84%
OM growth 3Y-0.67%
OM growth 5Y1.08%
PM growth 3Y0.9%
PM growth 5Y1.88%
GM growth 3Y0.63%
GM growth 5Y1.03%
JKHY Yearly Profit, Operating, Gross MarginsJKHY Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40

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8

2. JKHY Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so JKHY is creating value.
  • JKHY has about the same amout of shares outstanding than it did 1 year ago.
  • JKHY has less shares outstanding than it did 5 years ago.
  • There is no outstanding debt for JKHY. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
JKHY Yearly Shares OutstandingJKHY Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M
JKHY Yearly Total Debt VS Total AssetsJKHY Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

2.2 Solvency

  • An Altman-Z score of 11.15 indicates that JKHY is not in any danger for bankruptcy at the moment.
  • The Altman-Z score of JKHY (11.15) is better than 97.00% of its industry peers.
  • The Debt to FCF ratio of JKHY is 0.04, which is an excellent value as it means it would take JKHY, only 0.04 years of fcf income to pay off all of its debts.
  • JKHY has a Debt to FCF ratio of 0.04. This is amongst the best in the industry. JKHY outperforms 92.00% of its industry peers.
  • A Debt/Equity ratio of 0.01 indicates that JKHY is not too dependend on debt financing.
  • JKHY's Debt to Equity ratio of 0.01 is amongst the best of the industry. JKHY outperforms 87.00% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.01
Debt/FCF 0.04
Altman-Z 11.15
ROIC/WACC2.05
WACC8.98%
JKHY Yearly LT Debt VS Equity VS FCFJKHY Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B

2.3 Liquidity

  • JKHY has a Current Ratio of 1.60. This is a normal value and indicates that JKHY is financially healthy and should not expect problems in meeting its short term obligations.
  • JKHY has a better Current ratio (1.60) than 71.00% of its industry peers.
  • A Quick Ratio of 1.60 indicates that JKHY should not have too much problems paying its short term obligations.
  • JKHY has a better Quick ratio (1.60) than 73.00% of its industry peers.
Industry RankSector Rank
Current Ratio 1.6
Quick Ratio 1.6
JKHY Yearly Current Assets VS Current LiabilitesJKHY Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. JKHY Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an impressive 25.63% over the past year.
  • The Earnings Per Share has been growing by 10.08% on average over the past years. This is quite good.
  • JKHY shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.41%.
  • The Revenue has been growing slightly by 6.96% on average over the past years.
EPS 1Y (TTM)25.63%
EPS 3Y8.1%
EPS 5Y10.08%
EPS Q2Q%28.36%
Revenue 1Y (TTM)8.41%
Revenue growth 3Y6.93%
Revenue growth 5Y6.96%
Sales Q2Q%7.93%

3.2 Future

  • JKHY is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.59% yearly.
  • The Revenue is expected to grow by 6.79% on average over the next years.
EPS Next Y9.38%
EPS Next 2Y7.7%
EPS Next 3Y7.94%
EPS Next 5Y9.59%
Revenue Next Year6.87%
Revenue Next 2Y6.59%
Revenue Next 3Y6.57%
Revenue Next 5Y6.79%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
JKHY Yearly Revenue VS EstimatesJKHY Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 1B 2B 3B
JKHY Yearly EPS VS EstimatesJKHY Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2 4 6 8

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2

4. JKHY Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 22.03, the valuation of JKHY can be described as rather expensive.
  • JKHY's Price/Earnings ratio is in line with the industry average.
  • Compared to an average S&P500 Price/Earnings ratio of 25.23, JKHY is valued at the same level.
  • Based on the Price/Forward Earnings ratio of 21.18, the valuation of JKHY can be described as rather expensive.
  • JKHY's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. JKHY is more expensive than 65.00% of the companies in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 22.51. JKHY is around the same levels.
Industry RankSector Rank
PE 22.03
Fwd PE 21.18
JKHY Price Earnings VS Forward Price EarningsJKHY Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as JKHY.
  • JKHY's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 23.52
EV/EBITDA 13.41
JKHY Per share dataJKHY EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • JKHY has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.35
PEG (5Y)2.18
EPS Next 2Y7.7%
EPS Next 3Y7.94%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. JKHY Dividend Analysis

5.1 Amount

  • With a Yearly Dividend Yield of 1.48%, JKHY has a reasonable but not impressive dividend return.
  • Compared to an average industry Dividend Yield of 2.50, JKHY has a dividend in line with its industry peers.
  • JKHY's Dividend Yield is slightly below the S&P500 average, which is at 1.90.
Industry RankSector Rank
Dividend Yield 1.48%

5.2 History

  • The dividend of JKHY is nicely growing with an annual growth rate of 6.38%!
  • JKHY has paid a dividend for at least 10 years, which is a reliable track record.
  • JKHY has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.38%
Div Incr Years21
Div Non Decr Years34
JKHY Yearly Dividends per shareJKHY Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.5 1 1.5 2

5.3 Sustainability

  • JKHY pays out 33.20% of its income as dividend. This is a sustainable payout ratio.
  • The dividend of JKHY is growing, but earnings are growing more, so the dividend growth is sustainable.
DP33.2%
EPS Next 2Y7.7%
EPS Next 3Y7.94%
JKHY Yearly Income VS Free CF VS DividendJKHY Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M 400M
JKHY Dividend Payout.JKHY Dividend Payout, showing the Payout Ratio.JKHY Dividend Payout.PayoutRetained Earnings

More info and screens

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JKHY Fundamentals: All Metrics, Ratios and Statistics

JACK HENRY & ASSOCIATES INC

NASDAQ:JKHY (3/27/2026, 4:10:10 PM)

After market: 153.31 0 (0%)

153.31

-3.89 (-2.47%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)02-03
Earnings (Next)04-28
Inst Owners104.58%
Inst Owner Change6.46%
Ins Owners0.5%
Ins Owner Change-1.79%
Market Cap11.06B
Revenue(TTM)2.46B
Net Income(TTM)507.37M
Analysts82.61
Price Target207.65 (35.44%)
Short Float %5.26%
Short Ratio3.75
Dividend
Industry RankSector Rank
Dividend Yield 1.48%
Yearly Dividend2.26
Dividend Growth(5Y)6.38%
DP33.2%
Div Incr Years21
Div Non Decr Years34
Ex-Date03-05
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.32%
Min EPS beat(2)12.89%
Max EPS beat(2)17.75%
EPS beat(4)4
Avg EPS beat(4)12.26%
Min EPS beat(4)8.73%
Max EPS beat(4)17.75%
EPS beat(8)6
Avg EPS beat(8)6.36%
EPS beat(12)9
Avg EPS beat(12)6.16%
EPS beat(16)12
Avg EPS beat(16)5.47%
Revenue beat(2)0
Avg Revenue beat(2)-0.4%
Min Revenue beat(2)-0.5%
Max Revenue beat(2)-0.29%
Revenue beat(4)0
Avg Revenue beat(4)-0.86%
Min Revenue beat(4)-2.46%
Max Revenue beat(4)-0.21%
Revenue beat(8)0
Avg Revenue beat(8)-1.59%
Revenue beat(12)1
Avg Revenue beat(12)-1.07%
Revenue beat(16)1
Avg Revenue beat(16)-1.36%
PT rev (1m)1.89%
PT rev (3m)12.09%
EPS NQ rev (1m)-0.2%
EPS NQ rev (3m)-2.59%
EPS NY rev (1m)3.29%
EPS NY rev (3m)3.6%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)0.44%
Revenue NY rev (1m)0.55%
Revenue NY rev (3m)0.59%
Valuation
Industry RankSector Rank
PE 22.03
Fwd PE 21.18
P/S 4.49
P/FCF 23.52
P/OCF 15.62
P/B 5.02
P/tB 16.69
EV/EBITDA 13.41
EPS(TTM)6.96
EY4.54%
EPS(NY)7.24
Fwd EY4.72%
FCF(TTM)6.52
FCFY4.25%
OCF(TTM)9.81
OCFY6.4%
SpS34.15
BVpS30.53
TBVpS9.19
PEG (NY)2.35
PEG (5Y)2.18
Graham Number69.14
Profitability
Industry RankSector Rank
ROA 16.58%
ROE 23.03%
ROCE 23.84%
ROIC 18.41%
ROICexc 18.6%
ROICexgc 44.49%
OM 25.87%
PM (TTM) 20.59%
GM 43.84%
FCFM 19.09%
ROA(3y)13.75%
ROA(5y)13.87%
ROE(3y)21.63%
ROE(5y)22.96%
ROIC(3y)16.83%
ROIC(5y)17.31%
ROICexc(3y)17.2%
ROICexc(5y)17.73%
ROICexgc(3y)48.04%
ROICexgc(5y)49.96%
ROCE(3y)21.8%
ROCE(5y)22.42%
ROICexgc growth 3Y-4.31%
ROICexgc growth 5Y-1.72%
ROICexc growth 3Y-2.47%
ROICexc growth 5Y1.1%
OM growth 3Y-0.67%
OM growth 5Y1.08%
PM growth 3Y0.9%
PM growth 5Y1.88%
GM growth 3Y0.63%
GM growth 5Y1.03%
F-Score9
Asset Turnover0.81
Health
Industry RankSector Rank
Debt/Equity 0.01
Debt/FCF 0.04
Debt/EBITDA 0.02
Cap/Depr 114.6%
Cap/Sales 9.65%
Interest Coverage 85.3
Cash Conversion 83.79%
Profit Quality 92.71%
Current Ratio 1.6
Quick Ratio 1.6
Altman-Z 11.15
F-Score9
WACC8.98%
ROIC/WACC2.05
Cap/Depr(3y)112.57%
Cap/Depr(5y)107.06%
Cap/Sales(3y)10.06%
Cap/Sales(5y)9.8%
Profit Quality(3y)75.19%
Profit Quality(5y)81.91%
High Growth Momentum
Growth
EPS 1Y (TTM)25.63%
EPS 3Y8.1%
EPS 5Y10.08%
EPS Q2Q%28.36%
EPS Next Y9.38%
EPS Next 2Y7.7%
EPS Next 3Y7.94%
EPS Next 5Y9.59%
Revenue 1Y (TTM)8.41%
Revenue growth 3Y6.93%
Revenue growth 5Y6.96%
Sales Q2Q%7.93%
Revenue Next Year6.87%
Revenue Next 2Y6.59%
Revenue Next 3Y6.57%
Revenue Next 5Y6.79%
EBIT growth 1Y24.54%
EBIT growth 3Y6.22%
EBIT growth 5Y8.12%
EBIT Next Year45.7%
EBIT Next 3Y18.89%
EBIT Next 5Y16.01%
FCF growth 1Y122.78%
FCF growth 3Y9.42%
FCF growth 5Y4.27%
OCF growth 1Y64.87%
OCF growth 3Y8.33%
OCF growth 5Y4.67%

JACK HENRY & ASSOCIATES INC / JKHY Fundamental Analysis FAQ

What is the ChartMill fundamental rating of JACK HENRY & ASSOCIATES INC (JKHY) stock?

ChartMill assigns a fundamental rating of 6 / 10 to JKHY.


What is the valuation status for JKHY stock?

ChartMill assigns a valuation rating of 2 / 10 to JACK HENRY & ASSOCIATES INC (JKHY). This can be considered as Overvalued.


What is the profitability of JKHY stock?

JACK HENRY & ASSOCIATES INC (JKHY) has a profitability rating of 8 / 10.


What are the PE and PB ratios of JACK HENRY & ASSOCIATES INC (JKHY) stock?

The Price/Earnings (PE) ratio for JACK HENRY & ASSOCIATES INC (JKHY) is 22.03 and the Price/Book (PB) ratio is 5.02.


What is the expected EPS growth for JACK HENRY & ASSOCIATES INC (JKHY) stock?

The Earnings per Share (EPS) of JACK HENRY & ASSOCIATES INC (JKHY) is expected to grow by 9.38% in the next year.