QualityDipStocks / Technology · IT services
Jack Henry & Associates JKHY
Outside our quality screen, so we don’t track its dips. It’s 16% below its 52-week high.
Outside our quality screen, trading below our fair value estimate.
- Fair value est.
- $191.27+19%
- Market Value
- forming
- Off 52-wk high
- −16%
- Risk vs market
- Lowbeta −0.11
5 bullish · 4 bearish See why
Key levels
Every level vs today’s $161.34
- 52-wk lowlowest close, 1 year$123.42−23.5%
- PriceFri Oct 30 close$161.34you are here
- Fair value est.base case$191.27+18.6%
- 52-wk highhighest close, 1 year$192.60+19.4%
Fair value estimate
How the range is computed
Ten-year free-cash-flow DCF. Same 10-year free-cash-flow model as the base: discount rate 9.5% ±1 point and growth 7.0% ±2 points. Bear = 10.5% and 5.0%; bull = 8.5% and 9.0% (both fade to 3%). A model estimate from public filings, not a forecast of where the price will go.
Price sits inside the range.
What the price implies To be worth today’s price, JKHY’s free cash flow would need to grow about 4% a year for five years; our estimate uses 7%.
Risk vs market
How risk vs market is measured
One year of daily returns (Oct 30 to Oct 30, 252 sessions). Beta = how much JKHY moved for each 1% move in the S&P 500 (SPY); 1.0 moves with the market. Volatility is the yearly standard deviation of daily returns. Past behavior, not a forecast.
Has moved mostly independently of the market, but its own price swings are 2.3× the S&P 500’s (it moves on its own news).
- Beta vs S&P 500
- -0.11
- Volatility
- 30% vs 13% SPY
- Correlation SPY
- −0.05
- Correlation QQQ
- −0.18
Bull vs bear
Rule-based from the data on this page, strongest first. Not advice.
Top bullish points 5 of 5
ValuationOur DCF fair value estimate is $191.27, 19% above the price.
ValuationP/E of 23.1× vs a 33.9× median for the 138 Technology companies we cover.
ValuationFree-cash-flow yield of 6.0% (price / FCF 16.7×): $695M of free cash in the last 12 months.
ProfitabilityReturn on invested capital of 24%, above the 9.5% discount rate our DCF uses.
ProfitabilityReturn on equity of 24% over the last 12 months, up 4 points in two years.
Top bearish points 4 of 5
GrowthSales grew 7.1% over the last 12 months, below the 18% median for the 163 Technology companies we cover.
ProfitabilityGross margin of 44%, below the 59% median for the 151 Technology companies we cover.
GrowthSales grew 7.0% a year over the last three fiscal years, below the 11% median for the 162 Technology companies we cover.
RiskReports earnings Nov 3 (consensus EPS $2.04): results can move the price sharply and reset Market Value.
Who’s talking about it
Notable investors, executives, analysts and public figures on Jack Henry & Associates in the last 48 hours. Headlines as published, each linked. Their words, not ours.
No notable mentions in the last 48 hours. Checked Nov 1, 9:09 PM ET.
Compare with peers
Closest in size in IT services
All fundamentals
P/E 23.1 · FCF yield 6.0% · ROE 24%
Valuation
- P/E
- 23.1×Technology median 33.9×
- Price / FCF
- 16.7×
- FCF yield
- 6.0%
- EV / EBITDA
- 17.2×
- Price / sales
- 4.57×
- Price / book
- 5.66×
- Market cap
- $11.6Bprice × diluted shares
- Enterprise value
- $11.7B
Growth
- Revenue, 12 months
- $2.5B
- Sales growth, 12 months
- +7.1%vs the 12 months before
- Sales growth, 3 yrs
- +7.0%/yrfrom FY2023
- Diluted EPS, 12 months
- $6.98
- EPS growth, last FY
- +11.9%
- Net income, 12 months
- $503M
- Net income growth
- +10%12 months vs before
Profitability
- Gross margin
- 43.7%
- Operating margin
- 25.0%
- Net margin
- 19.8%
- FCF margin
- 27.3%
- Return on equity
- 24%
- Return on invested capital
- 24%
Balance sheet
- Cash & short-term inv.
- $12M
- Total debt
- $40M
- Net cash
- −$28M
- Debt / equity
- 0.02×
- Interest coverage
- n/ainterest expense not tagged in SEC data
Cash flow & returns
- Free cash flow, 12 months
- $695M
- FCF growth, 12 months
- +18%
- Dividend yield
- 1.47%$170M paid
- Payout ratio
- 34%
- Buybacks, 12 months
- $448M3.9% of market cap
- Share count, 1 year
- −1.4%diluted shares vs a year ago
- Stock-based comp
- $32M
Trailing 12 months to Jun 30, 2026; balance sheet at Jun 30, 2026. From Jack Henry & Associates’s SEC filings. Sparklines show up to six fiscal years. n/a means we don’t hold that number, with the reason. How each is computed.
Valuation details
DCF $191.27 · FCF value $126.05
Assumes 7.0% growth for 5 years (revenue grew 7.0% a year FY23–FY26), fading to 3%; 9.5% discount rate, 3% terminal growth. FCF base $9.65 a share (fiscal year to Jun 30, 2026), from the 10-K filed Aug 28, 2026. Net debt $69M, not deducted.
Setup & signals
No setup armed
No setup armed, so there’s no trigger or stop to track yet. Reversal signal rules only run on companies that pass our quality screen.
Momentum & 52-week range
RSI 61 · 5 days −0.7%
The business
FCF $0.3B · Sales +5%
- Free cash flow, 12 months$0.3B
- Free-cash-flow yield3.1%
- Free-cash-flow margin14%
- Gross margin44%
- Operating margin22%
- Return on invested capital21%
- Return on equity24%
- Sales growth (latest quarter vs year-ago quarter)+5%
- Net debt / EBITDA0.1×
Next report
Nov 3
- DateTue Nov 3, after the close
- Consensus EPS$2.04
- Year-ago EPS$1.97
- QuarterSep/2026
From Nasdaq’s earnings calendar. A report resets Market Value.
Information only, not investment advice. Fair value estimates and talking points are rule-based model output from public data and can be wrong; stop levels are reference points, not orders. How every number is computed.
JKHY is outside our quality screen
One text when a published rule fires on one of the 333 quality companies we track: the ticker, the price, the stop and a link to the numbers. Nothing else.