Jack Henry & Associates, Inc.

Jack Henry & Associates provides technology solutions for financial institutions. The company operates through four segments: Core, Payments, Complementary, and Corporate and Other. It offers transaction processing solutions for banks and credit unions, as well as specialized services like information security and risk management. Jack Henry also provides a suite of integrated applications for deposit, loan, and general ledger transactions. Additionally, the company offers complementary products and services to help financial institutions respond to customer demands. The companys core banking platform offerings include SilverLake, CIF 20/20, and Core Director.

Overview

Sector

IT Services

Target Price

84.2 USD

Current Price

166.8 USD

Potential

-50%

Strengths

The company has low debt. Net Debt to EBITDA Ratio is 0.16 and it is lower than the sector mean.
The company has high returns. ROIC (28.51%) is higher than the sector mean (15.63%).
Strong EBITDA Margin of 32.24%.

Weaknesses

With a depreciation Potential of -49.29%, based on our fundamental analysis, it suggests the stock may be overvalued.
Price to book ratio (6.57) is significantly higher than the sector mean (4.87).

Key Financial Data

Indicator	Value
PER	31.8
EV/EBITDA	17.2
Price/Free Cash Flow'	36.2
ROIC	28.5%
Net Debt/EBITDA	0.2