Jack Henry & Associates, Inc.
- Open
- 139.40
- Day high
- 142.18
- Day low
- 139.37
- Prev close
- 137.74
- Volume
- 59K
- Mkt cap
- $9.6B
- P/E (TTM)
- 18.9
- EPS (TTM)
- $7.51
- P/B
- 4.5
- P/S
- 3.8
- Yield
- 1.76%
- Per share
- $2.38
- ▲Insiders net buying $317K over the last 3 months (2 open-market buys, 0 sales)
- ◆Cluster buying — multiple insiders bought within days
- 🏛Institutions mixed (13F)
Jack Henry & Associates, Inc. (JKHY) is a Technology company listed on NASDAQ. The stock is down 28% over the past year. Over the trailing 3 months, insiders filed 2 open-market buys and 0 sales (SEC Form 4). Drillr has 1 published research article covering JKHY.
Jack Henry & Associates, Inc. (JKHY) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 3 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
JKHY earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 6, 2026 | $1.43 | $1.71 | +19.6% | $636M | +2.7% |
| Feb 3, 2026 | $1.43 | $1.72 | +20.3% | $619M | +0.4% |
| Nov 4, 2025 | $1.71 | $1.97 | +15.2% | $645M | +1.4% |
| Aug 19, 2025 | $1.58 | $1.75 | +10.8% | $615M | +1.8% |
| Feb 4, 2025 | $1.37 | $1.34 | -2.2% | $574M | -2.2% |
| Aug 20, 2024 | $1.32 | $1.38 | +4.5% | $560M | -0.6% |
| Feb 6, 2024 | $1.14 | $1.26 | +10.5% | $546M | +0.9% |
| Aug 15, 2023 | $1.18 | $1.34 | +13.6% | $535M | +4.3% |
| May 2, 2023 | $1.10 | $1.12 | +1.8% | $509M | -0.8% |
| Feb 7, 2023 | $1.11 | $1.10 | -0.9% | $505M | -2.0% |
| Aug 16, 2022 | $1.00 | $1.10 | +10.0% | $483M | +0.5% |
| May 3, 2022 | $1.06 | $1.16 | +9.4% | $478M | +0.3% |
JKHY insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| May 14, 2026 | Adelson Gregory R.director, officer: President & CEO | Buy | 2,000 | $133.42 |
| May 14, 2026 | Carsley Mimiofficer: CFO and Treasurer | Buy | 375 | $134.12 |
| Jan 5, 2026 | McLachlan Shanon G.officer: COO | Tax | 67 | $182.48 |
| Jan 5, 2026 | McLachlan Shanon G.officer: COO | Option | 183 | — |
| Dec 19, 2025 | Carsley Mimiofficer: CFO and Treasurer | Grant | 5,350 | — |
| Dec 3, 2025 | Foss David Bdirector | Sell | 20,000 | $174.92 |
| Nov 18, 2025 | WIMSETT THOMAS Adirector | Grant | 1,220 | — |
| Nov 18, 2025 | Campbell Curtis Adirector | Grant | 1,220 | — |
| Nov 18, 2025 | FLANIGAN MATTHEW Cdirector | Grant | 1,220 | — |
| Nov 18, 2025 | Wilson Thomas Hampton Jr.director | Grant | 1,220 | — |
| Nov 18, 2025 | Foss David Bdirector | Grant | 1,220 | — |
| Nov 18, 2025 | Nelson Lisa Mdirector | Grant | 1,220 | — |
| Nov 18, 2025 | Miyashiro Shruti Sdirector | Grant | 1,220 | — |
| Nov 18, 2025 | Brown Wesley Adirector | Grant | 1,220 | — |
| Nov 18, 2025 | LoCascio Tammydirector | Grant | 1,220 | — |
Source: JKHY SEC Form 4 filings, latest May 14, 2026. For informational purposes only — not investment advice.
See the full JKHY insider & 13F page →Jack Henry & Associates, Inc. company profile
Overview
Jack Henry & Associates, Inc. (NASDAQ:JKHY) is a Missouri-based technology company founded in 1976 that has grown to become a leading provider of integrated technology solutions for the financial services industry. The company went public in 1985 and has established itself as a critical technology partner for banks and credit unions across the United States. Jack Henry operates through four main business segments and serves financial institutions ranging from small community banks to multi-billion-dollar asset institutions, providing the core processing systems and complementary technology solutions that these organizations rely on for their daily operations.
Business
Jack Henry & Associates operates in the financial technology sector, specifically providing core banking systems and related technology solutions to financial institutions. The company's business revolves around three primary brands that serve different market segments within the financial services industry. The Jack Henry Banking brand offers core data processing solutions for banks, including SilverLake (designed for commercial-focused banks), CIF 20/20 (a parameter-driven system for community banks), and Core Director (a cost-efficient system with point-and-click operation). These systems handle the fundamental banking operations including deposit processing, loan management, and general ledger functions while maintaining centralized customer information. The Symitar brand provides Episys, a robust core processing system specifically designed for credit unions. This platform handles the unique operational requirements of credit unions, which differ from traditional banks in their member-focused cooperative structure. The ProfitStars brand delivers specialized complementary solutions including financial performance tools, imaging and payment processing, information security and risk management, retail delivery systems, and online and mobile banking solutions. These products serve both the company's core banking clients and external financial institutions. The company's revenue is distributed across four segments: Core (approximately 50-55% of revenue), Payments (approximately 25-30%), Complementary (approximately 15-20%), and Corporate and Other. The Core segment represents the foundation of the business, providing the essential processing systems that financial institutions cannot operate without. The Payments segment handles electronic payment processing and related services, while the Complementary segment offers additional software solutions and services that enhance the core banking experience.
Revenue model
Jack Henry generates revenue through multiple complementary business models centered around recurring revenue streams. The company primarily makes money through software licensing and subscription fees for its core banking systems, which represent the largest portion of revenue. Financial institutions pay ongoing fees to use Jack Henry's processing systems, creating a highly predictable recurring revenue base that accounts for approximately 92% of total revenue. The company also generates significant revenue from transaction processing fees, particularly in its Payments segment, where it earns fees based on the volume of electronic payments, card transactions, and other financial transactions processed through its systems. Additionally, Jack Henry earns revenue from professional services including implementation, training, consulting, and ongoing support services. The company also resells hardware systems and provides hosting services through its private cloud infrastructure. The paying customers are primarily banks and credit unions of various sizes, from small community institutions to large regional banks with billions in assets. These financial institutions view Jack Henry's systems as mission-critical infrastructure, creating strong customer retention rates exceeding 99% for core clients. Several factors influence Jack Henry's margins and profitability. Positive margin drivers include the company's ongoing migration of clients to its private cloud infrastructure, which reduces operational costs while improving service delivery. The shift toward higher-margin recurring revenue streams, technology modernization that improves operational efficiency, and the scalable nature of software licensing also support margin expansion. The company's focus on key revenue (cloud and processing revenue) which grew 9.8% in recent quarters, represents higher-margin business compared to traditional on-premise implementations. Margin pressures can arise from increased competition in the fintech space, the substantial ongoing investments required for technology modernization and cloud infrastructure, higher personnel costs for skilled technology workers, and the need to continuously innovate to maintain competitive positioning. Economic downturns affecting the banking sector could also impact demand for new implementations and complementary services, though the mission-critical nature of core banking systems provides significant defensive characteristics.
Competitive moat
Jack Henry & Associates possesses a strong economic moat built primarily on high switching costs and network effects within the financial services industry. The company's core banking systems are deeply embedded in their clients' daily operations, handling critical functions like deposit processing, loan management, and regulatory compliance. Switching from one core banking system to another is an extremely complex, expensive, and risky undertaking that can take years to complete and cost millions of dollars, creating substantial switching costs that protect Jack Henry's client base. The company's moat is further strengthened by its comprehensive ecosystem of integrated solutions. Financial institutions that use Jack Henry's core systems can more easily adopt additional products like digital banking platforms (Banno), payment processing solutions, and fraud prevention tools, creating cross-selling opportunities and deepening client relationships. This integrated approach makes it increasingly difficult for competitors to displace Jack Henry, as clients would need to replace multiple interconnected systems rather than just one. Jack Henry's strong reputation for reliability and customer service, evidenced by client satisfaction scores of 4.74 out of 5 and core client retention rates exceeding 99%, creates additional defensive positioning. The regulatory environment in banking also favors established providers with proven track records of compliance and security. However, the moat faces potential challenges from several directions. Cloud-native fintech companies are developing modern alternatives that could appeal to younger financial institutions or those seeking more flexible solutions. Large technology companies like Amazon, Microsoft, and Google are increasingly interested in financial services infrastructure, potentially bringing significant resources to compete. Additionally, regulatory changes that promote open banking could reduce switching costs over time by making it easier to integrate different systems and migrate data. The company is actively addressing these challenges through its technology modernization strategy, developing cloud-native, API-first platforms that should help maintain its competitive position. Nevertheless, the financial services technology landscape is evolving rapidly, and Jack Henry must continue investing heavily in innovation to preserve its moat.
Risks & safety
Jack Henry demonstrates a solid margin of safety with strong financial fundamentals, though trading at premium valuations typical of quality technology companies. Financial Strength: • Low debt levels with debt-to-equity ratio of 0.08, indicating minimal solvency risk • Strong cash generation with operating cash flow of $568 million in FY 2024 • Free cash flow of $336 million in FY 2024, though currently lower due to technology investments • Current ratio of 1.36, adequate for operational needs • 92% recurring revenue provides predictable cash flows Valuation Metrics: • P/E ratio of approximately 30x, reflecting premium valuation for quality and growth • EV/EBITDA of 17.2x, reasonable for a technology company with strong moat • Price-to-book ratio of 6.5x, elevated but justified by asset-light business model • Revenue growing 7-8% annually with margin expansion initiatives Other Considerations: • Mission-critical nature of products provides recession resilience • High client retention rates (99%+) support revenue stability • Technology modernization investments temporarily impacting free cash flow conversion • Strong competitive position in defensive industry vertical
Recent development
Over the past few years, Jack Henry has undergone significant strategic transformation focused on technology modernization and cloud migration. The company has been developing a cloud-native, API-first platform to replace its legacy systems, with components like domestic/international wires, data broker, and entitlement already live, and additional modules including exception processing and general ledger in beta testing. The company expects to deliver digital retail and commercial deposit-only core capabilities by 2026. A major operational shift has been the migration of clients to private cloud infrastructure, with 76% of clients now processing in Jack Henry's private cloud compared to traditional on-premise installations. This migration improves operational efficiency, reduces costs, and enables better service delivery while generating higher-margin recurring revenue. The company has significantly expanded its digital banking capabilities through the Banno platform, which now serves over 1,000 retail clients with 13.7 million registered users, representing substantial growth from 3.2 million users in 2020. The Banno Business platform for commercial banking has also gained traction with 270 live implementations. Strategic acquisitions and partnerships have enhanced Jack Henry's capabilities, including the Payrailz acquisition for digital payments and a partnership with Move for SMB payment solutions. The company has also invested heavily in fraud prevention and security solutions through its Financial Crimes Defender platform, reflecting the increasing importance of cybersecurity in financial services. Jack Henry has achieved notable success in winning larger financial institution clients, with 28 new core wins year-to-date totaling $30 billion in assets, including institutions over $1 billion in assets. This represents a strategic shift toward serving larger, more sophisticated financial institutions while maintaining its community bank and credit union base. The company has also embraced faster payment technologies, with hundreds of clients now using services like Zelle, RTP (Real-Time Payments), and FedNow, positioning Jack Henry at the forefront of payment innovation trends that are reshaping the banking industry.
JKHY company profile · for informational purposes only — not investment advice.
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