Monett, Missouri-based Jack Henry & Associates, Inc. (JKHY) is a financial technology company that connects people and financial institutions through technology solutions and payment processing services that reduce the barriers to financial health. With a market cap of $13.2 billion, the company also performs data conversion and software installation and customization for the implementation of its systems along with continuing customer maintenance.

Companies worth $10 billion or more are generally described as “large-cap stocks,” and JKHY fits right into that category with its market cap exceeding this threshold, reflecting its substantial size, influence, and dominance in the information technology services industry. JKHY's investment in R&D demonstrates its commitment to innovation, enhancing existing products and leading in new financial technologies. Its flexible on-premise and cloud-based solutions, combined with exceptional customer service and robust data security, drive strong client retention and position JKHY as a trusted partner for financial institutions.

Despite its notable strength, JKHY slipped 7.6% from its 52-week high of $196, achieved on Mar. 10. Over the past three months, JKHY stock rose 4.7%, outperforming the Dow Jones Industrials Average’s ($DOWI) 1.2% gains during the same time frame.

In the longer term, shares of JKHY rose 3.3% on a YTD basis, outperforming DOWI’s YTD gains of 1.3%. However, the stock climbed 8.8% over the past 52 weeks, underperforming DOWI’s 9.3% returns over the last year.

To confirm the bullish trend, JKHY has been trading above its 50-day and 200-day moving averages since early May. 

On May 6, JKHY shares closed down marginally after reporting its Q3 results. Its EPS of $1.52 beat Wall Street expectations of $1.29. The company’s revenue was $585.1 million, failing to meet Wall Street forecasts of $586.8 million. JKHY expects full-year adjusted EPS to be between $5.83 and $5.87, and expects adjusted revenue in the range of $2.33 billion to $2.34 billion.

JKHY’s rival, Fidelity National Information Services, Inc. (FIS) has lagged behind the stock, with a 1.7% uptick on a YTD basis and 8.7% gains over the past 52 weeks.

Wall Street analysts are cautious on JKHY’s prospects. The stock has a consensus “Hold” rating from the 18 analysts covering it, and the mean price target of $186.28 suggests a potential upside of 2.9% from current price levels.