Jack Henry & Associates (NASDAQ:JKHY) Reaches New 1-Year Low - Here's Why

Key Points

• Jack Henry & Associates shares hit a new 52-week low at $151.10, with significant trading volume of over 3 million shares.
• Analysts have mixed ratings on the stock, with three recommending a Buy, seven a Hold, and one a Sell, leading to a consensus target price of $182.33.
• The company recently declared a quarterly dividend of $0.58 per share, reflecting a yield of 1.5% and a payout ratio of 37.18%.

Jack Henry & Associates, Inc. (NASDAQ:JKHY - Get Free Report)'s stock price reached a new 52-week low during trading on Monday . The stock traded as low as $151.69 and last traded at $151.10, with a volume of 3452842 shares changing hands. The stock had previously closed at $154.47.

Analyst Ratings Changes

Several research firms recently commented on JKHY. DA Davidson set a $204.00 price target on Jack Henry & Associates in a report on Friday, August 22nd. Robert W. Baird cut their target price on Jack Henry & Associates from $195.00 to $185.00 and set a "neutral" rating for the company in a research note on Wednesday, August 20th. Royal Bank Of Canada cut their target price on Jack Henry & Associates from $203.00 to $185.00 and set a "sector perform" rating for the company in a research note on Thursday, August 21st. Keefe, Bruyette & Woods cut their target price on Jack Henry & Associates from $183.00 to $178.00 and set a "market perform" rating for the company in a research note on Thursday, August 21st. Finally, UBS Group cut their target price on Jack Henry & Associates from $185.00 to $175.00 and set a "neutral" rating for the company in a research note on Thursday, August 21st. Three equities research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $182.33.

Jack Henry & Associates Price Performance

The stock has a 50 day moving average price of $165.49 and a two-hundred day moving average price of $173.33. The firm has a market capitalization of $11.04 billion, a price-to-earnings ratio of 24.27, a PEG ratio of 2.71 and a beta of 0.79.

Jack Henry & Associates (NASDAQ:JKHY - Get Free Report) last issued its quarterly earnings data on Tuesday, August 19th. The technology company reported $1.75 earnings per share for the quarter, beating analysts' consensus estimates of $1.50 by $0.25. Jack Henry & Associates had a return on equity of 22.60% and a net margin of 19.19%.The business had revenue of $615.37 million during the quarter, compared to analysts' expectations of $602.20 million. During the same period in the previous year, the firm posted $1.33 earnings per share. The company's revenue was up 9.9% on a year-over-year basis. Jack Henry & Associates has set its FY 2026 guidance at EPS. As a group, research analysts expect that Jack Henry & Associates, Inc. will post 5.83 earnings per share for the current fiscal year.

Jack Henry & Associates Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, September 26th. Stockholders of record on Friday, September 5th will be paid a $0.58 dividend. The ex-dividend date of this dividend is Friday, September 5th. This represents a $2.32 dividend on an annualized basis and a dividend yield of 1.5%. Jack Henry & Associates's payout ratio is presently 37.18%.

Insider Buying and Selling

In related news, Director David B. Foss sold 5,780 shares of the business's stock in a transaction on Monday, August 4th. The stock was sold at an average price of $167.28, for a total transaction of $966,878.40. Following the completion of the transaction, the director directly owned 139,265 shares of the company's stock, valued at $23,296,249.20. The trade was a 3.98% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. 1.37% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Assetmark Inc. grew its stake in Jack Henry & Associates by 147.5% during the 1st quarter. Assetmark Inc. now owns 250 shares of the technology company's stock worth $46,000 after purchasing an additional 149 shares in the last quarter. Charles Schwab Investment Management Inc. lifted its holdings in Jack Henry & Associates by 1.0% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 625,991 shares of the technology company's stock worth $114,306,000 after buying an additional 6,342 shares during the last quarter. Tandem Investment Advisors Inc. lifted its holdings in Jack Henry & Associates by 14.5% during the 1st quarter. Tandem Investment Advisors Inc. now owns 649,236 shares of the technology company's stock worth $118,550,000 after buying an additional 82,414 shares during the last quarter. Bridges Investment Management Inc. lifted its holdings in Jack Henry & Associates by 82.7% during the 1st quarter. Bridges Investment Management Inc. now owns 6,720 shares of the technology company's stock worth $1,227,000 after buying an additional 3,041 shares during the last quarter. Finally, Penserra Capital Management LLC lifted its holdings in Jack Henry & Associates by 928.9% during the 1st quarter. Penserra Capital Management LLC now owns 5,340 shares of the technology company's stock worth $974,000 after buying an additional 4,821 shares during the last quarter. 98.75% of the stock is owned by institutional investors and hedge funds.

Jack Henry & Associates Company Profile

Jack Henry & Associates, Inc is a financial technology company, which engages in the provision of technology solutions and payment processing services. It operates through the following segments: Core, Payments, Complementary, and Corporate and Other. The Core segment provides core information processing platforms to banks and credit unions which consist of integrated applications required to process deposit, loan, and general ledger transactions, and maintain centralized customer and member information.