Jack Henry & Associates, Inc. (JKHY) Soars to 52-Week High, Time to Cash Out?

Core Viewpoint - Jack Henry (JKHY) has shown strong stock performance, with a 5.1% increase over the past month and a 13% gain since the start of the year, outperforming the broader technology sector and the electronics services industry [1][2]. Financial Performance - Jack Henry reported an EPS of $1.38 in its last earnings report, exceeding the consensus estimate of $1.3, although it missed the revenue estimate by 0.62% [2]. - For the current fiscal year, earnings are projected at $5.82 per share on revenues of $2.37 billion, reflecting an 11.28% increase in EPS and a 7.13% increase in revenues [3]. - The next fiscal year is expected to see earnings of $6.29 per share on $2.54 billion in revenues, indicating year-over-year changes of 8.05% and 7.03%, respectively [3]. Valuation Metrics - Jack Henry's current valuation metrics show a trading multiple of 31.7X current fiscal year EPS estimates, aligning with the peer industry average [7]. - The trailing cash flow basis shows a trading multiple of 23.2X compared to the peer group's average of 22.2X, and the stock has a PEG ratio of 3.39, which is not competitive from a value perspective [7]. Style Scores and Zacks Rank - Jack Henry has a Value Score of D, while its Growth and Momentum Scores are both B, resulting in a combined VGM Score of B [6]. - The stock holds a Zacks Rank of 2 (Buy), supported by rising earnings estimates, indicating potential for future performance [8].