Jack Henry (JKHY) got here out with quarterly earnings of $0.95 per share, beating the Zacks Consensus Estimate of $0.86 per share. This compares to earnings of $0.96 per share a yr in the past. These figures are adjusted for non-recurring objects.
This quarterly report represents an earnings shock of 10.47%. 1 / 4 in the past, it was anticipated that this fee processsing firm would publish earnings of $0.88 per share when it really produced earnings of $0.94, delivering a shock of 6.82%.
During the last 4 quarters, the corporate has surpassed consensus EPS estimates 4 occasions.
Jack Henry, which belongs to the Zacks Electronics – Miscellaneous Providers business, posted revenues of $433.78 million for the quarter ended March 2021, lacking the Zacks Consensus Estimate by 0.65%. This compares to year-ago revenues of $429.41 million. The corporate has topped consensus income estimates simply as soon as during the last 4 quarters.
The sustainability of the inventory’s fast value motion primarily based on the recently-released numbers and future earnings expectations will largely rely on administration’s commentary on the earnings name.
Jack Henry shares have added about 1.3% because the starting of the yr versus the S&P 500’s achieve of 12.1%.
What’s Subsequent for Jack Henry?
Whereas Jack Henry has underperformed the market to date this yr, the query that involves traders’ minds is: what’s subsequent for the inventory?
There are not any straightforward solutions to this key query, however one dependable measure that may assist traders handle that is the corporate’s earnings outlook. Not solely does this embody present consensus earnings expectations for the approaching quarter(s), but in addition how these expectations have modified currently.
Empirical analysis reveals a robust correlation between near-term inventory actions and traits in earnings estimate revisions. Buyers can observe such revisions by themselves or depend on a tried-and-tested score instrument just like the Zacks Rank, which has a powerful observe document of harnessing the ability of earnings estimate revisions.
Forward of this earnings launch, the estimate revisions pattern for Jack Henry was combined. Whereas the magnitude and route of estimate revisions may change following the corporate’s just-released earnings report, the present standing interprets right into a Zacks Rank #3 (Maintain) for the inventory. So, the shares are anticipated to carry out consistent with the market within the close to future. You may see the entire record of in the present day’s Zacks #1 Rank (Sturdy Purchase) shares right here.
It will likely be attention-grabbing to see how estimates for the approaching quarters and present fiscal yr change within the days forward. The present consensus EPS estimate is $0.90 on $441.94 million in revenues for the approaching quarter and $3.89 on $1.75 billion in revenues for the present fiscal yr.
Buyers needs to be conscious of the truth that the outlook for the business can have a fabric influence on the efficiency of the inventory as nicely. When it comes to the Zacks Trade Rank, Electronics – Miscellaneous Providers is at present within the prime 48% of the 250 plus Zacks industries. Our analysis reveals that the highest 50% of the Zacks-ranked industries outperform the underside 50% by an element of greater than 2 to 1.
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Jack Henry & Associates, Inc. (JKHY): Free Inventory Evaluation Report
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The views and opinions expressed herein are the views and opinions of the creator and don’t essentially mirror these of Nasdaq, Inc.