Latest Ratios: P/E Ratio 23.5x · EV/EBITDA 13.6x · ROE 21.4%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $10.6B | $13.2B | $12.1B | $12.2B | $13.2B | $12.4B | $14.2B | $10.4B | $10.1B | $8.1B | $7.0B |
| Enterprise Value | $10.5B | $13.1B | $12.0B | $12.3B | $13.5B | $12.4B | $13.9B | $10.3B | $10.1B | $8.1B | $6.9B |
| P/E Ratio → | 23.51 | 28.87 | 31.74 | 33.33 | 36.44 | 39.69 | 47.68 | 38.05 | 26.88 | 33.08 | 27.97 |
| P/S Ratio | 4.47 | 5.54 | 5.47 | 5.89 | 6.81 | 7.04 | 8.34 | 6.67 | 6.58 | 5.68 | 5.14 |
| P/B Ratio | 5.03 | 6.18 | 5.69 | 6.64 | 8.22 | 8.95 | 9.14 | 7.83 | 7.98 | 7.88 | 6.98 |
| P/FCF | 18.05 | 22.38 | 23.78 | 35.72 | 28.15 | 39.49 | 42.51 | 27.44 | 27.19 | 25.77 | 22.53 |
| P/OCF | 16.55 | 20.52 | 21.34 | 32.06 | 26.22 | 24.51 | 27.73 | 24.03 | 24.54 | 22.75 | 19.06 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 5.50 | 5.43 | 5.94 | 6.94 | 7.07 | 8.22 | 6.65 | 6.56 | 5.63 | 5.08 |
| EV / EBITDA | 13.60 | 16.88 | 17.44 | 18.38 | 20.69 | 17.85 | 25.24 | 16.69 | 15.79 | 15.89 | 14.02 |
| EV / EBIT | 18.49 | 21.89 | 23.37 | 25.21 | 28.42 | 31.19 | 36.64 | 29.66 | 28.16 | 23.58 | 19.03 |
| EV / FCF | — | 22.20 | 23.58 | 36.05 | 28.71 | 39.70 | 41.88 | 27.35 | 27.10 | 25.57 | 22.31 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 42.7% | 42.7% | 41.3% | 41.3% | 41.9% | 39.5% | 40.6% | 40.6% | 43.1% | 42.8% | 42.9% |
| Operating Margin | 23.9% | 23.9% | 22.1% | 23.1% | 24.4% | 22.7% | 22.4% | 22.4% | 25.5% | 25.7% | 26.7% |
| Net Profit Margin | 19.2% | 19.2% | 17.2% | 17.6% | 18.7% | 17.7% | 17.5% | 17.5% | 24.5% | 17.2% | 18.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 21.4% | 21.4% | 19.2% | 21.2% | 24.3% | 21.3% | 20.7% | 21.0% | 32.8% | 24.2% | 25.0% |
| ROA | 15.0% | 15.0% | 12.8% | 12.9% | 13.9% | 12.8% | 13.3% | 13.3% | 19.0% | 13.2% | 13.6% |
| ROIC | 21.0% | 21.0% | 18.4% | 18.8% | 21.4% | 21.5% | 22.2% | 21.1% | 26.7% | 29.1% | 29.8% |
| ROCE | 22.7% | 22.7% | 20.4% | 21.2% | 22.8% | 20.7% | 21.8% | 22.2% | 26.2% | 27.9% | 28.0% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | — | — | — | 0.08 | 0.17 | 0.08 | 0.00 | — | — | 0.05 | 0.00 |
| Debt / EBITDA | — | — | — | 0.22 | 0.42 | 0.17 | 0.00 | — | — | 0.10 | 0.00 |
| Net Debt / Equity | — | -0.05 | -0.05 | 0.06 | 0.16 | 0.05 | -0.14 | -0.02 | -0.02 | -0.06 | -0.07 |
| Net Debt / EBITDA | -0.13 | -0.13 | -0.15 | 0.17 | 0.40 | 0.10 | -0.39 | -0.05 | -0.05 | -0.13 | -0.14 |
| Debt / FCF | — | -0.17 | -0.20 | 0.33 | 0.56 | 0.21 | -0.64 | -0.08 | -0.08 | -0.21 | -0.23 |
| Interest Coverage | 57.14 | 57.14 | 31.40 | 32.49 | 199.10 | 348.53 | 553.24 | 375.98 | 186.50 | 343.34 | 253.12 |
Net cash position: cash ($102M) exceeds total debt ($0)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.27 | 1.27 | 1.27 | 1.00 | 1.20 | 1.13 | 1.35 | 1.21 | 0.96 | 1.10 | 0.52 |
| Quick Ratio | 1.27 | 1.27 | 1.27 | 1.00 | 1.20 | 1.13 | 1.35 | 1.21 | 0.88 | 1.02 | 0.52 |
| Cash Ratio | 0.19 | 0.19 | 0.19 | 0.06 | 0.02 | 0.09 | 0.43 | 0.20 | 0.06 | 0.24 | 0.11 |
| Asset Turnover | — | 0.78 | 0.73 | 0.71 | 0.70 | 0.72 | 0.70 | 0.76 | 0.75 | 0.75 | 0.75 |
| Inventory Turnover | — | — | — | — | — | — | — | — | 21.58 | 19.82 | — |
| Days Sales Outstanding | — | 48.86 | 52.39 | 59.59 | 69.28 | 75.13 | 69.25 | 72.89 | 73.95 | 75.76 | 68.42 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.5% | 1.3% | 1.3% | 1.2% | 1.1% | 1.1% | 0.9% | 1.1% | 1.0% | 1.1% | 1.2% |
| Payout Ratio | 36.1% | 36.1% | 40.8% | 40.2% | 38.3% | 44.6% | 43.0% | 43.7% | 27.9% | 37.3% | 33.8% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.3% | 3.5% | 3.2% | 3.0% | 2.7% | 2.5% | 2.1% | 2.6% | 3.7% | 3.0% | 3.6% |
| FCF Yield | 5.5% | 4.5% | 4.2% | 2.8% | 3.6% | 2.5% | 2.4% | 3.6% | 3.7% | 3.9% | 4.4% |
| Buyback Yield | 0.3% | 0.3% | 0.2% | 0.2% | 1.5% | 1.6% | 0.5% | 0.5% | 0.5% | 1.6% | 2.5% |
| Total Shareholder Yield | 1.9% | 1.5% | 1.5% | 1.4% | 2.5% | 2.7% | 1.4% | 1.7% | 1.5% | 2.7% | 3.7% |
| Shares Outstanding | — | $73M | $73M | $73M | $73M | $76M | $77M | $77M | $78M | $78M | $80M |
Bank charter consolidation headwinds
According to current market data, JKHY trades at a forward P/E of 19.71, which, when compared to the broader fintech sector, suggests investors are paying a premium for the company's highly predictable, recurring revenue model and its dominant position within the U.S. community banking and credit union ecosystem.
The current valuation multiple appears to bake in a safety premium, reflecting the market's confidence in the company's ability to maintain margins despite industry-wide consolidation. While the PEG ratio of 2.15 indicates that the stock is not cheap on a growth-adjusted basis, the valuation remains supported by the non-discretionary nature of its core processing services.
Based on reported financial figures, JKHY has maintained a stable ROIC trend, with the metric reaching 5.2% in 2026Q3, a performance that highlights the company's ability to generate consistent returns on its invested capital despite the high costs associated with maintaining legacy core banking platforms.
The company's return profile is largely a function of its high-margin recurring revenue streams and disciplined capital allocation. While the ROIC appears modest in absolute terms, it reflects the heavy investment required for proprietary software development and the maintenance of private cloud infrastructure, which serves as a significant barrier to entry for potential competitors.
As reported in recent quarterly filings, JKHY's DSO has remained relatively steady, hovering around 44 days in 2026Q3, which indicates that the company maintains effective control over its receivables despite the long-term, complex nature of its core banking implementation contracts with mid-tier financial institutions.
The stability in DSO suggests that the company's billing and collection processes are well-aligned with its client base, minimizing the risk of bad debt. Investors should monitor the lack of inventory data, which is typical for a software-centric business, and focus instead on the efficiency of the service-heavy implementation cycles that drive the majority of the company's working capital requirements.
Based on the latest balance sheet data, JKHY's debt-to-equity ratio of 0.04 in 2026Q3 underscores a conservative capital structure that provides the company with significant financial flexibility to navigate potential industry headwinds or pursue strategic tuck-in acquisitions without the burden of heavy interest obligations.
The company's interest coverage ratio, which stood at 112.76 in 2026Q3, confirms that debt service is not a material risk to the business. This minimal leverage position is a key differentiator compared to larger, more acquisition-heavy peers, allowing JKHY to prioritize internal product development and shareholder returns over debt repayment.
The P/E ratio is frequently misapplied to JKHY, as it fails to account for the significant non-cash charges and lumpy deconversion fees that can distort reported earnings, potentially leading analysts to underestimate the underlying cash-generating power of the firm's recurring revenue base.
Investors should instead prioritize free cash flow (FCF) metrics, as they provide a clearer view of the company's ability to fund its own growth and return capital to shareholders. Relying solely on P/E ignores the impact of the company's capital-intensive software development cycle, which is better captured through cash-based analysis.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying JKHY stock.
Jack Henry & Associates, Inc.'s current P/E ratio is 23.5x. The historical average is 30.1x. This places it at the 30th percentile of its historical range.
Jack Henry & Associates, Inc.'s current EV/EBITDA is 13.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 15.3x.
Jack Henry & Associates, Inc.'s return on equity (ROE) is 21.4%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 21.7%.
Based on historical data, Jack Henry & Associates, Inc. is trading at a P/E of 23.5x. This is at the 30th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Jack Henry & Associates, Inc.'s current dividend yield is 1.54% with a payout ratio of 36.1%.
Jack Henry & Associates, Inc. has 42.7% gross margin and 23.9% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.