How Does Jack Henry & Associates Compare to Its Peers?
Jack Henry & Associates Reported Strong Results in 1Q16
Jack Henry & Associates and its peers
In this part, we’ll compare Jack Henry & Associates to its peers:
The PE (price-to-earnings) ratios of Jack Henry & Associates (JKHY), Fiserv (FISV), Fidelity National Information Services (FIS), and Corelogic (CLGX) are 29.8x, 32.8x, 26.4x, and 32.5x, respectively.
The PBV (price-to-book value) ratios of Jack Henry & Associates, Fiserv, Fidelity, Black Knight Financial Services (BKFS), and Corelogic are 6.3x, 7.8x, 2.9x, 2.9x, and 3.4x, respectively.
According to the above findings, the peers outperformed Jack Henry & Associates based on the PE ratio. However, Jack Henry & Associates is way ahead of its peers based on the PBV ratio.
ETFs that invest in Jack Henry & Associates
The PowerShares DWA Technology Momentum Portfolio (PTF) invests 1.7% of its holdings in Jack Henry & Associates. PTF tracks an index of US tech firms selected and weighted by price momentum.
The Huntington EcoLogical Strategy ETF (HECO) invests 1.5% of its holdings in Jack Henry & Associates. HECO is an actively managed fund. It’s comprised of ecologically focused companies. The fund attempts to generate alpha by selecting sectors that management expects to outperform.
The PowerShares S&P MidCap Low Volatility Portfolio (XMLV) invests 1.5% of its holdings in Jack Henry & Associates. XMLV tracks a volatility-weighted index of the 80 least volatile S&P MidCap 400 companies.
Comparing Jack Henry & Associates and its ETFs
Now, let’s compare Jack Henry & Associates and the ETFs that invest in it:
The YTD (year-to-date) price movements of Jack Henry & Associates, PTF, HECO, and XMLV are 26.3%, 8.1%, 2.6%, and 6.9%, respectively.
The PE ratios of Jack Henry & Associates, PTF, HECO, and XMLV are 29.8x, 67.3x, 20.2x, and 20.2x, respectively.
The PBV ratios of Jack Henry & Associates, PTF, HECO, and XMLV are 6.3x, 7.1x, 3.7x, and 2.2x, respectively.
As a result, Jack Henry & Associates outperformed its ETFs based on the price movement, PE ratio, and PBV ratio.
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