What is Jack Henry & Associates Return-on-Tangible-Equity?
Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Jack Henry & Associates's annualized net income for the quarter that ended in Dec. 2023 was $368 Mil. Jack Henry & Associates's average shareholder tangible equity for the quarter that ended in Dec. 2023 was $227 Mil. Therefore, Jack Henry & Associates's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2023 was 161.76%.
The historical rank and industry rank for Jack Henry & Associates's Return-on-Tangible-Equity or its related term are showing as below:
JKHY'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 83.71 Med: 212.91 Max: 284.69
Current: 244.67
During the past 13 years, Jack Henry & Associates's highest Return-on-Tangible-Equity was 284.69%. The lowest was 83.71%. And the median was 212.91%.
JKHY's Return-on-Tangible-Equity is ranked better than 90.04% of 2379
companies
in the Software industry
Industry Median: 7.63
vs JKHY: 244.67
Jack Henry & Associates Return-on-Tangible-Equity Historical Data
The historical data trend for Jack Henry & Associates's Return-on-Tangible-Equity can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Premium members only.
Jack Henry & Associates Return-on-Tangible-Equity Chart
Competitive Comparison of Jack Henry & Associates's Return-on-Tangible-Equity
For the Information Technology Services subindustry, Jack Henry & Associates's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Jack Henry & Associates's Return-on-Tangible-Equity Distribution in the Software Industry
For the Software industry and Technology sector, Jack Henry & Associates's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Jack Henry & Associates's Return-on-Tangible-Equity falls into.
Jack Henry & Associates Return-on-Tangible-Equity Calculation
Jack Henry & Associates's annualized Return-on-Tangible-Equity for the fiscal year that ended in Jun. 2023 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Dec. 2023) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
Jack Henry & Associates (NAS:JKHY) Return-on-Tangible-Equity Explanation
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Jack Henry & Associates Return-on-Tangible-Equity Related Terms
Thank you for viewing the detailed overview of Jack Henry & Associates's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.
Jack Henry & Associates (Jack Henry & Associates) Business Description
Jack Henry is a leading provider of core processing and complementary services, such as electronic funds transfer, payment processing, and loan processing for U.S. banks and credit unions, with a focus on small and midsize banks. Jack Henry serves almost 1,000 banks and over 700 credit unions.
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