Oppenheimer Has Note On Jack Henry (JKHY)
Oppenheimer & Co. has a research note on Jack Henry & Associates, Inc. (NASDAQ: JKHY), after it reported earnings that beat estimates. It has a Perform rating on shares.
In a note to clients, Oppenheimer writes, "JKHY's 1Q:FY11 earnings exceeded our/Street estimate by $0.03/sh, driven by stronger than expected revenue growth and tight cost controls. Revenue was ~$7M above our estimate despite high-margin software revenue $2M below our estimate.
Operating margins were 100bps above our estimate, which is encouraging given the revenue mix. We await commentary on organic growth, FY11 guidance, the integration of iPay and management's view on the bank spending environment (FIS/FISV management see improvement). We will revisit our estimates following tomorrow morning's conference call."
Shares of JKHY gained 21 cents yesterday to close at $27.43, a gain of 0.77%.
