Summary
DA Davidson has raised its price objective for Jack Henry to $216.00 from $190.00 and maintained a Buy rating on the financial technology firm’s stock. The adjustment precedes Jack Henry’s fiscal second-quarter earnings release and follows an 8-K filing that prompted modest upward revisions to GAAP EPS forecasts for the quarter and the full fiscal year 2026. Multiple other brokerages have also increased targets or upgraded their ratings.
Detailed story
DA Davidson’s decision to lift its price target to $216.00 while keeping a Buy recommendation arrives as Jack Henry prepares to report fiscal second-quarter results after the market close on February 3, 2026, with a conference call scheduled for February 4 at 8:45 AM ET. The stock is trading around $179.40, and company financial metrics indicate robust health, including a perfect Piotroski Score of 9.
The analyst note from DA Davidson, authored by Peter Heckmann, anticipates that Jack Henry’s management will modestly increase guidance for fiscal 2026. One specific change Heckmann cites is a higher full-year forecast for termination fees - raised to $28 million from $20 million. Following an 8-K filing issued on Wednesday, DA Davidson modestly increased its fiscal second-quarter and full-year 2026 GAAP EPS estimates for the company.
In conjunction with its new target, DA Davidson adjusted the valuation framework it uses, shifting the basis to calendar year 2027 forecasts. Price targets on the stock among analysts range from $164 to $220, and a Fair Value assessment suggests Jack Henry appears slightly undervalued at current levels.
In other corporate developments, Jack Henry & Associates declared a quarterly dividend of $0.58 per share, payable on December 23, 2025, to shareholders of record as of December 2, 2025.
Several brokerages have recently revised their assessments of Jack Henry. UBS raised its target to $195 from $175 while maintaining a Neutral rating. Wolfe Research upgraded the stock to Outperform and set a $220 target, describing Jack Henry as a "sustainable structural winner" in the BankTech sector. RBC Capital upgraded to Outperform and increased its target to $210 from $185, flagging catalysts such as new opportunities from Fiserv’s Core platform consolidation. Raymond James moved the stock to Strong Buy with a $198 price target, highlighting potential upside and significant share gain opportunities.
Collectively, these moves reflect growing analyst confidence in Jack Henry’s positioning and near-term prospects, particularly ahead of the company’s impending quarterly results.
Key points
- DA Davidson raised its price target to $216.00 from $190.00 and kept a Buy rating.
- The target increase comes ahead of fiscal Q2 results to be released after the close on February 3, 2026, with a conference call on February 4 at 8:45 AM ET.
- Multiple brokerages have raised targets or upgraded ratings, including Wolfe Research, RBC Capital, Raymond James, and UBS.
Risks and uncertainties
- Management guidance could differ from analyst expectations - the article notes management is expected to modestly raise guidance for fiscal 2026, which remains an expectation rather than a confirmed change.
- Analyst forecasts and targets vary widely, with range of price targets from $164 to $220, indicating uncertainty in valuation and future performance.
- Changes to GAAP EPS forecasts were modestly raised following an 8-K filing, but those revisions may be further revised when full quarterly results are released.
Note: The article reflects reported analyst actions, company filings, scheduled earnings events, dividend declarations, and price target ranges as provided.
What’s next
Investors and market observers will focus on the company’s fiscal second-quarter report after the market close on February 3, 2026, and the management commentary on the February 4 call to see whether guidance adjustments and the modest EPS revisions are confirmed or changed.