Jack Henry & Associates Inc (JKHY)vsSonos Inc (SONO)
JKHY
Jack Henry & Associates Inc
$130.11
-0.47%
TECHNOLOGY · Cap: $9.11B
SONO
Sonos Inc
$14.32
-7.20%
TECHNOLOGY · Cap: $1.83B
Smart Verdict
WallStSmart Research — data-driven comparison
Jack Henry & Associates Inc generates 72% more annual revenue ($2.52B vs $1.46B). JKHY leads profitability with a 20.6% profit margin vs 1.6%. JKHY trades at a lower P/E of 17.9x. JKHY earns a higher WallStSmart Score of 68/100 (B-).
JKHY
Strong Buy68
out of 100
Grade: B-
SONO
Hold45
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-43.8%
Fair Value
$115.21
Current Price
$130.11
$14.90 premium
Margin of Safety
-34.7%
Fair Value
$12.25
Current Price
$14.32
$2.07 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Every $100 of equity generates 24 in profit
Keeps 21 of every $100 in revenue as profit
Attractively priced relative to earnings
Strong operational efficiency at 24.4%
Earnings expanding 87.5% YoY
Conservative balance sheet, low leverage
Areas to Watch
Expensive relative to growth rate
Smaller company, higher risk/reward
ROE of 6.2% — below average capital efficiency
1.6% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : JKHY
The strongest argument for JKHY centers on Debt/Equity, Altman Z-Score, Return on Equity. Profitability is solid with margins at 20.6% and operating margin at 24.4%.
Bull Case : SONO
The strongest argument for SONO centers on EPS Growth, Debt/Equity.
Bear Case : JKHY
The primary concerns for JKHY are PEG Ratio.
Bear Case : SONO
The primary concerns for SONO are Market Cap, Return on Equity, Profit Margin. A P/E of 90.3x leaves little room for execution misses. Thin 1.6% margins leave little buffer for downturns.
Key Dynamics to Monitor
JKHY profiles as a mature stock while SONO is a value play — different risk/reward profiles.
SONO carries more volatility with a beta of 1.94 — expect wider price swings.
JKHY is growing revenue faster at 8.7% — sustainability is the question.
JKHY generates stronger free cash flow (170M), providing more financial flexibility.
Bottom Line
JKHY scores higher overall (68/100 vs 45/100), backed by strong 20.6% margins. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Jack Henry & Associates Inc
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA
Jack Henry & Associates, Inc. is a technology company and payment processing service for the financial services industry.
Visit Website →Sonos Inc
TECHNOLOGY · CONSUMER ELECTRONICS · USA
Sonos, Inc. designs, develops, manufactures, and sells multi-room audio products in the Americas, Europe, the Middle East, Africa, and Asia Pacific. The company is headquartered in Santa Barbara, California.
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