Jack Henry & Associates (JKHY, Financial) fits the pattern of companies providing technology solutions that enable their customers to improve service to their end consumers. It's a technology company that provides payment processing services for the financial services industry. We really like the company's ability to help smaller financial institutions create apps with Jack Henry's payment solutions technology. This helps regional and local banks to compete with larger industry players. It's the kind of niche player with strong fundamentals that we like—it has a low-debt balance sheet, solid earnings, and strong cash flow from operations.
Jack Henry & Associates (Nasdaq: JKHY) 2020
From Chuck Royce (Trades, Portfolio)'s Royce Investment Partners fourth-quarter 2020 commentary.
