Jack Henry’s (JKHY Quick QuoteJKHY - Free Report) shares have gained 2.9% in the year-to-date period against the industry’s decline of 6.6%. The company is continuously benefiting from an expanding clientele on the back of its robust banking solutions.

Recently, Oklahoma City, OK-based Quail Creek Bank selected Jack Henry to deliver enhanced experience to small businesses and individual clients.

Per the terms, Quail Creek Bank will leverage Jack Henry’s banking solutions, including real-time payments, digital account opening and electronic document delivery.

The bank will also utilize Jack Henry’s core banking platform, the SilverLake System, to lower its operating costs and enhance efficiency.

Expanding Customer Base

The latest move by Quail Creek Bank has added strength to Jack Henry’s customer base.

This apart, Jack Henry recently expanded its clientele with the addition of another community bank, the Forest Park Bank. Forest Park Bank would utilize Jack Henry’s Banno Digital Platform, contactless cards and digital wallets to meet the needs of younger customers.

Jack Henry also partnered with First State Bank, enabling the latter to leverage its modern, customizable core processing solution and the Banno Digital Platform to automate processes and enhance efficiencies for retail and commercial customers.

United Bank selected Jack Henry as its technology provider. This collaboration will enable it to utilize Jack Henry's LoanVantage and Banno Digital Platform to enhance its lending and Community Development Financial Institution reporting capabilities for small and retail business customers.

Strength in Banking Solutions Aids Prospects

Jack Henry’s strong banking solutions portfolio plays a major role in driving its customer momentum. Hence, it is making concerted efforts to strengthen its portfolio further.

It recently introduced a new Daily Dashboard for its cloud platform, Financial Performance Suite. The Daily Dashboard provides financial and performance insights for financial institutions to help them analyze loan and deposit balances, credit, and account yields, providing a comprehensive view of their financial health.

The company’s Banno Business solution, which enables community and regional financial institutions to provide modern banking experiences for small-to-medium businesses, is noteworthy.

A strong portfolio, coupled with expanding clientele, is expected to continue driving Jack Henry’s financial performance in the upcoming period.

For fiscal 2024, Jack Henry expects GAAP revenues in the band of $2.215-$2.228 billion. The Zacks Consensus Estimate for the same is pegged at $2.22 billion, implying year-over-year growth of 6.8%.

JKHY raised the guidance for fiscal 2024 earnings from $5.09-$5.13 to $5.15-$5.19 per share. The consensus mark for 2024 earnings is pegged at $5.19 per share, indicating a 3.4% rise from the year-ago figure. The figure has been revised upward by 0.4% in the past 30 days.

Zacks Rank & Stocks to Consider

Currently, JKHY carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader technology sector are Arista Networks (ANET Quick QuoteANET - Free Report) , Garmin (GRMN Quick QuoteGRMN - Free Report) and Dropbox (DBX Quick QuoteDBX - Free Report) , each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Arista Networks’ shares have gained 42.1% in the year-to-date period. The long-term earnings growth rate for ANET is 16.07%.

Garmin’s shares have gained 26.6% in the year-to-date period. The long-term earnings growth rate for GRMN is currently projected at 8.04%.

Shares of Dropbox have declined 26% in the year-to-date period. The long-term earnings growth rate for DBX is 11.44%.