Comparing American Noble Gas (NYSE:INFY) and Jack Henry & Associates (NASDAQ:JKHY)
by Michael Walen · The Markets DailyAmerican Noble Gas (NYSE:INFY – Get Free Report) and Jack Henry & Associates (NASDAQ:JKHY – Get Free Report) are both large-cap computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, analyst recommendations, institutional ownership, dividends, profitability, valuation and risk.
Earnings and Valuation
This table compares American Noble Gas and Jack Henry & Associates”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| American Noble Gas | $19.85 billion | 2.79 | $3.16 billion | $0.77 | 17.80 |
| Jack Henry & Associates | $2.38 billion | 4.80 | $455.75 million | $6.96 | 22.72 |
American Noble Gas has higher revenue and earnings than Jack Henry & Associates. American Noble Gas is trading at a lower price-to-earnings ratio than Jack Henry & Associates, indicating that it is currently the more affordable of the two stocks.
Volatility and Risk
American Noble Gas has a beta of 1, indicating that its stock price has a similar volatility profile to the S&P 500.Comparatively, Jack Henry & Associates has a beta of 0.72, indicating that its stock price is 28% less volatile than the S&P 500.
Analyst Recommendations
This is a breakdown of recent recommendations and price targets for American Noble Gas and Jack Henry & Associates, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| American Noble Gas | 1 | 7 | 1 | 0 | 2.00 |
| Jack Henry & Associates | 0 | 4 | 9 | 1 | 2.79 |
American Noble Gas currently has a consensus price target of $16.46, suggesting a potential upside of 20.09%. Jack Henry & Associates has a consensus price target of $200.15, suggesting a potential upside of 26.60%. Given Jack Henry & Associates’ stronger consensus rating and higher possible upside, analysts clearly believe Jack Henry & Associates is more favorable than American Noble Gas.
Profitability
This table compares American Noble Gas and Jack Henry & Associates’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| American Noble Gas | 16.16% | 30.60% | 19.26% |
| Jack Henry & Associates | 20.59% | 23.75% | 16.80% |
Insider & Institutional Ownership
16.2% of American Noble Gas shares are held by institutional investors. Comparatively, 98.8% of Jack Henry & Associates shares are held by institutional investors. 22.4% of American Noble Gas shares are held by insiders. Comparatively, 0.6% of Jack Henry & Associates shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.
Dividends
American Noble Gas pays an annual dividend of $0.44 per share and has a dividend yield of 3.2%. Jack Henry & Associates pays an annual dividend of $2.44 per share and has a dividend yield of 1.5%. American Noble Gas pays out 57.1% of its earnings in the form of a dividend. Jack Henry & Associates pays out 35.1% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Jack Henry & Associates has raised its dividend for 35 consecutive years.
Summary
Jack Henry & Associates beats American Noble Gas on 11 of the 18 factors compared between the two stocks.
About American Noble Gas
Infosys Ltd. is a digital services and consulting company, which engages in the provision of end-to-end business solutions. It operates through the following segments: Financial Services, Retail, Communication, Energy, Utilities, Resources, and Services, Manufacturing, Hi-Tech, Life Sciences, and All Other. The company was founded by Dinesh Krishnan Swamy, Senapathy Gopalakrishnan, Narayana Ramarao Nagavara Murthy, Raghavan N. S., Ashok Arora, Nandan M. Nilekani, and S. D. Shibulal on July 2, 1981 and is headquartered in Bangalore, India.
About Jack Henry & Associates
Jack Henry & Associates, Inc. is a financial technology company, which engages in the provision of technology solutions and payment processing services. It operates through the following segments: Core, Payments, Complementary, and Corporate and Other. The Core segment provides core information processing platforms to banks and credit unions which consist of integrated applications required to process deposit, loan, and general ledger transactions, and maintain centralized customer and member information. The Payments segment includes secure payment processing tools and services including ATM, debit, and credit card processing services, online and mobile bill pay solutions, ACH origination and remote deposit capture processing, and risk management products and services. The Complementary segment focuses on additional software, hosted processing platforms, and services including call center support, network security management, consulting, and monitoring. The Corporate and Other segment offers hardware and other products. The company was founded by Jerry D. Hall and John W. Henry in 1976 and is headquartered in Monett, MO.