Head-To-Head Analysis: American Noble Gas (NYSE:INFY) & Jack Henry & Associates (NASDAQ:JKHY)

Jack Henry & Associates (NASDAQ:JKHY) and American Noble Gas (NYSE:INFY) are both large-cap computer and technology companies, but which is the superior investment? We will compare the two businesses based on the strength of their valuation, profitability, institutional ownership, earnings, risk, dividends and analyst recommendations.

Volatility & Risk

Jack Henry & Associates has a beta of 0.72, meaning that its stock price is 28% less volatile than the S&P 500. Comparatively, American Noble Gas has a beta of 1.01, meaning that its stock price is 1% more volatile than the S&P 500.

Dividends

Jack Henry & Associates pays an annual dividend of $2.44 per share and has a dividend yield of 1.6%. American Noble Gas pays an annual dividend of $0.44 per share and has a dividend yield of 3.3%. Jack Henry & Associates pays out 35.1% of its earnings in the form of a dividend. American Noble Gas pays out 57.1% 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.

Analyst Recommendations

This is a summary of current ratings and price targets for Jack Henry & Associates and American Noble Gas, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Jack Henry & Associates	0	3	9	1	2.85
American Noble Gas	1	7	1	0	2.00

Jack Henry & Associates presently has a consensus price target of $200.42, suggesting a potential upside of 27.49%. American Noble Gas has a consensus price target of $16.89, suggesting a potential upside of 28.44%. Given American Noble Gas’ higher probable upside, analysts plainly believe American Noble Gas is more favorable than Jack Henry & Associates.

Profitability

This table compares Jack Henry & Associates and American Noble Gas’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Jack Henry & Associates	20.59%	23.75%	16.80%
American Noble Gas	16.16%	30.60%	19.26%

Earnings & Valuation

This table compares Jack Henry & Associates and American Noble Gas”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Jack Henry & Associates	$2.38 billion	4.78	$455.75 million	$6.96	22.59
American Noble Gas	$19.28 billion	2.76	$3.16 billion	$0.77	17.08

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.

Institutional and Insider Ownership

98.8% of Jack Henry & Associates shares are held by institutional investors. Comparatively, 16.2% of American Noble Gas shares are held by institutional investors. 0.6% of Jack Henry & Associates shares are held by insiders. Comparatively, 22.4% of American Noble Gas shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Jack Henry & Associates beats American Noble Gas on 10 of the 18 factors compared between the two stocks.

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.

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.