Jack Henry & Associates (NASDAQ:JKHY) versus Brand Engagement Network (NASDAQ:BNAI) Critical Analysis

Jack Henry & Associates (NASDAQ:JKHY) and Brand Engagement Network (NASDAQ:BNAI) are both computer and technology companies, but which is the better stock? We will compare the two businesses based on the strength of their valuation, earnings, profitability, analyst recommendations, risk, institutional ownership and dividends.

Earnings and Valuation

This table compares Jack Henry & Associates and Brand Engagement Network”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Jack Henry & Associates	$2.22 billion	5.68	$381.82 million	$5.46	31.59
Brand Engagement Network	N/A	N/A	-$6.88 million	N/A	N/A

Jack Henry & Associates has higher revenue and earnings than Brand Engagement Network.

Profitability

This table compares Jack Henry & Associates and Brand Engagement Network’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Jack Henry & Associates	17.79%	21.81%	13.94%
Brand Engagement Network	N/A	-140.18%	-56.38%

Volatility & Risk

Jack Henry & Associates has a beta of 0.63, indicating that its share price is 37% less volatile than the S&P 500. Comparatively, Brand Engagement Network has a beta of 0.74, indicating that its share price is 26% less volatile than the S&P 500.

Insider & Institutional Ownership

98.8% of Jack Henry & Associates shares are held by institutional investors. Comparatively, 15.8% of Brand Engagement Network shares are held by institutional investors. 1.4% of Jack Henry & Associates shares are held by company insiders. Comparatively, 62.9% of Brand Engagement Network shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings for Jack Henry & Associates and Brand Engagement Network, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Jack Henry & Associates	0	10	3	0	2.23
Brand Engagement Network	0	0	1	0	3.00

Jack Henry & Associates currently has a consensus price target of $188.73, suggesting a potential upside of 9.41%. Brand Engagement Network has a consensus price target of $6.00, suggesting a potential upside of 605.05%. Given Brand Engagement Network’s stronger consensus rating and higher probable upside, analysts plainly believe Brand Engagement Network is more favorable than Jack Henry & Associates.

Summary

Jack Henry & Associates beats Brand Engagement Network on 7 of the 11 factors compared between the two stocks.

About Jack Henry & Associates

Jack Henry & Associates, Inc., a financial technology company that connects people and financial institutions through technology solutions and payment processing services that reduce the barriers to financial health. It operates through four segments: Core, Payments, Complementary, and Corporate and Other. The company offers information and transaction processing solutions for banks ranging from community to multi-billion-dollar asset institutions; core data processing solutions for various credit unions; and specialized financial performance, imaging and payments processing, information security and risk management, retail delivery, and online and mobile solutions to financial services organizations and corporate entities. It also provides a suite of integrated applications required to process deposit, loan, and general ledger transactions, as well as to maintain centralized customer/member information; and complementary products and services that enable core bank and credit union clients to respond to evolving customer/member demands. In addition, the company’s core banking platform offerings include SilverLake system, a robust system primarily designed for commercial-focused banks; CIF 20/20, a parameter-driven, easy-to-use system for banks; and Core Director, a cost-efficient system with point-and-click operation, as well as core credit union platform under the Symitar name. Further, it provides digital products and services and electronic payment solutions; purchases and resells hardware systems, including servers, workstations, scanners, and other devices; implementation, training, and support services; and software licensing and related services, professional services, and data centers. Jack Henry & Associates, Inc. was founded in 1976 and is headquartered in Monett, Missouri.

About Brand Engagement Network

Brand Engagement Network, Inc. provides conversational AI assistants. The company offers security-focused, multimodal communication, and human-like assistants. Its AI assistants are built on proprietary natural language processing, anomaly detection, multisensory awareness, sentiment, and environmental analysis, as well as real-time individuation and personalization capabilities. It serves the automotive, healthcare, and other industries through direct sales force and channel partners. Brand Engagement Network, Inc. was formerly known as Blockchain Exchange Network Inc. and changed its name to Brand Engagement Network, Inc. in April 2023. The company was founded in 2018 and is based in Jackson, Wyoming.