Analyzing American Noble Gas (NYSE:INFY) and C3.ai (NYSE:AI)

American Noble Gas (NYSE:INFY) and C3.ai (NYSE:AI) are both computer and technology companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, valuation, risk, analyst recommendations, earnings, dividends and profitability.

Profitability

This table compares American Noble Gas and C3.ai’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
American Noble Gas	16.58%	29.40%	18.87%
C3.ai	-92.08%	-40.69%	-33.35%

Volatility & Risk

American Noble Gas has a beta of 0.98, meaning that its share price is 2% less volatile than the S&P 500. Comparatively, C3.ai has a beta of 1.96, meaning that its share price is 96% more volatile than the S&P 500.

Insider & Institutional Ownership

16.2% of American Noble Gas shares are owned by institutional investors. Comparatively, 39.0% of C3.ai shares are owned by institutional investors. 22.4% of American Noble Gas shares are owned by insiders. Comparatively, 26.5% of C3.ai shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Earnings and Valuation

This table compares American Noble Gas and C3.ai”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
American Noble Gas	$19.69 billion	3.67	$3.16 billion	$0.78	22.37
C3.ai	$389.06 million	5.02	-$288.70 million	($2.60)	-5.45

American Noble Gas has higher revenue and earnings than C3.ai. C3.ai is trading at a lower price-to-earnings ratio than American Noble Gas, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current ratings and target prices for American Noble Gas and C3.ai, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
American Noble Gas	2	7	3	1	2.23
C3.ai	5	7	1	1	1.86

American Noble Gas currently has a consensus price target of $16.65, suggesting a potential downside of 4.56%. C3.ai has a consensus price target of $22.09, suggesting a potential upside of 55.90%. Given C3.ai’s higher possible upside, analysts clearly believe C3.ai is more favorable than American Noble Gas.

Summary

American Noble Gas beats C3.ai on 9 of the 14 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 C3.ai

C3.ai, Inc. operates as an enterprise artificial intelligence (AI) software company in North America, Europe, the Middle East, Africa, the Asia Pacific, and internationally. The company provides C3 AI platform, an application development and runtime environment that enables customers to design, develop, and deploy enterprise AI applications; C3 AI Ex Machina for analysis-ready data; C3 AI CRM, an industry specific customer relationship management solution; and C3 Generative AI Product Suite that enables to locate, retrieve, and present information. It also offers C3 AI applications, including C3 AI Inventory Optimization, a solution to optimize raw material, in-process, and finished goods inventory levels; C3 AI Supply Network Risk, which identifies emerging inbound and outbound risks across the network; C3 AI Sustainability Suite, which helps to decrease greenhouse gas emission; C3 AI Production Schedule Optimization, a solution for scheduling production; C3 AI Financial Services Suite, which helps to minimize compliance risks; and C3 AI Energy Management solution. In addition, it offers integrated turnkey enterprise AI applications for oil and gas, chemicals, utilities, manufacturing, financial services, defense, intelligence, aerospace, healthcare, and telecommunications market. It has strategic partnerships with Baker Hughes in the areas of oil and gas market; Booz Allen to provide solutions to government, defense, and intelligence sectors; Raytheon; and AWS, Google, and Microsoft. The company was formerly known as C3 IoT, Inc. and changed its name to C3.ai, Inc. in June 2019. C3.ai, Inc. was incorporated in 2009 and is headquartered in Redwood City, California.