Critical Contrast: Paysign (NASDAQ:PAYS) versus Amentum (NYSE:AMTM)

Paysign (NASDAQ:PAYS) and Amentum (NYSE:AMTM) are both business services companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, dividends, valuation, risk, earnings, profitability and institutional ownership.

Profitability

This table compares Paysign and Amentum’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Paysign	14.28%	30.64%	4.82%
Amentum	N/A	N/A	N/A

Analyst Ratings

This is a summary of recent ratings and recommmendations for Paysign and Amentum, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Paysign	0	0	4	0	3.00
Amentum	0	2	2	0	2.50

Paysign presently has a consensus target price of $6.13, suggesting a potential upside of 129.40%. Amentum has a consensus target price of $27.50, suggesting a potential upside of 32.84%. Given Paysign’s stronger consensus rating and higher probable upside, research analysts clearly believe Paysign is more favorable than Amentum.

Valuation & Earnings

This table compares Paysign and Amentum”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Paysign	$47.27 million	3.02	$6.46 million	$0.15	17.80
Amentum	$8.39 billion	0.60	-$82.00 million	N/A	N/A

Paysign has higher earnings, but lower revenue than Amentum.

Insider and Institutional Ownership

25.9% of Paysign shares are owned by institutional investors. Comparatively, 39.9% of Amentum shares are owned by institutional investors. 23.4% of Paysign shares are owned by company insiders. Comparatively, 18.7% of Amentum shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Paysign beats Amentum on 9 of the 11 factors compared between the two stocks.

About Paysign

Paysign, Inc. provides prepaid card programs, comprehensive patient affordability offerings, digital banking services, and integrated payment processing services for businesses, consumers, and government institutions. Its product offerings include solutions for corporate rewards, prepaid gift cards, general purpose reloadable debit cards, employee incentives, consumer rebates, donor compensation, clinical trials, healthcare reimbursement payments and pharmaceutical payment assistance, and demand deposit accounts accessible with a debit card. The company markets its prepaid card solutions under the Paysign brand. Its primary market focus is on companies and municipalities that require a streamlined payment solution for rewards, rebates, payment assistance, and other payments to their customers, employees, agents, and others. The company was formerly known as 3PEA International, Inc. and changed its name to Paysign, Inc. in April 2019. Paysign, Inc. was incorporated in 1995 and is headquartered in Henderson, Nevada.

About Amentum

Amentum Holdings, Inc. provides engineering and technology solutions to address challenges in science, security, and sustainability. It serves various markets, such as energy and environment, space, intelligence, defense, civilian, commercial, and international markets. The company was incorporated in 2010 and is headquatered in Chantilly, Virginia.