SmartRent (NYSE:SMRT) and Brand Engagement Network (NASDAQ:BNAI) Critical Analysis

Brand Engagement Network (NASDAQ:BNAI) and SmartRent (NYSE:SMRT) are both small-cap business services companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, risk, analyst recommendations, profitability, earnings, institutional ownership and valuation.

Volatility & Risk

Brand Engagement Network has a beta of 0.51, meaning that its stock price is 49% less volatile than the S&P 500. Comparatively, SmartRent has a beta of 1.92, meaning that its stock price is 92% more volatile than the S&P 500.

Insider and Institutional Ownership

15.8% of Brand Engagement Network shares are owned by institutional investors. Comparatively, 59.4% of SmartRent shares are owned by institutional investors. 62.9% of Brand Engagement Network shares are owned by company insiders. Comparatively, 9.0% of SmartRent shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Brand Engagement Network and SmartRent’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brand Engagement Network	N/A	-140.18%	-56.38%
SmartRent	-12.77%	-6.08%	-4.15%

Analyst Recommendations

This is a summary of recent ratings and target prices for Brand Engagement Network and SmartRent, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brand Engagement Network	0	0	1	0	3.00
SmartRent	0	5	0	0	2.00

Brand Engagement Network currently has a consensus price target of $6.00, indicating a potential upside of 1,438.46%. SmartRent has a consensus price target of $2.40, indicating a potential upside of 111.45%. Given Brand Engagement Network’s stronger consensus rating and higher possible upside, research analysts clearly believe Brand Engagement Network is more favorable than SmartRent.

Valuation & Earnings

This table compares Brand Engagement Network and SmartRent”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brand Engagement Network	$35,210.00	434.33	-$6.88 million	N/A	N/A
SmartRent	$174.89 million	1.25	-$34.59 million	($0.17)	-6.68

Brand Engagement Network has higher earnings, but lower revenue than SmartRent.

Summary

Brand Engagement Network beats SmartRent on 7 of the 12 factors compared between the two stocks.

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.

About SmartRent

SmartRent, Inc., an enterprise software company, provides an integrated smart home operating system to residential property owners and operators, homebuilders, institutional home buyers, developers, and residents in the United States. The company’s products and solutions include smart apartments and homes, access control for buildings, common areas, and rental units, asset protection and monitoring, parking management, self-guided tours, and community and resident Wi-Fi. It also offers professional services to customers, which include training, installation, and support services. The company was founded in 2017 and is headquartered in Scottsdale, Arizona.