I can't comment on NJ. See https://www.state.nj.us/treasury/taxation/njit23.shtml
I disagree with entering it as other income. That puts on line 8z of Schedule 1, where's it treated as unearned income for purposes of the dependent standard deduction calculation ("$12,950 filing requirement").
You want it on line 8r and that requires entering as scholarship. From what you describe, it should be treated as scholarship/fellowship (as most "stipends" are).
