Argan (NYSE:AGX) Posts Quarterly Earnings Results, Beats Estimates By $0.52 EPS

Argan (NYSE:AGX) posted its earnings results on Thursday. The construction company reported $2.17 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.65 by $0.52, FiscalAI reports. The business had revenue of $251.15 million during the quarter, compared to analysts’ expectations of $251.50 million. Argan had a return on equity of 32.61% and a net margin of 12.73%.

Argan Stock Performance

NYSE:AGX traded up $5.16 during trading hours on Thursday, reaching $356.25. The stock had a trading volume of 609,681 shares, compared to its average volume of 412,948. The company has a 50 day moving average price of $312.35 and a two-hundred day moving average price of $253.29. Argan has a 52 week low of $101.02 and a 52 week high of $399.30. The stock has a market capitalization of $4.92 billion, a PE ratio of 42.82 and a beta of 0.60.

Argan Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, October 31st. Shareholders of record on Thursday, October 23rd were issued a dividend of $0.50 per share. This is a boost from Argan’s previous quarterly dividend of $0.38. The ex-dividend date of this dividend was Thursday, October 23rd. This represents a $2.00 annualized dividend and a dividend yield of 0.6%. Argan’s payout ratio is currently 24.04%.

Wall Street Analyst Weigh In

A number of brokerages have weighed in on AGX. The Goldman Sachs Group assumed coverage on shares of Argan in a research report on Tuesday, November 11th. They issued a “buy” rating and a $397.00 target price on the stock. Wall Street Zen raised Argan from a “hold” rating to a “buy” rating in a report on Friday, September 5th. Glj Research upgraded Argan from a “hold” rating to a “buy” rating and boosted their price objective for the stock from $251.00 to $369.00 in a research report on Monday, November 10th. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Argan in a report on Wednesday, October 8th. Finally, JPMorgan Chase & Co. reissued a “neutral” rating and set a $370.00 price target (up from $315.00) on shares of Argan in a research note on Monday. Four investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $310.17.

Insider Buying and Selling at Argan

In related news, Director Cynthia Flanders sold 15,000 shares of the firm’s stock in a transaction dated Wednesday, October 8th. The stock was sold at an average price of $271.96, for a total transaction of $4,079,400.00. Following the sale, the director owned 16,428 shares of the company’s stock, valued at $4,467,758.88. This trade represents a 47.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director James W. Quinn sold 13,444 shares of the business’s stock in a transaction that occurred on Tuesday, September 30th. The stock was sold at an average price of $269.12, for a total transaction of $3,618,049.28. Following the transaction, the director owned 49,570 shares of the company’s stock, valued at approximately $13,340,278.40. This trade represents a 21.33% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders have sold 106,795 shares of company stock valued at $29,401,111. Insiders own 6.69% of the company’s stock.

Institutional Trading of Argan

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Danske Bank A S purchased a new position in shares of Argan in the third quarter valued at approximately $27,000. National Bank of Canada FI lifted its stake in Argan by 26.7% in the third quarter. National Bank of Canada FI now owns 147 shares of the construction company’s stock worth $40,000 after acquiring an additional 31 shares during the last quarter. Palisade Asset Management LLC acquired a new stake in Argan in the third quarter valued at $41,000. EverSource Wealth Advisors LLC boosted its position in shares of Argan by 1,116.7% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 365 shares of the construction company’s stock worth $80,000 after acquiring an additional 335 shares in the last quarter. Finally, State of Tennessee Department of Treasury purchased a new position in shares of Argan in the 2nd quarter valued at about $129,000. 79.43% of the stock is currently owned by hedge funds and other institutional investors.

About Argan

Argan, Inc, through its subsidiaries, provides engineering, procurement, construction, commissioning, maintenance, project development, and technical consulting services to the power generation market. The company operates through Power Services, Industrial Services, and Telecom Services segments. The Power Services segment offers engineering, procurement, and construction, as well as designing, building, and commissioning of large-scale energy projects to the owners of alternative energy facilities, such as biomass plants, wind farms, and solar fields; and design, construction, project management, start-up, and operation services for projects with approximately 18 gigawatts of power-generating capacity.