Argan (NYSE:AGX) Chairman Sells $32,173,000.00 in Stock

Argan, Inc. (NYSE:AGX) Chairman William Griffin, Jr. sold 50,000 shares of Argan stock in a transaction that occurred on Friday, June 12th. The shares were sold at an average price of $643.46, for a total transaction of $32,173,000.00. Following the sale, the chairman directly owned 90,976 shares in the company, valued at approximately $58,539,416.96. The trade was a 35.47% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website.

Argan Stock Performance

Shares of Argan stock opened at $738.43 on Friday. The stock has a 50 day moving average of $656.75 and a 200 day moving average of $487.55. The firm has a market capitalization of $10.35 billion, a price-to-earnings ratio of 64.89 and a beta of 0.58. Argan, Inc. has a fifty-two week low of $193.82 and a fifty-two week high of $779.00.

Argan (NYSE:AGX) last posted its earnings results on Thursday, June 4th. The construction company reported $3.24 EPS for the quarter, beating analysts’ consensus estimates of $2.31 by $0.93. Argan had a return on equity of 36.89% and a net margin of 15.48%.The company had revenue of $290.95 million for the quarter, compared to the consensus estimate of $256.03 million. During the same quarter in the previous year, the business earned $1.60 earnings per share. The company’s revenue for the quarter was up 50.2% on a year-over-year basis. Analysts forecast that Argan, Inc. will post 12.6 EPS for the current year.

Argan announced that its Board of Directors has initiated a stock repurchase plan on Wednesday, April 8th that authorizes the company to repurchase $200.00 million in outstanding shares. This repurchase authorization authorizes the construction company to purchase up to 2.5% of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s management believes its shares are undervalued.

Argan Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, July 31st. Investors of record on Thursday, July 23rd will be issued a $0.50 dividend. This represents a $2.00 annualized dividend and a yield of 0.3%. The ex-dividend date is Thursday, July 23rd. Argan’s payout ratio is 17.57%.

Key Headlines Impacting Argan

Here are the key news stories impacting Argan this week:

• Positive Sentiment: Argan’s recent quarterly results were excellent, with EPS of $3.24 beating estimates by a wide margin and revenue rising 50.2% year over year, reinforcing confidence in the company’s execution and profitability. Argan earnings report
• Positive Sentiment: Analysts highlighted Argan’s backlog as 79% gas-focused and tied to rising power demand from data centers, electrification, and reshoring, which supports the view that project demand remains strong. Zacks backlog article
• Neutral Sentiment: The company has a $200 million share repurchase authorization and recently declared a quarterly dividend, both of which can support the stock, but they are longer-term capital-return factors rather than immediate catalysts. Argan capital return details
• Negative Sentiment: Multiple insiders, including CEO David Hibbert Watson, CFO Joshua Scott Baugher, and directors Peter W. Getsinger and Karen Sweeney, sold shares this week, and clustered insider selling can weigh on investor sentiment. Insider selling alert

Hedge Funds Weigh In On Argan

Several institutional investors have recently bought and sold shares of the company. Empowered Funds LLC acquired a new position in shares of Argan in the first quarter valued at approximately $692,000. DV Trading LLC purchased a new stake in Argan during the 1st quarter worth approximately $327,000. CTC Alternative Strategies Ltd. acquired a new stake in Argan during the 1st quarter worth approximately $301,000. Norris Financial Group LLC acquired a new stake in Argan during the 1st quarter worth approximately $4,850,000. Finally, Western Wealth Management LLC purchased a new position in Argan in the 1st quarter valued at approximately $25,000. 79.43% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

AGX has been the subject of a number of recent analyst reports. The Goldman Sachs Group lifted their price target on shares of Argan from $399.00 to $518.00 and gave the company a “buy” rating in a research report on Friday, March 27th. Lake Street Capital upped their price objective on shares of Argan from $375.00 to $600.00 and gave the stock a “hold” rating in a report on Friday, June 5th. Freedom Capital raised shares of Argan to a “hold” rating in a research report on Tuesday, March 10th. Wall Street Zen upgraded shares of Argan from a “hold” rating to a “buy” rating in a report on Saturday, March 28th. Finally, Weiss Ratings reissued a “buy (b)” rating on shares of Argan in a research report on Monday, April 6th. Four research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat, Argan has a consensus rating of “Moderate Buy” and a consensus price target of $470.40.

Argan Company Profile

Argan, Inc (NYSE: AGX) is a holding company that provides professional technical and management services to the power generation and renewable energy industries. Through its wholly owned subsidiaries, the company delivers engineering, procurement and construction management (EPCM), commissioning and operations and maintenance (O&M) services for a broad range of energy facilities. Argan focuses on projects for utility, industrial and municipally owned clients, helping to bring efficient thermal and renewable energy plants into operation and maintain optimal performance over the asset life cycle.

The company’s principal subsidiaries include Gemma Power Systems, which specializes in turnkey construction of combined-cycle, simple-cycle, cogeneration and renewable energy plants; Atlantic Projects Company, which provides electrical balance-of-plant, control systems, instrumentation and commissioning services; and Infrastructure Solutions, which offers industrial maintenance, outage support and modification services.