Argan (NYSE:AGX) Director Peter Getsinger Sells 2,000 Shares

Argan, Inc. (NYSE:AGX) Director Peter Getsinger sold 2,000 shares of the business’s stock in a transaction dated Wednesday, June 17th. The shares were sold at an average price of $699.00, for a total transaction of $1,398,000.00. Following the completion of the transaction, the director owned 4,880 shares in the company, valued at $3,411,120. The trade was a 29.07% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink.

Argan Price Performance

Argan stock opened at $720.28 on Thursday. The firm has a 50 day simple moving average of $653.49 and a 200-day simple moving average of $485.14. The stock has a market cap of $10.10 billion, a price-to-earnings ratio of 63.29 and a beta of 0.58. Argan, Inc. has a 1-year low of $193.82 and a 1-year high of $779.00.

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

Argan Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, July 31st. Shareholders of record on Thursday, July 23rd will be given a $0.50 dividend. The ex-dividend date is Thursday, July 23rd. This represents a $2.00 dividend on an annualized basis and a yield of 0.3%. Argan’s payout ratio is currently 17.57%.

Argan announced that its Board of Directors has initiated a share repurchase program on Wednesday, April 8th that allows the company to buyback $200.00 million in shares. This buyback authorization allows the construction company to purchase up to 2.5% of its shares through open market purchases. Shares buyback programs are generally a sign that the company’s management believes its shares are undervalued.

Wall Street Analyst Weigh In

Several research analysts have weighed in on AGX shares. Lake Street Capital increased their target price on shares of Argan from $375.00 to $600.00 and gave the stock a “hold” rating in a research note on Friday, June 5th. Wall Street Zen upgraded shares of Argan from a “hold” rating to a “buy” rating in a report on Saturday, March 28th. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Argan in a research report on Monday, April 6th. The Goldman Sachs Group lifted their target price on shares of Argan from $399.00 to $518.00 and gave the company a “buy” rating in a report on Friday, March 27th. Finally, JPMorgan Chase & Co. raised Argan from a “neutral” rating to an “overweight” rating and set a $550.00 target price on the stock in a research report on Friday, March 27th. Four equities research analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $470.40.

Key Headlines Impacting Argan

Here are the key news stories impacting Argan this week:

• Positive Sentiment: Argan’s latest quarterly results were strong, with earnings and revenue both beating estimates by a wide margin, reinforcing the company’s growth and margin profile. Argan earnings report
• Positive Sentiment: Analysts highlighted Argan’s gas-heavy backlog as a potential tailwind, citing rising power demand and ongoing infrastructure opportunities. Zacks backlog article
• Neutral Sentiment: Argan’s board has authorized a $200 million share repurchase program and the company recently announced a quarterly dividend, both of which can help support the stock over time. Argan capital return details
• Negative Sentiment: Multiple insiders, including CEO David Hibbert Watson, Chairman William F. Griffin Jr., and directors Peter Getsinger and Karen Sweeney, sold shares over the past few days, which may weigh on sentiment as investors often view clustered insider selling cautiously. Insider selling alert

Hedge Funds Weigh In On Argan

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Western Wealth Management LLC purchased a new position in shares of Argan during the first quarter worth about $25,000. SJS Investment Consulting Inc. lifted its holdings in shares of Argan by 2,950.0% in the 1st quarter. SJS Investment Consulting Inc. now owns 61 shares of the construction company’s stock valued at $33,000 after purchasing an additional 59 shares during the last quarter. Aster Capital Management DIFC Ltd purchased a new stake in shares of Argan in the 3rd quarter valued at about $25,000. University of Texas Texas AM Investment Management Co. acquired a new stake in shares of Argan in the 4th quarter valued at about $30,000. Finally, Montag A & Associates Inc. purchased a new position in Argan during the 4th quarter worth approximately $30,000. 79.43% of the stock is owned by institutional investors and hedge funds.

About Argan

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.