Argan (NYSE:AGX) Reaches New 12-Month High – Still a Buy?

Argan, Inc. (NYSE:AGX) shares hit a new 52-week high on Tuesday . The stock traded as high as $142.46 and last traded at $142.24, with a volume of 58049 shares traded. The stock had previously closed at $136.64.

Analyst Upgrades and Downgrades

Separately, StockNews.com downgraded shares of Argan from a “buy” rating to a “hold” rating in a report on Tuesday, October 29th.

Argan Trading Up 3.5 %

The firm’s 50-day simple moving average is $104.40 and its 200-day simple moving average is $82.83. The company has a market capitalization of $1.91 billion, a PE ratio of 43.64 and a beta of 0.49.

Argan (NYSE:AGX) last posted its quarterly earnings results on Thursday, September 5th. The construction company reported $1.31 EPS for the quarter, beating the consensus estimate of $0.97 by $0.34. The business had revenue of $227.02 million during the quarter, compared to analyst estimates of $191.05 million. Argan had a net margin of 6.11% and a return on equity of 14.80%. The company’s quarterly revenue was up 60.6% on a year-over-year basis.

Argan Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, October 31st. Stockholders of record on Wednesday, October 23rd were issued a dividend of $0.375 per share. This represents a $1.50 annualized dividend and a dividend yield of 1.06%. The ex-dividend date was Wednesday, October 23rd. This is a positive change from Argan’s previous quarterly dividend of $0.30. Argan’s dividend payout ratio is currently 47.17%.

Insider Transactions at Argan

In related news, Director Cynthia Flanders sold 5,000 shares of the firm’s stock in a transaction on Wednesday, September 25th. The stock was sold at an average price of $96.39, for a total value of $481,950.00. Following the completion of the transaction, the director now owns 17,332 shares in the company, valued at $1,670,631.48. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. In related news, Director Rainer H. Bosselmann sold 10,105 shares of the company’s stock in a transaction dated Monday, October 21st. The shares were sold at an average price of $130.10, for a total transaction of $1,314,660.50. Following the completion of the transaction, the director now owns 219,879 shares in the company, valued at $28,606,257.90. This represents a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Cynthia Flanders sold 5,000 shares of Argan stock in a transaction on Wednesday, September 25th. The stock was sold at an average price of $96.39, for a total transaction of $481,950.00. Following the sale, the director now directly owns 17,332 shares in the company, valued at approximately $1,670,631.48. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 39,703 shares of company stock worth $4,257,794. Insiders own 11.85% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of AGX. Vanguard Group Inc. lifted its stake in Argan by 1.7% during the 1st quarter. Vanguard Group Inc. now owns 726,171 shares of the construction company’s stock worth $36,701,000 after acquiring an additional 12,162 shares in the last quarter. Renaissance Technologies LLC lifted its position in shares of Argan by 7.7% during the second quarter. Renaissance Technologies LLC now owns 537,296 shares of the construction company’s stock worth $39,309,000 after purchasing an additional 38,300 shares in the last quarter. American Century Companies Inc. lifted its position in shares of Argan by 31.8% during the second quarter. American Century Companies Inc. now owns 305,298 shares of the construction company’s stock worth $22,336,000 after purchasing an additional 73,658 shares in the last quarter. Acadian Asset Management LLC boosted its stake in shares of Argan by 32.8% in the second quarter. Acadian Asset Management LLC now owns 175,245 shares of the construction company’s stock valued at $12,811,000 after purchasing an additional 43,258 shares during the period. Finally, Bank of New York Mellon Corp grew its holdings in shares of Argan by 3.0% in the second quarter. Bank of New York Mellon Corp now owns 112,979 shares of the construction company’s stock valued at $8,266,000 after purchasing an additional 3,314 shares in the last quarter. Institutional investors and hedge funds own 79.43% of the company’s stock.

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.