Argan (NYSE:AGX) CFO Joshua Scott Baugher Sells 760 Shares of Stock

Key Points

• Argan CFO Joshua Scott Baugher sold 760 shares on June 17 at an average price of $733.30, totaling about $557,308. After the sale, he still held 1,479 shares, representing a 33.94% reduction in his position.
• Argan reported strong quarterly results, beating earnings and revenue estimates with $3.24 EPS versus $2.31 expected and revenue of $290.95 million, up 50.2% year over year. The company also has a $200 million share buyback authorization in place.
• The stock has surged sharply recently, trading near its 52-week high and gaining on investor optimism tied to power-demand and infrastructure growth. However, the article notes recent insider selling and mixed analyst sentiment, with ratings split between Buy and Hold.

Argan, Inc. (NYSE:AGX - Get Free Report) CFO Joshua Scott Baugher sold 760 shares of the company's stock in a transaction on Wednesday, June 17th. The shares were sold at an average price of $733.30, for a total transaction of $557,308.00. Following the completion of the sale, the chief financial officer owned 1,479 shares of the company's stock, valued at approximately $1,084,550.70. This trade represents a 33.94% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website.

Joshua Scott Baugher also recently made the following trade(s):

• On Thursday, April 16th, Joshua Scott Baugher sold 600 shares of Argan stock. The shares were sold at an average price of $605.60, for a total transaction of $363,360.00.

Argan Trading Up 2.6%

Shares of AGX traded up $18.91 during mid-day trading on Thursday, hitting $738.43. 521,953 shares of the company's stock were exchanged, compared to its average volume of 408,845. Argan, Inc. has a fifty-two week low of $193.82 and a fifty-two week high of $779.00. The firm has a market capitalization of $10.35 billion, a P/E ratio of 64.89 and a beta of 0.58. The business's 50 day moving average is $653.49 and its two-hundred day moving average is $485.14.

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

Argan declared that its Board of Directors has approved a share buyback program on Wednesday, April 8th that permits the company to buyback $200.00 million in shares. This buyback authorization permits the construction company to buy up to 2.5% of its stock through open market purchases. Stock buyback programs are generally an indication that the company's board believes its shares are undervalued.

Argan Announces Dividend

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

Analyst Ratings Changes

Several research analysts recently issued reports on AGX shares. Zacks Research cut shares of Argan from a "strong-buy" rating to a "hold" rating in a report on Tuesday, May 26th. Wall Street Zen upgraded Argan from a "hold" rating to a "buy" rating in a research report on Saturday, March 28th. Freedom Capital raised Argan to a "hold" rating in a research note on Tuesday, March 10th. Lake Street Capital raised their price target on Argan from $375.00 to $600.00 and gave the company a "hold" rating in a report on Friday, June 5th. Finally, JPMorgan Chase & Co. upgraded Argan from a "neutral" rating to an "overweight" rating and set a $550.00 price target on the stock in a research note on Friday, March 27th. Four equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $470.40.

Key Headlines Impacting Argan

Here are the key news stories impacting Argan this week:

• Positive Sentiment: Argan has surged sharply over the past three months, reflecting strong investor confidence in its energy-infrastructure growth story. The company is benefiting from data center-driven power demand, electrification, manufacturing reshoring, and a robust project pipeline. Argan stock soars 53% article
• Positive Sentiment: Recent commentary highlighted Argan’s backlog as 79% gas-focused, which could support future revenue as power demand rises and major U.S. infrastructure projects progress. Argan backlog article
• Positive Sentiment: The company’s recent quarterly results were strong, with earnings and revenue both beating estimates, and management also has a $200 million buyback authorization in place, which can support the stock. Argan earnings and buyback details
• Neutral Sentiment: Argan also announced a quarterly dividend, adding shareholder return support, though the yield remains modest. Argan dividend details
• Negative Sentiment: Several insiders, including the CEO, chairman, and directors, have sold shares recently. While these sales may simply reflect profit-taking after the run-up, clustered insider selling can weigh on sentiment. Argan insider selling alert

Institutional Trading of Argan

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Empowered Funds LLC purchased a new stake in Argan during the first quarter worth about $692,000. DV Trading LLC purchased a new position in Argan in the first quarter valued at about $327,000. CTC Alternative Strategies Ltd. purchased a new position in Argan in the first quarter valued at about $301,000. Norris Financial Group LLC acquired a new stake in shares of Argan during the 1st quarter valued at approximately $4,850,000. Finally, Western Wealth Management LLC acquired a new stake in shares of Argan during the 1st quarter valued at approximately $25,000. Institutional investors and hedge funds own 79.43% of the company's stock.

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.

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