Charles Edwin Iv Collins Sells 11,068 Shares of Argan (NYSE:AGX) Stock

Key Points

• CEO Charles Edwin Iv Collins sold 11,068 shares on April 21 at an average price of $621.61 for about $6.88 million, trimming his stake by 26.74% to 30,320 shares valued at roughly $18.85 million.
• Argan posted a strong quarter, reporting EPS of $3.47 vs. $1.99 expected and revenue of $262.05 million (up 12.7% year-over-year), with a 33.62% ROE and a 14.59% net margin.
• The board authorized a $200 million share buyback (up to 2.5% of shares) and declared a $0.50 quarterly dividend (0.3% yield), while the stock trades near its 12‑month high (~$650) with a market cap of $9.07 billion and a P/E of 66.76.

Argan, Inc. (NYSE:AGX - Get Free Report) CEO Charles Edwin Iv Collins sold 11,068 shares of the business's stock in a transaction that occurred on Tuesday, April 21st. The stock was sold at an average price of $621.61, for a total transaction of $6,879,979.48. Following the completion of the sale, the chief executive officer owned 30,320 shares of the company's stock, valued at approximately $18,847,215.20. The trade was a 26.74% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link.

Charles Edwin Iv Collins also recently made the following trade(s):

• On Monday, April 20th, Charles Edwin Iv Collins sold 2,500 shares of Argan stock. The shares were sold at an average price of $610.00, for a total transaction of $1,525,000.00.

Argan Price Performance

NYSE AGX traded up $34.86 during trading on Wednesday, hitting $650.28. 271,434 shares of the company's stock traded hands, compared to its average volume of 452,559. The stock has a fifty day moving average of $494.86 and a two-hundred day moving average of $388.04. Argan, Inc. has a 12-month low of $139.98 and a 12-month high of $651.99. The firm has a market cap of $9.07 billion, a P/E ratio of 66.76 and a beta of 0.46.

Argan (NYSE:AGX - Get Free Report) last released its earnings results on Thursday, March 26th. The construction company reported $3.47 earnings per share for the quarter, beating analysts' consensus estimates of $1.99 by $1.48. Argan had a return on equity of 33.62% and a net margin of 14.59%.The company had revenue of $262.05 million during the quarter, compared to analyst estimates of $255.32 million. During the same quarter in the previous year, the company posted $2.22 EPS. Argan's revenue for the quarter was up 12.7% on a year-over-year basis. As a group, analysts expect that Argan, Inc. will post 11.44 earnings per share for the current fiscal year.

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

Argan Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, April 30th. Shareholders of record on Wednesday, April 22nd will be given a $0.50 dividend. The ex-dividend date is Wednesday, April 22nd. This represents a $2.00 dividend on an annualized basis and a dividend yield of 0.3%. Argan's payout ratio is presently 20.53%.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Aster Capital Management DIFC Ltd purchased a new stake in shares of Argan in the third quarter worth $25,000. University of Texas Texas AM Investment Management Co. purchased a new position in shares of Argan in the 4th quarter worth about $30,000. Montag A & Associates Inc. purchased a new position in shares of Argan in the 4th quarter worth about $30,000. Hilton Head Capital Partners LLC bought a new position in Argan in the 4th quarter worth about $31,000. Finally, AdvisorNet Financial Inc purchased a new stake in Argan during the 1st quarter valued at about $54,000. Institutional investors own 79.43% of the company's stock.

Analyst Upgrades and Downgrades

AGX has been the subject of a number of research reports. Lake Street Capital increased their price target on shares of Argan from $325.00 to $375.00 and gave the stock a "hold" rating in a research note on Friday, March 27th. Wall Street Zen upgraded Argan from a "hold" rating to a "buy" rating in a report on Saturday, March 28th. Weiss Ratings reissued a "buy (b)" rating on shares of Argan in a research report on Monday, April 6th. Zacks Research upgraded Argan from a "hold" rating to a "strong-buy" rating in a research note on Tuesday, March 31st. Finally, The Goldman Sachs Group lifted their price target on Argan from $399.00 to $518.00 and gave the company a "buy" rating in a research report on Friday, March 27th. One equities research analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus target price of $425.40.

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.

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