Insider Selling: Argan, Inc. (NYSE:AGX) CFO Sells 1,604 Shares of Stock

Key Points

• Argan, Inc. CFO Richard H. Deily sold 1,604 shares at an average price of $242.77, resulting in a total transaction value of $389,403.08 and a 17.05% decrease in his ownership stake.
• The company reported a quarterly EPS of $1.60, surpassing analysts' expectations, with a year-over-year revenue increase of 22.8%.
• Argan recently declared a quarterly dividend of $0.375 per share, reflecting a 0.6% yield and a payout ratio of 21.04%.

Argan, Inc. (NYSE:AGX - Get Free Report) CFO Richard H. Deily sold 1,604 shares of the company's stock in a transaction dated Thursday, July 31st. The shares were sold at an average price of $242.77, for a total value of $389,403.08. Following the completion of the sale, the chief financial officer directly owned 7,802 shares of the company's stock, valued at approximately $1,894,091.54. This trade represents a 17.05% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink.

Argan Stock Performance

NYSE AGX traded up $4.37 during trading hours on Thursday, reaching $244.87. 599,011 shares of the company's stock were exchanged, compared to its average volume of 442,547. The company's 50-day moving average is $214.65 and its two-hundred day moving average is $169.11. Argan, Inc. has a one year low of $63.53 and a one year high of $253.79. The company has a market capitalization of $3.34 billion, a price-to-earnings ratio of 34.34 and a beta of 0.54.

Argan (NYSE:AGX - Get Free Report) last released its quarterly earnings results on Wednesday, June 4th. The construction company reported $1.60 earnings per share for the quarter, topping analysts' consensus estimates of $1.09 by $0.51. Argan had a return on equity of 29.61% and a net margin of 11.00%. The firm had revenue of $193.66 million during the quarter, compared to the consensus estimate of $193.75 million. During the same quarter in the prior year, the firm posted $0.58 EPS. The business's revenue was up 22.8% on a year-over-year basis.

Argan Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, July 31st. Shareholders of record on Wednesday, July 23rd will be given a dividend of $0.375 per share. The ex-dividend date is Wednesday, July 23rd. This represents a $1.50 annualized dividend and a yield of 0.6%. Argan's dividend payout ratio (DPR) is presently 21.04%.

Analysts Set New Price Targets

A number of analysts have recently commented on AGX shares. JPMorgan Chase & Co. started coverage on Argan in a research note on Monday, July 21st. They issued a "neutral" rating and a $220.00 price target for the company. Lake Street Capital increased their target price on Argan from $150.00 to $236.00 and gave the stock a "buy" rating in a research note on Thursday, June 5th. Finally, Kepler Capital Markets cut Argan from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, May 28th. Four investment analysts have rated the stock with a hold rating and one has given a buy rating to the company's stock. Based on data from MarketBeat.com, Argan has an average rating of "Hold" and a consensus target price of $202.00.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the company. HighTower Advisors LLC bought a new position in shares of Argan in the fourth quarter worth $333,000. Commonwealth Equity Services LLC acquired a new position in shares of Argan in the fourth quarter worth approximately $202,000. LPL Financial LLC lifted its stake in shares of Argan by 138.2% in the fourth quarter. LPL Financial LLC now owns 26,142 shares of the construction company's stock worth $3,582,000 after acquiring an additional 15,167 shares during the period. Vanguard Group Inc. increased its holdings in Argan by 2.0% in the fourth quarter. Vanguard Group Inc. now owns 843,583 shares of the construction company's stock worth $115,605,000 after purchasing an additional 16,784 shares in the last quarter. Finally, JPMorgan Chase & Co. increased its holdings in Argan by 0.7% in the fourth quarter. JPMorgan Chase & Co. now owns 38,084 shares of the construction company's stock worth $5,219,000 after purchasing an additional 265 shares in the last quarter. Institutional investors own 79.43% of the company's stock.

Argan Company Profile

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.

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