Insider Selling: Argan (NYSE:AGX) Director Sells 4,660 Shares of Stock

Key Points

• Director James Quinn sold 4,660 shares of Argan, Inc. (NYSE:AGX) at an average price of $259.35, totaling approximately $1.21 million.
• Argan recently increased its quarterly dividend to $0.50 per share, up from $0.38, set to be paid on October 31st.
• The company reported a beat on earnings with $2.50 per share for the last quarter, exceeding estimates and showing a year-over-year revenue increase of 4.7%.

Argan, Inc. (NYSE:AGX - Get Free Report) Director James W. Quinn sold 4,660 shares of the company's stock in a transaction dated Monday, September 22nd. The shares were sold at an average price of $259.35, for a total transaction of $1,208,571.00. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website.

Argan Stock Down 1.2%

Argan stock traded down $3.09 during midday trading on Tuesday, reaching $265.25. The stock had a trading volume of 102,329 shares, compared to its average volume of 430,040. Argan, Inc. has a 52-week low of $93.26 and a 52-week high of $270.12. The firm has a market cap of $3.66 billion, a price-to-earnings ratio of 31.88 and a beta of 0.62. The company has a fifty day moving average of $228.54 and a 200 day moving average of $191.86.

Argan (NYSE:AGX - Get Free Report) last posted its quarterly earnings data on Thursday, September 4th. The construction company reported $2.50 earnings per share for the quarter, topping analysts' consensus estimates of $1.99 by $0.51. Argan had a net margin of 12.73% and a return on equity of 32.61%. The company had revenue of $237.74 million for the quarter, compared to analyst estimates of $243.97 million. During the same period in the prior year, the company posted $1.31 EPS. The firm's revenue for the quarter was up 4.7% on a year-over-year basis.

Argan Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, October 31st. Shareholders of record on Thursday, October 23rd will be paid a $0.50 dividend. The ex-dividend date is Thursday, October 23rd. This represents a $2.00 dividend on an annualized basis and a yield of 0.8%. This is an increase from Argan's previous quarterly dividend of $0.38. Argan's payout ratio is currently 18.03%.

Analyst Ratings Changes

A number of equities analysts have commented on the stock. Wall Street Zen upgraded shares of Argan from a "hold" rating to a "buy" rating in a research note on Friday, September 5th. JPMorgan Chase & Co. assumed coverage on shares of Argan in a research note on Monday, July 21st. They issued a "neutral" rating and a $220.00 target price on the stock. Kepler Capital Markets downgraded shares of Argan from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, May 28th. Glj Research began coverage on shares of Argan in a research note on Monday. They issued a "hold" rating and a $251.00 target price on the stock. Finally, Lake Street Capital increased their price objective on shares of Argan from $236.00 to $260.00 and gave the company a "buy" rating in a research note on Friday, September 5th. One investment analyst has rated the stock with a Buy rating and four have given a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of "Hold" and a consensus target price of $220.25.

Institutional Trading of Argan

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. grew its position in Argan by 9.8% during the first quarter. Vanguard Group Inc. now owns 926,168 shares of the construction company's stock valued at $121,485,000 after buying an additional 82,585 shares during the period. American Century Companies Inc. grew its stake in shares of Argan by 7.6% in the 1st quarter. American Century Companies Inc. now owns 517,302 shares of the construction company's stock valued at $67,855,000 after buying an additional 36,644 shares during the period. First Trust Advisors LP lifted its holdings in shares of Argan by 14,436.3% in the 2nd quarter. First Trust Advisors LP now owns 329,393 shares of the construction company's stock worth $72,624,000 after acquiring an additional 327,127 shares during the last quarter. State Street Corp increased its stake in Argan by 1.7% during the 2nd quarter. State Street Corp now owns 324,356 shares of the construction company's stock worth $71,514,000 after buying an additional 5,575 shares during the period. Finally, Geode Capital Management LLC increased its position in shares of Argan by 3.9% in the 2nd quarter. Geode Capital Management LLC now owns 314,453 shares of the construction company's stock valued at $69,339,000 after purchasing an additional 11,788 shares during 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.