Argan (NYSE:AGX) Shares Up 4.5% – Time to Buy?

Shares of Argan, Inc. (NYSE:AGX) rose 4.5% during mid-day trading on Thursday . The stock traded as high as $135.61 and last traded at $135.15. Approximately 23,663 shares traded hands during trading, a decline of 84% from the average daily volume of 151,607 shares. The stock had previously closed at $129.28.

Argan Price Performance

The firm has a market cap of $1.74 billion, a PE ratio of 40.48 and a beta of 0.53. The stock has a 50-day moving average price of $91.88 and a 200 day moving average price of $76.63.

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 company had revenue of $227.02 million during the quarter, compared to analysts’ expectations of $191.05 million. Argan had a return on equity of 14.80% and a net margin of 6.11%. The business’s revenue for the quarter was up 60.6% compared to the same quarter last year.

Argan Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, October 31st. Shareholders of record on Wednesday, October 23rd will be paid a dividend of $0.375 per share. The ex-dividend date of this dividend is Wednesday, October 23rd. This represents a $1.50 dividend on an annualized basis and a yield of 1.17%. This is an increase from Argan’s previous quarterly dividend of $0.30. Argan’s dividend payout ratio (DPR) is currently 37.74%.

Insider Activity

In related news, Director Peter W. Getsinger sold 1,405 shares of the stock in a transaction on Wednesday, July 24th. The stock was sold at an average price of $78.36, for a total value of $110,095.80. Following the transaction, the director now directly owns 13,000 shares of the company’s stock, valued at approximately $1,018,680. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. In other news, Director Cynthia Flanders sold 5,000 shares of Argan stock in a transaction dated Wednesday, September 25th. The stock was sold at an average price of $96.39, for a total value of $481,950.00. Following the transaction, the director now directly owns 17,332 shares of the company’s stock, valued at $1,670,631.48. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, Director Peter W. Getsinger sold 1,405 shares of the business’s stock in a transaction dated Wednesday, July 24th. The stock was sold at an average price of $78.36, for a total value of $110,095.80. Following the sale, the director now owns 13,000 shares of the company’s stock, valued at $1,018,680. The trade was a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 56,539 shares of company stock valued at $4,820,475 in the last ninety days. Company insiders own 11.85% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Thurston Springer Miller Herd & Titak Inc. purchased a new position in shares of Argan in the 3rd quarter valued at $43,000. Point72 Asia Singapore Pte. Ltd. acquired a new stake in shares of Argan in the second quarter valued at about $41,000. nVerses Capital LLC purchased a new stake in shares of Argan during the third quarter valued at approximately $91,000. Point72 DIFC Ltd purchased a new stake in Argan during the 2nd quarter worth $70,000. Finally, EntryPoint Capital LLC acquired a new stake in shares of Argan during the first quarter valued at about $95,000. 79.43% of the stock is owned by institutional investors and hedge funds.

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.