Jag Capital Management LLC Makes New Investment in Argan, Inc. $AGX

Jag Capital Management LLC acquired a new position in Argan, Inc. (NYSE:AGX) in the 4th quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm acquired 930 shares of the construction company’s stock, valued at approximately $291,000.

Other institutional investors have also added to or reduced their stakes in the company. Aster Capital Management DIFC Ltd bought a new stake in Argan in the third quarter worth about $25,000. Danske Bank A S bought a new stake in Argan in the third quarter worth about $27,000. Montag A & Associates Inc. bought a new stake in Argan in the fourth quarter worth about $30,000. Accredited Wealth Management LLC bought a new stake in Argan in the third quarter worth about $32,000. Finally, USA Financial Formulas bought a new stake in shares of Argan during the fourth quarter valued at approximately $40,000. Institutional investors own 79.43% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research firms have recently weighed in on AGX. Freedom Capital raised shares of Argan to a “hold” rating in a research note on Tuesday, March 10th. The Goldman Sachs Group lifted their price target on shares of Argan from $399.00 to $518.00 and gave the company a “buy” rating in a research note on Friday, March 27th. Lake Street Capital lifted their price target on shares of Argan from $325.00 to $375.00 and gave the company a “hold” rating in a research note on Friday, March 27th. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Argan in a research note on Monday, April 6th. Finally, JPMorgan Chase & Co. raised shares of Argan from a “neutral” rating to an “overweight” rating and set a $550.00 price target for the company in a research note 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 company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $425.40.

Argan Trading Down 3.9%

NYSE AGX opened at $638.60 on Wednesday. The firm’s fifty day simple moving average is $583.70 and its two-hundred day simple moving average is $438.08. Argan, Inc. has a 12-month low of $184.35 and a 12-month high of $748.50. The firm has a market capitalization of $8.91 billion, a P/E ratio of 65.57 and a beta of 0.61.

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

Argan Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, April 30th. Shareholders of record on Wednesday, April 22nd were issued a $0.50 dividend. This represents a $2.00 annualized dividend and a yield of 0.3%. The ex-dividend date of this dividend was Wednesday, April 22nd. Argan’s payout ratio is currently 20.53%.

Argan announced that its Board of Directors has authorized a share repurchase plan on Wednesday, April 8th that authorizes the company to buyback $200.00 million in outstanding shares. This buyback authorization authorizes the construction company to purchase up to 2.5% of its shares through open market purchases. Shares buyback plans are usually a sign that the company’s board of directors believes its shares are undervalued.

Insiders Place Their Bets

In other Argan news, Director William F. Leimkuhler sold 8,444 shares of Argan stock in a transaction on Monday, April 13th. The shares were sold at an average price of $598.49, for a total value of $5,053,649.56. Following the transaction, the director directly owned 41,495 shares of the company’s stock, valued at approximately $24,834,342.55. The trade was a 16.91% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Peter W. Getsinger sold 3,000 shares of Argan stock in a transaction on Wednesday, April 29th. The stock was sold at an average price of $628.36, for a total transaction of $1,885,080.00. Following the completion of the transaction, the director directly owned 6,847 shares in the company, valued at $4,302,380.92. This represents a 30.47% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 64,543 shares of company stock valued at $39,054,956. 6.69% of the stock is currently owned by company insiders.

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.