Argan, Inc. $AGX Shares Sold by WCM Investment Management LLC

WCM Investment Management LLC cut its holdings in Argan, Inc. (NYSE:AGX) by 89.8% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 23,016 shares of the construction company’s stock after selling 203,157 shares during the quarter. WCM Investment Management LLC owned about 0.16% of Argan worth $11,830,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds also recently bought and sold shares of the business. SJS Investment Consulting Inc. grew its stake in shares of Argan by 2,950.0% in the 1st quarter. SJS Investment Consulting Inc. now owns 61 shares of the construction company’s stock worth $33,000 after purchasing an additional 59 shares during the last quarter. University of Texas Texas AM Investment Management Co. acquired a new stake in Argan during the fourth quarter valued at approximately $30,000. Montag A & Associates Inc. bought a new stake in Argan during the fourth quarter worth approximately $30,000. Hilton Head Capital Partners LLC bought a new stake in Argan during the fourth quarter worth approximately $31,000. Finally, AdvisorNet Financial Inc acquired a new position in Argan in the first quarter worth approximately $54,000. 79.43% of the stock is owned by institutional investors and hedge funds.

Argan Stock Performance

NYSE:AGX opened at $602.60 on Tuesday. The company has a market capitalization of $8.45 billion, a P/E ratio of 52.95 and a beta of 0.57. The stock’s 50 day moving average price is $678.24 and its 200 day moving average price is $543.41. Argan, Inc. has a 52 week low of $196.90 and a 52 week high of $805.75.

Argan (NYSE:AGX) last posted its earnings results on Thursday, June 4th. The construction company reported $3.24 EPS for the quarter, topping the consensus estimate of $2.31 by $0.93. Argan had a net margin of 15.48% and a return on equity of 36.89%. The company had revenue of $290.95 million during the quarter, compared to the consensus estimate of $256.03 million. During the same period in the previous year, the firm posted $1.60 earnings per share. The company’s revenue for the quarter was up 50.2% compared to the same quarter last year. As a group, sell-side analysts forecast that Argan, Inc. will post 12.6 earnings per share for the current fiscal year.

Argan Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, July 31st. Shareholders of record on Thursday, July 23rd will be issued a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a yield of 0.3%. The ex-dividend date is Thursday, July 23rd. Argan’s dividend payout ratio (DPR) is 17.57%.

Argan announced that its board has initiated a stock buyback program on Wednesday, April 8th that permits the company to buyback $200.00 million in shares. This buyback authorization permits the construction company to repurchase up to 2.5% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s management believes its shares are undervalued.

Analyst Upgrades and Downgrades

Several research analysts have issued reports on the company. JPMorgan Chase & Co. raised Argan from a “neutral” rating to an “overweight” rating and set a $550.00 price target on the stock in a report on Friday, March 27th. Zacks Research upgraded Argan from a “hold” rating to a “strong-buy” rating in a report on Wednesday, June 24th. Lake Street Capital boosted their target price on Argan from $375.00 to $600.00 and gave the stock a “hold” rating in a research report on Friday, June 5th. Wall Street Zen raised Argan from a “hold” rating to a “buy” rating in a report on Saturday, March 28th. Finally, The Goldman Sachs Group increased 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 issued a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat.com, Argan has an average rating of “Moderate Buy” and a consensus price target of $470.40.

Insider Activity at Argan

In related news, Director William F. Leimkuhler sold 5,000 shares of the firm’s stock in a transaction that occurred on Tuesday, April 28th. The stock was sold at an average price of $617.41, for a total value of $3,087,050.00. Following the transaction, the director directly owned 36,495 shares of the company’s stock, valued at approximately $22,532,377.95. This trade represents a 12.05% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, Chairman William F. Griffin, Jr. sold 50,000 shares of the business’s stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $643.46, for a total value of $32,173,000.00. Following the completion of the sale, the chairman owned 90,976 shares of the company’s stock, valued at approximately $58,539,416.96. This trade represents a 35.47% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 134,105 shares of company stock valued at $91,724,081. Insiders own 6.69% of the company’s stock.

About Argan

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.