Argan, Inc. (AGX) To Go Ex-Dividend on October 22nd

Argan, Inc. (NYSE:AGX) declared a quarterly dividend on Wednesday, September 9th. Stockholders of record on Thursday, October 22nd will be given a dividend of $0.70 per share by the construction company on Friday, October 30th. This represents a $2.80 annualized dividend and a dividend yield of 0.8%. The ex-dividend date of this dividend is Thursday, October 22nd. This is a 40.0% increase from Argan’s previous quarterly dividend of $0.50.

Argan has decreased its dividend payment by an average of 0.1% annually over the last three years and has increased its dividend every year for the last 2 years. Argan has a payout ratio of 38.3% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Argan to earn $16.88 per share next year, which means the company should continue to be able to cover its $2.80 annual dividend with an expected future payout ratio of 16.6%.

Argan Price Performance

Shares of NYSE AGX opened at $354.82 on Tuesday. The firm has a market cap of $4.98 billion, a price-to-earnings ratio of 27.34, a P/E/G ratio of 2.52 and a beta of 0.56. The stock’s fifty day moving average price is $425.43 and its two-hundred day moving average price is $569.17. Argan has a one year low of $257.62 and a one year high of $805.75.

Argan (NYSE:AGX) last posted its earnings results on Wednesday, September 2nd. The construction company reported $3.76 earnings per share for the quarter, topping analysts’ consensus estimates of $2.64 by $1.12. The company had revenue of $383.98 million during the quarter, compared to the consensus estimate of $300.53 million. Argan had a return on equity of 38.51% and a net margin of 15.09%. The company’s revenue was up 61.5% on a year-over-year basis. During the same quarter last year, the firm earned $2.50 earnings per share. On average, equities analysts anticipate that Argan will post 13.72 earnings per share for the current fiscal year.

Analyst Ratings Changes

A number of equities research analysts have recently weighed in on the stock. Freedom Broker upgraded shares of Argan from a “hold” rating to a “strong-buy” rating in a research report on Friday, September 4th. Wall Street Zen raised Argan from a “hold” rating to a “buy” rating in a report on Sunday. Lake Street Capital raised Argan from a “hold” rating to a “buy” rating and set a $600.00 price objective for the company in a report on Thursday, September 3rd. Piper Sandler assumed coverage on Argan in a research report on Tuesday, September 8th. They set an “underweight” rating and a $273.00 target price for the company. Finally, Weiss Ratings raised Argan from a “hold (c+)” rating to a “buy (b-)” rating in a report on Friday, October 9th. One analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, three have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, Argan has a consensus rating of “Moderate Buy” and a consensus price target of $509.00.

About Argan

Argan, Inc is a holding company that provides engineering, procurement, construction, commissioning, operations and maintenance services for the power generation and renewable energy industries. Its work supports the development, construction and improvement of utility-scale energy infrastructure.

Through its subsidiaries, Argan offers engineering and construction management, project development support, procurement, installation, startup and commissioning services. Its projects have included natural gas-fired power plants, solar and other renewable energy facilities, and related industrial and electrical infrastructure.

Argan’s principal operating businesses include Gemma Power Systems, which provides engineering, procurement and construction services for power generation and renewable energy projects, and Atlantic Projects Company, which provides engineering, project management and construction-related services.