AGX Stock Analysis: Argan | NYSE
Engineering & Construction | NYSE, USA | Market Cap: 5.385m USD | 12M Return: 42.2% | US04010E1091 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 147M
EPS Trend: 98.1%
Qual. Beats: 3
Rev. Trend: 96.4%
Qual. Beats: 2
Warnings
Tailwinds
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Argan, Inc. (NYSE: AGX) is a U.S.-based engineering, procurement, construction (EPC), and technical services provider operating through three segments: Power, Industrial, and Teledata. The Power segment, which is the companys core business, delivers large-scale energy project design, construction, commissioning, and consulting services to independent power producers, public utilities, and equipment suppliers, while also servicing turbines, boilers, and large rotating equipment. The Industrial segment provides field services, plant maintenance, turnarounds, and metal fabrication (piping and pressure vessels), and the Teledata segment offers trenchless boring, aerial cabling, structured cabling, and utility construction, primarily serving mid-Atlantic government, municipal, and cooperative customers. Headquartered in Arlington, Virginia, and incorporated in 1961, Argan generates the majority of its revenue from the U.S. power generation EPC market, with additional operations in Ireland and the UK.
As a mid-cap Industrials company in the Construction & Engineering sub-industry, Argans business model is project-based, meaning revenue is driven by the timing of large, often multi-year power and industrial contracts rather than recurring volume. EPC providers in this space typically face lumpiness in bookings and earnings tied to utility capital expenditure cycles, regulatory permitting, and demand from natural gas, renewable, and conventional generation projects. The diversification into Industrial and Teledata provides some counter-cyclical balance to the longer-cycle Power segment.
- Data center power demand fuels gas plant EPC backlog growth
- Power segment concentration creates project execution margin risk
- Special dividends continue on robust free cash flow generation
| Net Income: 179.3m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.13 > 0.02 and ΔFCF/TA -1.19 > 1.0 |
| NWC/Revenue: 37.06% < 20% (prev 37.41%; Δ -0.34% < -1%) |
| CFO/TA 0.40 > 3% & CFO 555.2m > Net Income 179.3m |
| Net Debt (-495.9m) to EBITDA (218.0m): -2.27 < 3 |
| Current Ratio: 1.50 > 1.5 & < 3 |
| Outstanding Shares: last quarter (14.2m) vs 12m ago 0.23% < -2% |
| Gross Margin: 20.86% > 18% (prev 18.79%; Δ 2.07% > 0.5%) |
| Asset Turnover: 104.1% > 50% (prev 104.3%; Δ -0.27% > 0%) |
| Interest Coverage Ratio: error (cannot be calculated; needs correct EBIT TTM and Interest Expense TTM) |
| A: 0.31 (Total Current Assets 1.32b - Total Current Liabilities 878.1m) / Total Assets 1.40b |
| B: 0.35 (Retained Earnings 491.5m / Total Assets 1.40b) |
| C: 0.19 (EBIT TTM 215.7m / Avg Total Assets 1.14b) |
| D: 0.57 (Book Value of Equity 506.8m / Total Liabilities 894.1m) |
| Altman-Z'' = 5.07 = AAA |
| DSRI: 0.58 (Receivables 180.4m/241.1m, Revenue 1.19b/920.9m) |
| GMI: 0.90 (GM 18.79% / 20.86%) |
| AQI: 1.27 (AQ_t 0.04 / AQ_t-1 0.03) |
| SGI: 1.29 (Revenue 1.19b / 920.9m) |
| TATA: -0.27 (NI 179.3m - CFO 555.2m) / TA 1.40b) |
| Beneish M = -3.12 (Cap -4..+1) = AA |
As of October 09, 2026, the stock is trading at USD 398.66 with a total of 334,485 shares traded. Over the past week, the price has changed by +5.03%, over one month by -8.73%, over three months by -40.04% and over the past year by +42.21%.
Current recommended Stop Loss: 370.60 (which is 7% or 1.3 ATR below the current price).
Argan has received a consensus analysts rating of 4.00. Therefore, it is recommended to buy AGX.
- StrongBuy: 3
- Buy: 1
- Hold: 1
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 570.5 | 43.1% |
P/E Trailing = 30.2944
P/E Forward = 16.6113
P/S = 4.5324
P/B = 10.3638
Revenue TTM = 1.19b USD
EBIT TTM = 215.7m USD
EBITDA TTM = 218.0m USD
Long Term Debt = unknown (none)
Short Term Debt = 2.52m USD (from shortTermDebt, last fiscal year)
Debt = 17.3m USD (from shortLongTermDebtTotal, last fiscal year) + Leases 10.9m
Net Debt = -495.9m USD (calculated: Debt 17.3m - CCE 513.2m)
Enterprise Value = 4.89b USD (5.39b + Debt 17.3m - CCE 513.2m)
Interest Coverage Ratio = unknown (Ebit TTM 215.7m / Interest Expense TTM 0.0)
EV/FCF = 27.02x (Enterprise Value 4.89b / FCF TTM 180.9m)
FCF Yield = 3.70% (FCF TTM 180.9m / Enterprise Value 4.89b)
FCF Margin = 15.23% (FCF TTM 180.9m / Revenue TTM 1.19b)
Net Margin = 15.09% (Net Income TTM 179.3m / Revenue TTM 1.19b)
Gross Margin = 20.86% ((Revenue TTM 1.19b - Cost of Revenue TTM 940.3m) / Revenue TTM)
Gross Margin QoQ = 19.33% (prev 21.00%)
Tobins Q-Ratio = 3.49 (Enterprise Value 4.89b / Total Assets 1.40b)
Interest Expense / Debt = 0.0% (Interest Expense 0.0 / Debt 17.3m)
Taxrate = 16.89% (36.4m / 215.7m)
NOPAT = 179.3m (EBIT 215.7m * (1 - 16.89%))
Current Ratio = 1.33 (Total Current Assets 1.32b / Total Current Liabilities 993.3m)
Debt / Equity = 0.03 (Debt 17.3m / totalStockholderEquity, last quarter 506.8m)
Debt / EBITDA = -2.27 (Net Debt -495.9m / EBITDA 218.0m)
Debt / FCF = -2.74 (Net Debt -495.9m / FCF TTM 180.9m)
Total Stockholder Equity = 465.6m (last 4 quarters mean from totalStockholderEquity)
RoA = 15.70% (Net Income 179.3m / Total Assets 1.40b)
RoE = 38.51% (Net Income TTM 179.3m / Total Stockholder Equity 465.6m)
RoCE = 41.26% (EBIT 215.7m / Capital Employed (Total Assets 1.40b - Current Liab 878.1m))
RoIC = 38.48% (NOPAT 179.3m / Invested Capital 466.0m)
WACC = 12.99% (E(5.39b)/V(5.40b) * Re(13.03%) + D(17.3m)/V(5.40b) * Rd(0.0%) * (1-Tc(0.17)))
Discount Rate = 13.03% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 79.23 | Cagr: 1.92%
[DCF] Terminal Value 64.47% ; FCFF base≈158.3m ; Y1≈181.5m ; Y5≈267.1m
[DCF] Fair Price = 192.1 (EV 2.20b - Net Debt -495.9m = Equity 2.69b / Shares 14.0m; r=12.99% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 98.13 | EPS CAGR: 93.78% | SUE: 2.43 | # QB: 3
Revenue Correlation: 96.40 | Revenue CAGR: 30.18% | SUE: 3.70 | # QB: 2
EPS current Quarter (2026-10-31): EPS=3.17 | Chg30d=+6.84% | Revisions=+40% | Analysts=5
EPS current Year (2027-01-31): EPS=13.27 | Chg30d=+9.74% | Revisions=+40% | GrowthEPS=+36.2% | GrowthRev=+48.3%
EPS next Year (2028-01-31): EPS=16.11 | Chg30d=+0.73% | Revisions=+17% | GrowthEPS=+21.4% | GrowthRev=+20.4%
[Analyst] Revisions Ratio: +50% (up=6, down=1)