Added to YB: 2024-04-10
Pitch date: 2024-04-09
AGX [bullish]
Argan, Inc.
+1065.5%
current return
Author Info
No bio for this author
Company Info
Argan, Inc., through its subsidiaries, provides engineering, procurement, construction, commissioning, maintenance, project development, and technical consulting services to the power generation market.
Market Cap
$946.2M
Pitch Price
$49.10
Price Target
N/A
Dividend
1.69%
EV/EBITDA
11.15
P/E
29.65
EV/Sales
0.94
Sector
Construction and Engineering
Category
value
Argan: Quality Business, Uncorrelated Returns, And Belongs In An All-Weather Portfolio
AGX: EPC firm specializing in power gen facilities. Uncorrelated returns (0.64 beta), outperformed despite recent lull. Energy demand surge from population growth, AI/crypto to drive 74%+ market expansion. $0.7B backlog (82% low-carbon), CEO sees meaningful increase. Q3 rev +39% YoY, $400M cash, no debt, $100M returned via buybacks & divs. Undervalued: 20x P/E (23% disc to industry), 50%+ disc on other metrics. Risks: project delays, cost overruns, but long-term prospects remain strong.
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