Argan Inc Secures $3 Billion Backlog, Stock Surges
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 22 Dec 25
Source: Fool
Argan Inc (AGX) experienced a notable price increase of 5.00%, crossing above the 20-day SMA, amid positive market conditions with the Nasdaq-100 up 0.45% and the S&P 500 up 0.67%.
The surge is attributed to Argan securing a $3 billion backlog, which is expected to drive future business growth and enhance its market position in the power industry. Additionally, the company raised its quarterly dividend by 33% to $0.50 per share, reflecting strong financial health and investor confidence.
This strong performance indicates that Argan is well-positioned for future profitability, despite a slight revenue decline in Q3, as the backlog and ongoing project advancements are likely to support continued growth.
Analyst Views on AGX
Wall Street analysts forecast AGX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AGX is 365.25 USD with a low forecast of 325.00 USD and a high forecast of 397.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
4 Analyst Rating
2 Buy
2 Hold
0 Sell
Moderate Buy
Current: 353.500
Low
325.00
Averages
365.25
High
397.00
Current: 353.500
Low
325.00
Averages
365.25
High
397.00
About AGX
Argan, Inc. is a holding company. The Company is a construction firm that conducts operations through its subsidiaries, Gemma Power Systems, LLC and affiliates (GPS), Atlantic Projects Company Limited and affiliates (APC), The Roberts Company, Inc. (TRC), and Southern Maryland Cable, Inc. (SMC). Through GPS and APC, its power industry services, it offers a suite of engineering, procurement, construction, commissioning, maintenance, project development and technical consulting services to the power generation market, including the renewable energy sector. Through TRC, the industrial construction services provide field services and project management that support new plant construction and additions, maintenance turnarounds, shutdowns and emergency mobilizations for industrial plants. Through SMC, its telecommunications infrastructure services provide project management, construction, installation and maintenance services to commercial, local government and federal government customers.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
