Argan, Inc.

NYSE:AGX Stock Report

Market Cap: US$2.0b

Argan Valuation

Is AGX undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of AGX when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AGX ($146.87) is trading above our estimate of fair value ($86.32)

Significantly Below Fair Value: AGX is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for AGX?

Key metric: As AGX is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for AGX. This is calculated by dividing AGX's market cap by their current earnings.
What is AGX's PE Ratio?
PE Ratio45.5x
EarningsUS$43.56m
Market CapUS$2.01b

Price to Earnings Ratio vs Peers

How does AGX's PE Ratio compare to its peers?

The above table shows the PE ratio for AGX vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average36.7x
MYRG MYR Group
61.1x67.1%US$2.3b
ECG Everus Construction Group
21.1x1.6%US$3.1b
AMRC Ameresco
26.3x33.7%US$1.4b
GVA Granite Construction
38.3x41.7%US$4.3b
AGX Argan
45.5x23.2%US$2.0b

Price-To-Earnings vs Peers: AGX is expensive based on its Price-To-Earnings Ratio (45.5x) compared to the peer average (36.7x).

Price to Earnings Ratio vs Industry

How does AGX's PE Ratio compare vs other companies in the US Construction Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
AGX 45.5xIndustry Avg. 34.7xNo. of Companies5PE020406080100+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: AGX is expensive based on its Price-To-Earnings Ratio (45.5x) compared to the US Construction industry average (34.7x).

Price to Earnings Ratio vs Fair Ratio

What is AGX's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AGX PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio45.5x
Fair PE Ratio26x

Price-To-Earnings vs Fair Ratio: AGX is expensive based on its Price-To-Earnings Ratio (45.5x) compared to the estimated Fair Price-To-Earnings Ratio (26x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst AGX forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$146.87
US$82.50
-43.8%
3.0%US$85.00US$80.00n/a2
Nov ’25US$136.88
US$82.50
-39.7%
3.0%US$85.00US$80.00n/a2
Oct ’25US$100.91
US$82.50
-18.2%
3.0%US$85.00US$80.00n/a2
Sep ’25US$79.31
US$77.50
-2.3%
9.7%US$85.00US$70.00n/a2
Aug ’25US$74.52
US$77.50
+4.0%
9.7%US$85.00US$70.00n/a2
Jul ’25US$71.48
US$77.50
+8.4%
9.7%US$85.00US$70.00n/a2
Jun ’25US$70.63
US$65.00
-8.0%
7.7%US$70.00US$60.00n/a2
May ’25US$60.33
US$65.00
+7.7%
7.7%US$70.00US$60.00n/a2
Apr ’25US$50.43
US$54.50
+8.1%
11.9%US$61.00US$48.00n/a2
Mar ’25US$46.74
US$54.50
+16.6%
11.9%US$61.00US$48.00n/a2
Feb ’25US$45.86
US$54.50
+18.8%
11.9%US$61.00US$48.00n/a2
Jan ’25US$46.79
US$54.50
+16.5%
11.9%US$61.00US$48.00n/a2
Dec ’24US$47.00
US$53.50
+13.8%
14.0%US$61.00US$46.00n/a2
Nov ’24US$46.37
US$53.50
+15.4%
14.0%US$61.00US$46.00US$136.882
Oct ’24US$45.52
US$53.50
+17.5%
14.0%US$61.00US$46.00US$100.912
Sep ’24US$42.65
US$53.50
+25.4%
14.0%US$61.00US$46.00US$79.312
Aug ’24US$38.20
US$53.50
+40.1%
14.0%US$61.00US$46.00US$74.522
Jul ’24US$39.41
US$53.50
+35.8%
14.0%US$61.00US$46.00US$71.482
Jun ’24US$39.81
US$53.50
+34.4%
14.0%US$61.00US$46.00US$70.632
May ’24US$40.61
US$53.50
+31.7%
14.0%US$61.00US$46.00US$60.332
Apr ’24US$40.47
US$53.50
+32.2%
14.0%US$61.00US$46.00US$50.432
Mar ’24US$39.21
US$53.50
+36.4%
14.0%US$61.00US$46.00US$46.742
Feb ’24US$38.93
US$53.50
+37.4%
14.0%US$61.00US$46.00US$45.862
Jan ’24US$36.88
US$53.50
+45.1%
14.0%US$61.00US$46.00US$46.792
Dec ’23US$37.75
US$55.50
+47.0%
9.9%US$61.00US$50.00US$47.002
Nov ’23US$34.62
US$55.50
+60.3%
9.9%US$61.00US$50.00US$46.372

Analyst Forecast: Target price is lower than the current share price.

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