Stock fact sheet · data as of
Argan, Inc. (AGX): fair value, margin of safety and Wheel Score
Industrials · Engineering & Construction · United States · High Growth
Is AGX undervalued?
At 367.16 (close of 16 Oct 2026), AGX trades within a few percent of the GLS average fair value of 392.92 (6.6% below fair value). 9 models produced a value and they split 3 above the price to 6 below. A stock priced at fair value earns about half of the Wheel Score's Value points; the rest of the score comes from health, moat, premium and stability.
The 9 models disagree widely: DDM gives 29.43 while Payback Time gives 1,265.41. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
The nightly engine files AGX under High Growth: revenue and earnings growing fast enough that the growth-based models carry the valuation.
Nine valuation models for AGX
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 172.76 | -53% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 101.94 | -72% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 173.68 | -53% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 34.49 | -91% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 782.55 | +113% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 834.01 | +127% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 1,265.41 | +245% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 29.43 | -92% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 142.03 | -61% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | 29.09 | -92% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 436.50 | +19% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is average - AGX passes 5 of the nine Piotroski tests, which falls one point short of the Sunday Scan's "6 or more" rule. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is 5.9 out of 10: a ten-year record that is consistent in some of the metrics the score tracks (revenue, earnings, margins, cash flow, returns on capital) and patchy in others.
Returns on capital are high - ROIC 29.4%, ROE 29.8%, ROA 11.6% - with debt at 0.01 times equity and a free-cash-flow yield of 10.6%.
The dividend yield is 0.54% with a payout ratio of 16% - a small yield that leaves most of the earnings in the business. Revenue comes mainly from Power Industry Services 80%, Industrial Fabrication And Field Servic… 20% (quarter Q2 FY2027).
Institutional ownership scores 10/10, insider activity 1/10 and Congressional trading 10/10 on the GLS smart-money scales.
| Piotroski F-score | 5 / 9 | ROIC | 29.4% |
|---|---|---|---|
| GLS Moat | 5.9 / 10 | ROE | 29.8% |
| Debt / equity | 0.01 | ROA | 11.6% |
| Free-cash-flow yield | 10.6% | Payout ratio | 16% |
| Institutions | 10 / 10 | Insiders · Congress | 1 · 10 / 10 |
Wheel Score 69: Good
AGX scores 69 out of 100 on the Wheel Score (Good band, 65-79). The score blends the margin of safety (Value, 15/25), Piotroski health (11/20), the GLS moat (9/15), the option premium on offer (18/20) and how easily the stock trades (15/20). Health (11/20) is the part holding the score back.
Implied volatility is 66% on the near-the-money contracts 20-60 days out - above the 60% ceiling of the sweet spot. Premiums are large, but the Wheel Score tapers the Premium points (18 of 20) because volatility this high usually comes with a reason. Chain open interest is 17,764 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 449k shares a day on a market cap of $5.2B, with a beta of 0.56 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score gives that 15 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 15 / 25 | 7% margin of safety | |
| Health | 11 / 20 | Piotroski 5/9 | |
| Moat | 9 / 15 | moat 5.9/10 | |
| Premium | 18 / 20 | implied volatility 66% | |
| Stability | 15 / 20 | 449k shares/day, $5.2B cap, beta 0.56 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 3 Dec 2026, 48 days away - outside the window of a 30-45-day put sold today. The shares go ex-dividend on 22 Oct 2026 (0.7000 per share), so a covered call sold before then carries a small early-assignment risk around that date.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Engineering & Construction
The 12 companies below are the closest to Argan, Inc. by market cap within the Engineering & Construction industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| GVA Granite Construction Incorporated | 108.78 | 92.37 | -18% | 45Weak | $4.8B |
| ECG Everus Construction Group, Inc. | 111.66 | 117.18 | +5% | 69Good | $5.7B |
| KBR KBR, Inc. | 36.44 | 65.77 | +45% | 84Prime | $4.6B |
| ROAD Construction Partners, Inc. | 80.84 | 73.66 | -10% | 66Good | $4.6B |
| MYRG MYR Group Inc. | 285.57 | 266.09 | -7% | 71Good | $4.4B |
| LGN Legence Corp. Class A Common stock | 45.30 | 49.16 | +8% | 45Weak | $6.3B |
| PRIM Primoris Services Corporation | 78.03 | 72.47 | -8% | 68Good | $4.2B |
| TPC Tutor Perini Corporation | 79.48 | 114.12 | +30% | 78Good | $4.2B |
| FLR Fluor Corporation | 47.67 | 8.01 | -495% | 45Weak | $6.4B |
| STN Stantec Inc. | 67.11 | 98.56 | +32% | 86Prime | $7.5B |
| ACM Aecom | 59.09 | 51.70 | -14% | 64Fair | $7.6B |
| EXPO Exponent, Inc. | 72.28 | 38.35 | -88% | 60Fair | $3.4B |
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Start free See the Sunday ScanQuestions about AGX
Is AGX undervalued right now?
Not meaningfully: at 367.16 the stock trades within a few percent of the GLS average fair value of 392.92 (6.6% below fair value, data as of 16 Oct 2026).
What is the Wheel Score of AGX and what does it mean?
AGX scores 69 out of 100 (Good). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for AGX?
392.92 per share as of 16 Oct 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Argan, Inc. report earnings next?
The next earnings report is due on 3 Dec 2026 (after the close), 48 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does AGX have listed options, and how liquid are they?
Yes. The nightly snapshot found 1,000 listed contracts with 17,764 open interest across all expiries and implied volatility of 66% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.