Massive beat on both revenue and EPS with strong margin expansion and zero-debt balance sheet signals accelerating earnings power. The $2.8B backlog provides multi-year revenue visibility. Monitor the conference call for updates on new contract awards and the North Carolina fabrication facility timeline. The stock has strong momentum from prior quarters and this print should reinforce the bullish thesis.
Price Chart
Executive Summary
Argan reported record Q1 FY2027 revenue of $291.0M (+50.2% YoY) and diluted EPS of $3.24 (+102.5% YoY), massively beating consensus estimates of $2.27 EPS and $256.0M revenue. The beat was driven by strong execution across all segments, with gross margin expanding to 21.0% from 19.0% and cash/investments growing to $973.6M with zero debt. Backlog dipped slightly to $2.8B from $2.9B at year-end, but the pipeline remains robust amid surging demand for gas-fired power infrastructure.
Key Financial Metrics
Key Facts
- Record quarterly revenue of $291.0M, up 50.2% YoY from $193.7M
- Diluted EPS of $3.24, up 102.5% from $1.60 in prior-year quarter
- EPS of $3.24 beat consensus estimate of $2.27 by 42.7%
- Revenue of $291.0M beat consensus estimate of $256.0M by 13.7%
- Gross margin improved to 21.0% from 19.0% YoY
- Adjusted EBITDA of $56.4M, up 79.2% YoY; margin expanded to 19.4% from 16.3%
- Cash, cash equivalents and investments grew to $973.6M; company has zero debt
- Project backlog of $2.8B, down slightly from $2.9B at year-end but still very elevated
- Share repurchases of $20.6M during the quarter; dividend increased 33% YoY to $0.50/share
- All three operating segments achieved significant revenue growth
Financial Impact
Revenue beat by $35M (13.7%) and EPS beat by $0.97 (42.7%) vs consensus; record quarterly revenue and net income
Risk Factors
- Backlog declined $162M sequentially from $2.9B to $2.8B, though still near record levels
- Construction execution risk on large, complex power plant projects
- Potential project delays or cancellations in the pipeline
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001104659-26-070517 |
| Document: agx-20260604x8k.htm | 0001104659-26-070517 |
| Document: 0001104659-26-070517-index-headers.html | 0001104659-26-070517 |
| Document: 0001104659-26-070517-index.html | 0001104659-26-070517 |
| Document: 0001104659-26-070517.txt | 0001104659-26-070517 |
| 8-K Data (Synthetic) | 0001104659-26-070517 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Sep 2, 2026 7w ago | 8-K | $411.77 $377.95 | ▼ −8.21% | ▼ −7.09% | $329.34 (−20.02%) |
Aug 3, 2026 12w ago | Institutional Cluster | $592.66 $424.99 | ▼ −28.29% | ▼ −29.53% | $329.34 (−44.43%) |
Jun 17, 2026 18w ago | Insider Cluster | $738.85 $547.51 | ▲ +25.90% | ▲ +26.43% | $329.34 (+55.43%) |
Jun 16, 2026 18w ago | Insider Cluster | $719.52 $547.51 | ▲ +23.91% | ▲ +25.22% | $329.34 (+54.23%) |
Jun 10, 2026 19w ago | 8-K | $623.66 $687.49 | ▲ +10.23% | ▲ +8.34% | $329.34 (−47.19%) |
Jun 4, 2026 20w ago | 8-K | $694.72 $725.23 | ▲ +4.39% | ▲ +2.53% | $329.34 (−52.59%) |
Apr 21, 2026 26w ago | DEFA14A | $651.68 $639.58 | ▼ −1.86% | ▼ −5.02% | $329.34 (−49.46%) |
Apr 21, 2026 26w ago | Insider Cluster | $614.92 $664.76 | ▲ +8.11% | ▲ +3.19% | $329.34 (−46.44%) |
Apr 13, 2026 28w ago | Insider Cluster | $597.95 $683.52 | ▼ −14.31% | ▼ −6.58% | $329.34 (+44.92%) |
Apr 13, 2026 28w ago | Insider Cluster | $597.95 $683.52 | ▼ −14.31% | ▼ −6.58% | $329.34 (+44.92%) |
US Market Status
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