GURUFOCUS.COM » STOCK LIST » Industrials » Construction » Argan Inc (NYSE:AGX) » Definitions » GF Value Rank

Argan (AGX) GF Value Rank

: 5 (As of Today)
View and export this data going back to 1995. Start your Free Trial

Argan has the GF Value Rank of 5.

The GF Value Rank is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.


Competitive Comparison

For the Engineering & Construction subindustry, Argan's GF Value Rank, along with its competitors' market caps and GF Value Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Argan GF Value Rank Distribution

For the Construction industry and Industrials sector, Argan's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Argan's GF Value Rank falls into.



Argan GF Value Rank Related Terms

Thank you for viewing the detailed overview of Argan's GF Value Rank provided by GuruFocus.com. Please click on the following links to see related term pages.


Argan (AGX) Business Description

Traded in Other Exchanges
Address
One Church Street, Suite 201, Rockville, MD, USA, 20850
Argan Inc is a United States-based company that primarily operates in the power industry services segment through its wholly-owned subsidiaries. Gemma Power Systems and affiliates, one of Argan's subsidiaries, contributed almost all Argan's sales. GPS is a contractor that provides a full range of engineering, procurement, and construction services for power-generating projects. GPS' works encompass complete plant design, construction, electrical interconnection, plant testing, and commissioning. Argan also generates a small portion of sales from industrial fabrication and field services, as well as telecommunication infrastructure services. It operates in three segments: Power Services, Industrial Services, and Telecom Services, out of which Power Services derive majority revenue.
Executives
Cynthia Flanders director, officer: SVP & CFO 10006 WILDWOOD ROAD, KENSINGTON MD 20895
Jeffrey John Ronald Jr. director 55 GRANDVIEW CIRCLE, MANHASSET NY 11030
Griffin William F Jr director, officer: VC/CEO of Gemma Power Systems C/O GEMMA POWER SYSTEMS, LLC, 769 HEBRON AVENUE, GLASTONBURY CT 06033
Mitchell W G Champion director NETWORK SOLUTIONS, INC., 3009 RIVER LANE, NEW BERN NC 28562
David Hibbert Watson officer: SVP and CFO C/O ARGAN, INC., ONE CHURCH STREET, SUITE 201, ROCKVILLE MD 20850
Richard H Deily officer: Vice President C/O ARGAN, INC., ONE CHURCH STREET, SUITE 201, ROCKVILLE MD 20850
Peter W Getsinger director 35 SNOW?S POINT, EDGARTOWN MA 02539
James W Quinn director PUROFLOW INCORPORATED, ONE CHURCH STREET SUITE 302, ROCKVILLE MD 20850
Trebilcock Terrance Colin officer: Co-President, Gemma Power Sys. 64 SADDLE RIDGE ROAD, GLASTONBURY CT 06033
Collins Charles Edwin Iv officer: Co-President, Gemma Power Sys. 68 HICKORY DRIVE, SOUTH GLASTONBURY CT 06073
Mano S Koilpillai director 7380 IRA SEARS ROAD, ADAMSTOWN MD 21710
James E Quinn director C/O TIFFANY & CO LEGAL DEPT, 727 FIFTH AVE, NEW YORK NY 10022
Henry A Crumpton director 2101 WILSON BLVD., SUITE 500, ARLINGTON VA 20005
William F. Leimkuhler director 43 SALEM STRAITS RD, DARIEN CT 06820
Rainer H Bosselmann director, officer: Chairman of the Board and CEO PUROFLOW INCORPORATED, ONE CHURCH STREET SUITE 302, ROCKVILLE MD 20850