ARGAN (ARG.PA) Stock Fundamental Analysis
Europe - EPA:ARG - FR0010481960 - REIT
68.1 EUR
-0.5 (-0.73%)
Overall ARG gets a fundamental rating of 5 out of 10. We evaluated ARG against 40 industry peers in the Diversified REITs industry. ARG has an excellent profitability rating, but there are concerns on its financial health. ARG may be a bit undervalued, certainly considering the very reasonable score on growth Finally ARG also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year ARG was profitable.
In the past year ARG had a positive cash flow from operations.
ARG had positive earnings in 4 of the past 5 years.
Each year in the past 5 years ARG had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.75%, ARG belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
With an excellent Return On Equity value of 12.65%, ARG belongs to the best of the industry, outperforming 97.50% of the companies in the same industry.
ARG's Return On Invested Capital of 3.47% is in line compared to the rest of the industry. ARG outperforms 55.00% of its industry peers.
ARG had an Average Return On Invested Capital over the past 3 years of 3.13%. This is in line with the industry average of 3.49%.
The 3 year average ROIC (3.13%) for ARG is below the current ROIC(3.47%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.75% | ||
| ROE | 12.65% | ||
| ROIC | 3.47% |
ROA(3y)0.48%
ROA(5y)4.9%
ROE(3y)0.46%
ROE(5y)10.33%
ROIC(3y)3.13%
ROIC(5y)3.04%
1.3 Margins
The Profit Margin of ARG (139.47%) is better than 100.00% of its industry peers.
In the last couple of years the Profit Margin of ARG has declined.
With an excellent Operating Margin value of 92.63%, ARG belongs to the best of the industry, outperforming 95.00% of the companies in the same industry.
In the last couple of years the Operating Margin of ARG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 92.63% | ||
| PM (TTM) | 139.47% | ||
| GM | N/A |
OM growth 3Y-0.31%
OM growth 5Y17.53%
PM growth 3Y-33.91%
PM growth 5Y-10.3%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
ARG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, ARG has more shares outstanding
The number of shares outstanding for ARG has been increased compared to 5 years ago.
The debt/assets ratio for ARG has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.32, we must say that ARG is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.32, ARG belongs to the top of the industry, outperforming 85.00% of the companies in the same industry.
ARG has a debt to FCF ratio of 9.50. This is a negative value and a sign of low solvency as ARG would need 9.50 years to pay back of all of its debts.
ARG has a Debt to FCF ratio of 9.50. This is in the better half of the industry: ARG outperforms 80.00% of its industry peers.
ARG has a Debt/Equity ratio of 0.76. This is a neutral value indicating ARG is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.76, ARG is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 9.5 | ||
| Altman-Z | 1.32 |
ROIC/WACC0.6
WACC5.8%
2.3 Liquidity
A Current Ratio of 0.52 indicates that ARG may have some problems paying its short term obligations.
ARG has a Current ratio (0.52) which is in line with its industry peers.
A Quick Ratio of 0.52 indicates that ARG may have some problems paying its short term obligations.
ARG has a Quick ratio (0.52) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
ARG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 188.61%, which is quite impressive.
The Earnings Per Share has been decreasing by -3.87% on average over the past years.
The Revenue has been growing slightly by 7.89% in the past year.
The Revenue has been growing by 14.50% on average over the past years. This is quite good.
EPS 1Y (TTM)188.61%
EPS 3Y-30.53%
EPS 5Y-3.87%
EPS Q2Q%39.97%
Revenue 1Y (TTM)7.89%
Revenue growth 3Y8.41%
Revenue growth 5Y14.5%
Sales Q2Q%7.59%
3.2 Future
ARG is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.87% yearly.
The Revenue is expected to grow by 4.23% on average over the next years.
EPS Next Y8.03%
EPS Next 2Y4.26%
EPS Next 3Y3.05%
EPS Next 5Y3.87%
Revenue Next Year6.7%
Revenue Next 2Y4.83%
Revenue Next 3Y4.68%
Revenue Next 5Y4.23%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 5.97, the valuation of ARG can be described as very cheap.
ARG's Price/Earnings ratio is rather cheap when compared to the industry. ARG is cheaper than 100.00% of the companies in the same industry.
When comparing the Price/Earnings ratio of ARG to the average of the S&P500 Index (26.76), we can say ARG is valued rather cheaply.
The Price/Forward Earnings ratio is 11.15, which indicates a very decent valuation of ARG.
The rest of the industry has a similar Price/Forward Earnings ratio as ARG.
The average S&P500 Price/Forward Earnings ratio is at 22.63. ARG is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.97 | ||
| Fwd PE | 11.15 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ARG.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ARG indicates a somewhat cheap valuation: ARG is cheaper than 75.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.1 | ||
| EV/EBITDA | 18.43 |
4.3 Compensation for Growth
ARG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of ARG may justify a higher PE ratio.
PEG (NY)0.74
PEG (5Y)N/A
EPS Next 2Y4.26%
EPS Next 3Y3.05%
5. Dividend
5.1 Amount
ARG has a Yearly Dividend Yield of 4.83%, which is a nice return.
ARG's Dividend Yield is comparable with the industry average which is at 5.85.
Compared to an average S&P500 Dividend Yield of 2.31, ARG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.83% |
5.2 History
The dividend of ARG is nicely growing with an annual growth rate of 32.61%!
Dividend Growth(5Y)32.61%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
ARG pays out 22.49% of its income as dividend. This is a sustainable payout ratio.
ARG's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP22.49%
EPS Next 2Y4.26%
EPS Next 3Y3.05%
EPA:ARG (10/30/2025, 5:29:55 PM)
68.1
-0.5 (-0.73%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners35.71%
Inst Owner ChangeN/A
Ins Owners36.31%
Ins Owner ChangeN/A
Market Cap1.75B
Revenue(TTM)208.43M
Net Income(TTM)290.70M
Analysts78.33
Price Target79.69 (17.02%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.83% |
Yearly Dividend2.17
Dividend Growth(5Y)32.61%
DP22.49%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-0.32%
PT rev (3m)-2.04%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)1.5%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.43%
Revenue NY rev (3m)0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.97 | ||
| Fwd PE | 11.15 | ||
| P/S | 8.41 | ||
| P/FCF | 9.1 | ||
| P/OCF | 9.09 | ||
| P/B | 0.76 | ||
| P/tB | 0.78 | ||
| EV/EBITDA | 18.43 |
EPS(TTM)11.41
EY16.75%
EPS(NY)6.11
Fwd EY8.97%
FCF(TTM)7.49
FCFY10.99%
OCF(TTM)7.49
OCFY11.01%
SpS8.1
BVpS89.25
TBVpS87.09
PEG (NY)0.74
PEG (5Y)N/A
Graham Number151.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.75% | ||
| ROE | 12.65% | ||
| ROCE | 4.72% | ||
| ROIC | 3.47% | ||
| ROICexc | 3.5% | ||
| ROICexgc | 3.55% | ||
| OM | 92.63% | ||
| PM (TTM) | 139.47% | ||
| GM | N/A | ||
| FCFM | 92.46% |
ROA(3y)0.48%
ROA(5y)4.9%
ROE(3y)0.46%
ROE(5y)10.33%
ROIC(3y)3.13%
ROIC(5y)3.04%
ROICexc(3y)3.21%
ROICexc(5y)3.17%
ROICexgc(3y)3.25%
ROICexgc(5y)3.22%
ROCE(3y)4.26%
ROCE(5y)4.13%
ROICexgc growth 3Y3.68%
ROICexgc growth 5Y17.66%
ROICexc growth 3Y3.74%
ROICexc growth 5Y18.7%
OM growth 3Y-0.31%
OM growth 5Y17.53%
PM growth 3Y-33.91%
PM growth 5Y-10.3%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 9.5 | ||
| Debt/EBITDA | 8.99 | ||
| Cap/Depr | 69.58% | ||
| Cap/Sales | 0.09% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 99.78% | ||
| Profit Quality | 66.3% | ||
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z | 1.32 |
F-Score6
WACC5.8%
ROIC/WACC0.6
Cap/Depr(3y)57.59%
Cap/Depr(5y)2471.73%
Cap/Sales(3y)0.08%
Cap/Sales(5y)39.63%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)188.61%
EPS 3Y-30.53%
EPS 5Y-3.87%
EPS Q2Q%39.97%
EPS Next Y8.03%
EPS Next 2Y4.26%
EPS Next 3Y3.05%
EPS Next 5Y3.87%
Revenue 1Y (TTM)7.89%
Revenue growth 3Y8.41%
Revenue growth 5Y14.5%
Sales Q2Q%7.59%
Revenue Next Year6.7%
Revenue Next 2Y4.83%
Revenue Next 3Y4.68%
Revenue Next 5Y4.23%
EBIT growth 1Y7.58%
EBIT growth 3Y8.07%
EBIT growth 5Y34.57%
EBIT Next Year-9.76%
EBIT Next 3Y-1.4%
EBIT Next 5Y0.14%
FCF growth 1Y5.49%
FCF growth 3Y0.28%
FCF growth 5YN/A
OCF growth 1Y5.46%
OCF growth 3Y0.29%
OCF growth 5Y66.22%
ARGAN / ARG.PA FAQ
Can you provide the ChartMill fundamental rating for ARGAN?
ChartMill assigns a fundamental rating of 5 / 10 to ARG.PA.
What is the valuation status of ARGAN (ARG.PA) stock?
ChartMill assigns a valuation rating of 7 / 10 to ARGAN (ARG.PA). This can be considered as Undervalued.
Can you provide the profitability details for ARGAN?
ARGAN (ARG.PA) has a profitability rating of 7 / 10.
What is the valuation of ARGAN based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ARGAN (ARG.PA) is 5.97 and the Price/Book (PB) ratio is 0.76.
What is the expected EPS growth for ARGAN (ARG.PA) stock?
The Earnings per Share (EPS) of ARGAN (ARG.PA) is expected to grow by 8.03% in the next year.