ARGAN (ARG.PA) Stock Fundamental Analysis
Europe - EPA:ARG - FR0010481960 - REIT
68.3 EUR
-0.3 (-0.44%)
Taking everything into account, ARG scores 5 out of 10 in our fundamental rating. ARG was compared to 40 industry peers in the Diversified REITs industry. ARG has an excellent profitability rating, but there are concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on ARG. ARG also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year ARG was profitable.
ARG had a positive operating cash flow in the past year.
Of the past 5 years ARG 4 years were profitable.
In the past 5 years ARG always reported a positive cash flow from operatings.
1.2 Ratios
ARG has a better Return On Assets (6.75%) than 100.00% of its industry peers.
ARG has a Return On Equity of 12.65%. This is amongst the best in the industry. ARG outperforms 97.50% of its industry peers.
ARG has a Return On Invested Capital (3.47%) which is in line with 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.
ARG's Profit Margin has declined in the last couple of years.
ARG has a Operating Margin of 92.63%. This is amongst the best in the industry. ARG outperforms 95.00% of its industry peers.
ARG's Operating Margin has improved in the last couple of years.
| 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
Compared to 5 years ago, ARG has more shares outstanding
ARG has a better debt/assets ratio than last year.
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.
ARG has a Altman-Z score of 1.32. This is amongst the best in the industry. ARG outperforms 85.00% of its industry peers.
The Debt to FCF ratio of ARG is 9.50, which is on the high side as it means it would take ARG, 9.50 years of fcf income to pay off all of its debts.
ARG's Debt to FCF ratio of 9.50 is fine compared to the rest 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.
ARG has a worse Debt to Equity ratio (0.76) than 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 9.5 | ||
| Altman-Z | 1.32 |
ROIC/WACC0.6
WACC5.8%
2.3 Liquidity
ARG has a Current Ratio of 0.52. This is a bad value and indicates that ARG is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of ARG (0.52) is comparable to the rest of the industry.
A Quick Ratio of 0.52 indicates that ARG may have some problems paying its short term obligations.
With a Quick ratio value of 0.52, ARG perfoms like the industry average, outperforming 60.00% of the companies in the same 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.
Measured over the past years, ARG shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.87% on average per year.
Looking at the last year, ARG shows a small growth in Revenue. The Revenue has grown by 7.89% in the last year.
Measured over the past years, ARG shows a quite strong growth in Revenue. The Revenue has been growing by 14.50% on average per year.
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
The Earnings Per Share is expected to grow by 3.87% on average over the next years.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
The Price/Earnings ratio is 5.99, which indicates a rather cheap valuation of ARG.
100.00% of the companies in the same industry are more expensive than ARG, based on the Price/Earnings ratio.
ARG is valuated cheaply when we compare the Price/Earnings ratio to 26.76, which is the current average of the S&P500 Index.
ARG is valuated reasonably with a Price/Forward Earnings ratio of 11.18.
ARG's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of ARG to the average of the S&P500 Index (22.63), we can say ARG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.99 | ||
| Fwd PE | 11.18 |
4.2 Price Multiples
ARG's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, ARG is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.12 | ||
| 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.
ARG has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.75
PEG (5Y)N/A
EPS Next 2Y4.26%
EPS Next 3Y3.05%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.83%, ARG is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.85, ARG has a dividend in line with its industry peers.
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.
The dividend of ARG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP22.49%
EPS Next 2Y4.26%
EPS Next 3Y3.05%
EPA:ARG (10/30/2025, 9:46:38 AM)
68.3
-0.3 (-0.44%)
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 Cap1.76B
Revenue(TTM)208.43M
Net Income(TTM)290.70M
Analysts78.33
Price Target79.69 (16.68%)
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 | 5.99 | ||
| Fwd PE | 11.18 | ||
| P/S | 8.43 | ||
| P/FCF | 9.12 | ||
| P/OCF | 9.11 | ||
| P/B | 0.77 | ||
| P/tB | 0.78 | ||
| EV/EBITDA | 18.43 |
EPS(TTM)11.41
EY16.71%
EPS(NY)6.11
Fwd EY8.94%
FCF(TTM)7.49
FCFY10.96%
OCF(TTM)7.49
OCFY10.97%
SpS8.1
BVpS89.25
TBVpS87.09
PEG (NY)0.75
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 5.99 and the Price/Book (PB) ratio is 0.77.
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.