ARGAN (ARG.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:ARG - FR0010481960 - REIT
67.6 EUR
+0.4 (+0.6%)
ARG gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 42 industry peers in the Diversified REITs industry. While ARG belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on ARG. Finally 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.
ARG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ARG has a Return On Assets of 6.76%. This is amongst the best in the industry. ARG outperforms 100.00% of its industry peers.
The Return On Equity of ARG (12.67%) is better than 97.62% of its industry peers.
ARG's Return On Invested Capital of 3.48% is in line compared to the rest of the industry. ARG outperforms 52.38% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ARG is in line with the industry average of 3.55%.
The 3 year average ROIC (3.13%) for ARG is below the current ROIC(3.48%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.76% | ||
| ROE | 12.67% | ||
| ROIC | 3.48% |
ROA(3y)0.48%
ROA(5y)4.9%
ROE(3y)0.47%
ROE(5y)10.34%
ROIC(3y)3.13%
ROIC(5y)3.04%
1.3 Margins
ARG's Profit Margin of 139.62% is amongst the best of the industry. ARG outperforms 100.00% of its industry peers.
ARG's Profit Margin has declined in the last couple of years.
ARG has a better Operating Margin (92.91%) than 95.24% of its industry peers.
In the last couple of years the Operating Margin of ARG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 92.91% | ||
| PM (TTM) | 139.62% | ||
| GM | N/A |
OM growth 3Y-0.36%
OM growth 5Y17.5%
PM growth 3Y-33.89%
PM growth 5Y-10.28%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ARG is destroying value.
ARG has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, ARG has more shares outstanding
The debt/assets ratio for ARG has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.31, we must say that ARG is in the distress zone and has some risk of bankruptcy.
With an excellent Altman-Z score value of 1.31, ARG belongs to the best of the industry, outperforming 85.71% 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.
The Debt to FCF ratio of ARG (9.50) is better than 80.95% 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's Debt to Equity ratio of 0.76 is in line compared to the rest of the industry. ARG outperforms 42.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 9.5 | ||
| Altman-Z | 1.31 |
ROIC/WACC0.61
WACC5.75%
2.3 Liquidity
ARG has a Current Ratio of 0.53. This is a bad value and indicates that ARG is not financially healthy enough and could expect problems in meeting its short term obligations.
ARG has a Current ratio (0.53) which is in line with its industry peers.
A Quick Ratio of 0.53 indicates that ARG may have some problems paying its short term obligations.
ARG has a Quick ratio of 0.53. This is in the better half of the industry: ARG outperforms 61.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.53 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
ARG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 189.18%, which is quite impressive.
Measured over the past years, ARG shows a decrease in Earnings Per Share. The EPS has been decreasing by -4.10% 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)189.18%
EPS 3Y-30.8%
EPS 5Y-4.1%
EPS Q2Q%37.63%
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 4.37% on average over the next years.
The Revenue is expected to grow by 4.73% on average over the next years.
EPS Next Y7.68%
EPS Next 2Y4.22%
EPS Next 3Y2.88%
EPS Next 5Y4.37%
Revenue Next Year6.57%
Revenue Next 2Y5.1%
Revenue Next 3Y4.73%
Revenue Next 5Y4.73%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
ARG is valuated cheaply with a Price/Earnings ratio of 5.91.
Based on the Price/Earnings ratio, ARG is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
ARG is valuated cheaply when we compare the Price/Earnings ratio to 27.00, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 11.08, which indicates a very decent valuation of ARG.
ARG's Price/Forward Earnings is on the same level as the industry average.
ARG is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.70, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.91 | ||
| Fwd PE | 11.08 |
4.2 Price Multiples
ARG's Enterprise Value to EBITDA ratio is in line with the industry average.
ARG's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. ARG is cheaper than 76.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.02 | ||
| EV/EBITDA | 18.19 |
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)0.77
PEG (5Y)N/A
EPS Next 2Y4.22%
EPS Next 3Y2.88%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.00%, ARG is a good candidate for dividend investing.
ARG's Dividend Yield is comparable with the industry average which is at 5.03.
Compared to an average S&P500 Dividend Yield of 1.94, ARG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5% |
5.2 History
On average, the dividend of ARG grows each year by 33.10%, which is quite nice.
Dividend Growth(5Y)33.1%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
22.34% of the earnings are spent on dividend by ARG. This is a low number and sustainable payout ratio.
The dividend of ARG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP22.34%
EPS Next 2Y4.22%
EPS Next 3Y2.88%
EPA:ARG (1/9/2026, 5:29:37 PM)
67.6
+0.4 (+0.6%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners37.31%
Inst Owner ChangeN/A
Ins Owners36.53%
Ins Owner ChangeN/A
Market Cap1.74B
Revenue(TTM)208.43M
Net Income(TTM)291.00M
Analysts78.33
Price Target79.05 (16.94%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5% |
Yearly Dividend2.21
Dividend Growth(5Y)33.1%
DP22.34%
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)-0.8%
PT rev (3m)-0.8%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-0.33%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.12%
Revenue NY rev (3m)-0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.91 | ||
| Fwd PE | 11.08 | ||
| P/S | 8.35 | ||
| P/FCF | 9.02 | ||
| P/OCF | 9.02 | ||
| P/B | 0.76 | ||
| P/tB | 0.78 | ||
| EV/EBITDA | 18.19 |
EPS(TTM)11.43
EY16.91%
EPS(NY)6.1
Fwd EY9.03%
FCF(TTM)7.49
FCFY11.08%
OCF(TTM)7.5
OCFY11.09%
SpS8.1
BVpS89.24
TBVpS87.06
PEG (NY)0.77
PEG (5Y)N/A
Graham Number151.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.76% | ||
| ROE | 12.67% | ||
| ROCE | 4.73% | ||
| ROIC | 3.48% | ||
| ROICexc | 3.51% | ||
| ROICexgc | 3.56% | ||
| OM | 92.91% | ||
| PM (TTM) | 139.62% | ||
| GM | N/A | ||
| FCFM | 92.51% |
ROA(3y)0.48%
ROA(5y)4.9%
ROE(3y)0.47%
ROE(5y)10.34%
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 3Y3.63%
ROICexgc growth 5Y17.63%
ROICexc growth 3Y3.69%
ROICexc growth 5Y18.67%
OM growth 3Y-0.36%
OM growth 5Y17.5%
PM growth 3Y-33.89%
PM growth 5Y-10.28%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 9.5 | ||
| Debt/EBITDA | 8.96 | ||
| Cap/Depr | 69.23% | ||
| Cap/Sales | 0.09% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 99.53% | ||
| Profit Quality | 66.26% | ||
| Current Ratio | 0.53 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 1.31 |
F-Score7
WACC5.75%
ROIC/WACC0.61
Cap/Depr(3y)57.67%
Cap/Depr(5y)2471.78%
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)189.18%
EPS 3Y-30.8%
EPS 5Y-4.1%
EPS Q2Q%37.63%
EPS Next Y7.68%
EPS Next 2Y4.22%
EPS Next 3Y2.88%
EPS Next 5Y4.37%
Revenue 1Y (TTM)7.89%
Revenue growth 3Y8.41%
Revenue growth 5Y14.5%
Sales Q2Q%7.59%
Revenue Next Year6.57%
Revenue Next 2Y5.1%
Revenue Next 3Y4.73%
Revenue Next 5Y4.73%
EBIT growth 1Y7.7%
EBIT growth 3Y8.02%
EBIT growth 5Y34.54%
EBIT Next Year-9.64%
EBIT Next 3Y-0.95%
EBIT Next 5Y0.62%
FCF growth 1Y5.54%
FCF growth 3Y0.34%
FCF growth 5YN/A
OCF growth 1Y5.51%
OCF growth 3Y0.35%
OCF growth 5Y66.28%
ARGAN / ARG.PA FAQ
Can you provide the ChartMill fundamental rating for ARGAN?
ChartMill assigns a fundamental rating of 6 / 10 to ARG.PA.
Can you provide the valuation status for ARGAN?
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.
Can you provide the PE and PB ratios for ARG stock?
The Price/Earnings (PE) ratio for ARGAN (ARG.PA) is 5.91 and the Price/Book (PB) ratio is 0.76.
Can you provide the dividend sustainability for ARG stock?
The dividend rating of ARGAN (ARG.PA) is 7 / 10 and the dividend payout ratio is 22.34%.