# Argan (ARG.PA)

Canonical: https://gigainvestors.com/s/ARG.PA

Analysis as of: 2026-10-16T07:40:57.711Z. Financial observations: FY2009–FY2025.

Listing currency: EUR. Reporting currency: EUR.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: EUR 68.20 per share; close as of 2026-10-15.

Estimated value: low EUR 121.38 per share, central EUR 160.38 per share, high EUR 185.84 per share. Buy at or below the central value EUR 160.38 per share. Valuation as of 2026-10-16T07:40:57.711Z; scenarios are not confidence intervals.

Expected annual return: 20.8% at the stated quote. About 20.8% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; FR 10-year bond 4.8% + 4 points).

## Checklist

### understandable: fail

- 1 revenue decline in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 1

- Years with a net loss: 1

- Operating margin variation: 1.13×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.91×

- FY2017: 0.91×

- FY2018: 0.91×

- FY2019: 0.41×

- FY2020: 1.85×

- FY2021: 3.81×

- FY2022: 0.59×

- FY2023: -0.91×

- FY2024: 0.78×

- FY2025: 0.79×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 4.3%

- ROIC, second-lowest year: 1.5%

- Typical minus recent gross margin: -0.7 pp

- Typical gross margin (annual median): 83.4%

- Recent gross margin (lower of latest and 3-year median): 84.1%

- Years with nonpositive capital: 0

- Capital spending / revenue: 62.3%

- ROIC including acquisitions, ten-year median: 5.3%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 3.9%

- FY2017: 5.4%

- FY2018: 5.4%

- FY2019: 1.5%

- FY2020: 10.0%

- FY2021: 18.8%

- FY2022: 2.9%

- FY2023: -4.2%

- FY2024: 4.7%

- FY2025: 3.8%

### economics: fail

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: 0.84×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: EUR 833M

- Net income, five-year total: EUR 991M

- Return on incremental invested capital: 10.2%

- Working capital / revenue, annual change: -1.1 pp

- Working capital / revenue, change between three-year averages: -5.7 pp

- Working capital / revenue, final three-year average: 20.3%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 0.94×

- FY2022: 0.64×

- FY2023: 1.11×

- FY2024: 0.90×

- FY2025: 0.89×

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 5.4% vs 3.8%

- Per-share earnings: 6.14 to 9.57 (three-year endpoint medians)

- five-year and ten-year diluted share growth both above threshold

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 6.1%

- Ordinary dilution, 5-year annual growth: 2.8%

- Market cap gain: EUR 1.3B

- Cumulative retained earnings: EUR 150M

- Diluted shares, 10-year annual growth: 6.1%

- Diluted shares, 5-year annual growth: 2.8%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 5.7%

- Per-share value change: EUR 3.43

- Per-share value, starting three-year median: EUR 6.14

- Per-share value, ending three-year median: EUR 9.57

- Buybacks concentrated in cheaper years (correlation): -0.54

- Average buyback yield: 0.0%

- Buyback history: 6 years

- Debt-funded buybacks: No

- Acquisition spending: EUR 167M

- Cumulative net income, 10 years: EUR 1.8B

- ROIC, first three-year median: 5.4%

- ROIC, last three-year median: 3.8%

Chart: Earnings per share; fiscal year observations.

- FY2016: EUR 6.58

- FY2017: EUR 6.14

- FY2018: EUR 8.83

- FY2019: EUR 11.33

- FY2020: EUR 12.50

- FY2021: EUR 29.58

- FY2022: EUR 4.14

- FY2023: EUR -10.34

- FY2024: EUR 9.68

- FY2025: EUR 9.57

### accounting: pass

- Sloan accruals: 1.1%

- Receivables to sales index (DSRI): 0.98×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 0.81×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.02×

Chart: Sloan accruals; fiscal year observations.

- FY2016: 4.1%

- FY2017: 0.3%

- FY2018: 4.1%

- FY2019: 6.8%

- FY2020: 4.3%

- FY2021: 11.0%

- FY2022: -0.9%

- FY2023: -11.0%

- FY2024: 1.7%

- FY2025: 1.1%

## Holders

## Price story

Down 41% since Dec 2021 · sales +5.3%

Story as of 2026-10-16T10:00:11.743Z; price observation 2026-10-15.

Price needs cash profits to shrink 7% a year for ten years

### Sales · FY2024–2025

sales +5.3%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: EUR 67M 

- FY2017: EUR 76M 

- FY2018: EUR 85M 

- FY2019: EUR 102M 

- FY2020: EUR 171M 

- FY2021: EUR 186M 

- FY2022: EUR 198M 

- FY2023: EUR 221M 

- FY2024: EUR 239M 

- FY2025: EUR 252M 

### Gross margin · FY2025

gross margin 85.4%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 97.5% 

- FY2017: 95.7% 

- FY2018: 97.9% 

- FY2019: 81.4% 

- FY2020: 81.0% 

- FY2021: 82.7% 

- FY2022: 81.4% 

- FY2023: 81.8% 

- FY2024: 84.1% 

- FY2025: 85.4% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in property rentals; annual sales are EUR 251.6 million.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); FY2025: revenue 251600000; grossProfit 214800000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); ARG.PA: Argan SA is the only French real estate company specializing in the development & rental of premium warehouses. It is the leading player of its market in France. Building on a unique customer-centric approach, ARGAN develops PREMIUM and pre-let Au0nom -labelled warehouses " i.e., which produce their own energy for self-consumption " for blue-chip companies, with tailor-made services throughout all project phases from the development milestones to the rental management. As of June 30, 2026, ARGAN represented a portfolio of 3.9 million sq.m, with more than 110 warehouses located in the continental area of France. Appraised at a total of 4.3 billion euros, this portfolio generates a yearly rental income of 224 million euros (yearly rental income based on the portfolio delivered as of June 30, 2026). Profitability, well-mastered debt and sustainability are at the heart of ARGAN's DNA. The financial solidity of the Group's model is notably reflected in its investment-grade rating (BBB- with a stable outlook) with Standard & Poor's. ARGAN is also deploying a committed ESG policy addressing all its stakeholders. Argan SA is based in France.

### Why customers stay

Margins ranged from 81.8% to 85.4% during 2023–25; it earns 4.3% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); FY2023: grossProfit / revenue = 81.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); FY2024: grossProfit / revenue = 84.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); FY2025: grossProfit / revenue = 85.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); 10-year return on capital observations [[2016,0.03902451309275346],[2017,0.054379758142122404],[2018,0.05402376866550817],[2019,0.015179482525374058],[2020,0.10022152741740953],[2021,0.18846965044321462],[2022,0.02897872778270614],[2023,-0.04194337484409054],[2024,0.046954533858977625],[2025,0.03824663122014544]]; median 0.04298952347586554. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Can it raise prices

Kept about a 81% gross margin through 2022 cost inflation.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); Gross margin observations: [[2021,0.8274589854900736],[2022,0.813951020861859],[2023,0.8181649356590587]]; range within 2 percentage points.

### Where the cash goes

Spends 2.5% of cash earnings on expansion; earns 10.2% on new investment.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); FY2017: growth capex 126244848.30115847; upkeep 40666151.69884153; owner earnings 51240848.30115847. Growth capex / owner earnings = 2.463754065100134.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); FY2018: growth capex 150463607.4846832; upkeep 40233392.515316814; owner earnings 105192607.48468319. Growth capex / owner earnings = 1.43036294167907.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); FY2019: growth capex 120224000; upkeep -28000; owner earnings 153935200. Growth capex / owner earnings = 0.7810039549108976.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); FY2020: growth capex 281505000; upkeep 2338000; owner earnings 226887600. Growth capex / owner earnings = 1.2407244820783507.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); FY2021: growth capex 12445000; upkeep 277000; owner earnings 627275200. Growth capex / owner earnings = 0.019839776863488305.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); FY2022: growth capex 6312000; upkeep 255000; owner earnings 60851800. Growth capex / owner earnings = 0.10372741644454231.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); FY2024: growth capex 0; upkeep 161000; owner earnings 220326600. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); FY2025: growth capex 5454523.921429234; upkeep 6009476.078570766; owner earnings 217269523.92142922. Growth capex / owner earnings = 0.0251048735367126.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); Incremental return on capital 0.10191266249013027, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); Dividend observations: [[2016,6960000],[2017,5247000],[2018,9504000],[2019,10197000],[2020,38175000],[2021,25249000],[2022,21752000],[2023,61551000],[2024,52524000],[2025,65375000]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 36.5% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); ARG.PA SharesStats.PercentInsiders = 36.485 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits shrink 7% yearly over ten years; actual growth was 23.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:40:57.711Z); Ten-year compound average after fade. Initial solved rate -0.11128248197927287. Price 68.2; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 1.0056555373686817 → FY2025 8.477355065722538. Closing-price date 2026-10-15.

## Monthly share-price history (EUR per share)

- 2016-10: EUR 25.06 per share

- 2016-11: EUR 24.20 per share

- 2016-12: EUR 25.00 per share

- 2017-01: EUR 26.10 per share

- 2017-02: EUR 27.79 per share

- 2017-03: EUR 29.16 per share

- 2017-04: EUR 31.01 per share

- 2017-05: EUR 33.17 per share

- 2017-06: EUR 34.70 per share

- 2017-07: EUR 35.98 per share

- 2017-08: EUR 37.68 per share

- 2017-09: EUR 37.00 per share

- 2017-10: EUR 38.98 per share

- 2017-11: EUR 39.72 per share

- 2017-12: EUR 40.12 per share

- 2018-01: EUR 39.00 per share

- 2018-02: EUR 39.10 per share

- 2018-03: EUR 39.20 per share

- 2018-04: EUR 43.00 per share

- 2018-05: EUR 41.60 per share

- 2018-06: EUR 42.10 per share

- 2018-07: EUR 44.70 per share

- 2018-08: EUR 46.40 per share

- 2018-09: EUR 46.50 per share

- 2018-10: EUR 44.70 per share

- 2018-11: EUR 43.60 per share

- 2018-12: EUR 43.90 per share

- 2019-01: EUR 49.50 per share

- 2019-02: EUR 51.60 per share

- 2019-03: EUR 58.00 per share

- 2019-04: EUR 54.00 per share

- 2019-05: EUR 56.00 per share

- 2019-06: EUR 61.00 per share

- 2019-07: EUR 62.20 per share

- 2019-08: EUR 63.00 per share

- 2019-09: EUR 66.00 per share

- 2019-10: EUR 70.20 per share

- 2019-11: EUR 74.80 per share

- 2019-12: EUR 77.60 per share

- 2020-01: EUR 78.60 per share

- 2020-02: EUR 84.80 per share

- 2020-03: EUR 67.60 per share

- 2020-04: EUR 71.00 per share

- 2020-05: EUR 79.00 per share

- 2020-06: EUR 81.40 per share

- 2020-07: EUR 85.40 per share

- 2020-08: EUR 89.00 per share

- 2020-09: EUR 83.80 per share

- 2020-10: EUR 80.80 per share

- 2020-11: EUR 79.40 per share

- 2020-12: EUR 83.60 per share

- 2021-01: EUR 88.40 per share

- 2021-02: EUR 86.40 per share

- 2021-03: EUR 80.40 per share

- 2021-04: EUR 82.80 per share

- 2021-05: EUR 89.10 per share

- 2021-06: EUR 103.00 per share

- 2021-07: EUR 110.00 per share

- 2021-08: EUR 111.40 per share

- 2021-09: EUR 107.00 per share

- 2021-10: EUR 108.60 per share

- 2021-11: EUR 109.40 per share

- 2021-12: EUR 116.40 per share

- 2022-01: EUR 112.00 per share

- 2022-02: EUR 107.00 per share

- 2022-03: EUR 115.60 per share

- 2022-04: EUR 112.00 per share

- 2022-05: EUR 112.00 per share

- 2022-06: EUR 89.20 per share

- 2022-07: EUR 99.60 per share

- 2022-08: EUR 91.20 per share

- 2022-09: EUR 79.20 per share

- 2022-10: EUR 75.90 per share

- 2022-11: EUR 77.10 per share

- 2022-12: EUR 75.80 per share

- 2023-01: EUR 78.10 per share

- 2023-02: EUR 84.10 per share

- 2023-03: EUR 68.90 per share

- 2023-04: EUR 70.80 per share

- 2023-05: EUR 70.00 per share

- 2023-06: EUR 68.00 per share

- 2023-07: EUR 68.70 per share

- 2023-08: EUR 74.40 per share

- 2023-09: EUR 63.20 per share

- 2023-10: EUR 64.60 per share

- 2023-11: EUR 77.90 per share

- 2023-12: EUR 85.20 per share

- 2024-01: EUR 82.20 per share

- 2024-02: EUR 77.00 per share

- 2024-03: EUR 83.90 per share

- 2024-04: EUR 73.80 per share

- 2024-05: EUR 77.60 per share

- 2024-06: EUR 72.80 per share

- 2024-07: EUR 75.50 per share

- 2024-08: EUR 76.30 per share

- 2024-09: EUR 73.70 per share

- 2024-10: EUR 68.00 per share

- 2024-11: EUR 66.30 per share

- 2024-12: EUR 60.50 per share

- 2025-01: EUR 63.60 per share

- 2025-02: EUR 63.60 per share

- 2025-03: EUR 61.40 per share

- 2025-04: EUR 60.90 per share

- 2025-05: EUR 64.40 per share

- 2025-06: EUR 65.50 per share

- 2025-07: EUR 65.90 per share

- 2025-08: EUR 64.70 per share

- 2025-09: EUR 63.70 per share

- 2025-10: EUR 67.50 per share

- 2025-11: EUR 65.40 per share

- 2025-12: EUR 66.00 per share

- 2026-01: EUR 66.00 per share

- 2026-02: EUR 71.10 per share

- 2026-03: EUR 56.40 per share

- 2026-04: EUR 61.30 per share

- 2026-05: EUR 61.20 per share

- 2026-06: EUR 60.40 per share

- 2026-07: EUR 75.80 per share

- 2026-08: EUR 72.40 per share

- 2026-09: EUR 68.00 per share

- 2026-10: EUR 68.10 per share

## Annual estimated value (EUR per share)

- FY2016: low EUR 13.05 per share, central EUR 14.53 per share, high EUR 16.49 per share

- FY2017: low EUR 19.80 per share, central EUR 21.60 per share, high EUR 24.00 per share

- FY2018: low EUR 14.91 per share, central EUR 16.76 per share, high EUR 19.23 per share

- FY2019: low EUR 48.33 per share, central EUR 65.90 per share, high EUR 77.12 per share

- FY2020: low EUR 127.09 per share, central EUR 176.79 per share, high EUR 207.18 per share

- FY2021: low EUR 171.23 per share, central EUR 234.75 per share, high EUR 271.74 per share

- FY2022: low EUR 149.23 per share, central EUR 191.83 per share, high EUR 223.11 per share

- FY2023: low EUR 127.54 per share, central EUR 144.86 per share, high EUR 167.93 per share

- FY2024: low EUR 117.92 per share, central EUR 162.38 per share, high EUR 189.94 per share

- FY2025: low EUR 110.56 per share, central EUR 149.74 per share, high EUR 175.33 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Excluded another issuer's SEC filing https://www.sec.gov/Archives/edgar/data/100591/000110465926035216/agx-20260131x10k.htm; this company is analysed without it.

Prior published observations retained from 2026-10-15T06:46:44.059Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.