Comparing Brookfield Business Partners L.P. Limited Partnership Units (BBU) & Argan (AGX)

Brookfield Business Partners L.P. Limited Partnership Units (NYSE: BBU) and Argan (NYSE:AGX) are both business services companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, analyst recommendations, dividends, valuation, risk, institutional ownership and earnings.

Analyst Recommendations

How to Become a New Pot Stock Millionaire

This is a summary of current recommendations and price targets for Brookfield Business Partners L.P. Limited Partnership Units and Argan, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Brookfield Business Partners L.P. Limited Partnership Units 0 0 5 0 3.00
Argan 0 1 1 0 2.50

Brookfield Business Partners L.P. Limited Partnership Units currently has a consensus price target of $41.40, indicating a potential upside of 7.39%. Argan has a consensus price target of $56.00, indicating a potential upside of 48.94%. Given Argan’s higher probable upside, analysts plainly believe Argan is more favorable than Brookfield Business Partners L.P. Limited Partnership Units.

Institutional & Insider Ownership

66.0% of Brookfield Business Partners L.P. Limited Partnership Units shares are held by institutional investors. Comparatively, 83.8% of Argan shares are held by institutional investors. 9.5% of Argan shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Risk & Volatility

Brookfield Business Partners L.P. Limited Partnership Units has a beta of 1.71, indicating that its share price is 71% more volatile than the S&P 500. Comparatively, Argan has a beta of 0.9, indicating that its share price is 10% less volatile than the S&P 500.

Dividends

Brookfield Business Partners L.P. Limited Partnership Units pays an annual dividend of $0.25 per share and has a dividend yield of 0.6%. Argan pays an annual dividend of $1.00 per share and has a dividend yield of 2.7%.

Profitability

This table compares Brookfield Business Partners L.P. Limited Partnership Units and Argan’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Brookfield Business Partners L.P. Limited Partnership Units 0.94% 5.30% 2.10%
Argan 8.07% 21.59% 10.61%

Valuation & Earnings

This table compares Brookfield Business Partners L.P. Limited Partnership Units and Argan’s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Brookfield Business Partners L.P. Limited Partnership Units $22.82 billion 0.11 -$58.00 million N/A N/A
Argan $892.82 million 0.65 $70.32 million N/A N/A

Argan has lower revenue, but higher earnings than Brookfield Business Partners L.P. Limited Partnership Units.

Summary

Argan beats Brookfield Business Partners L.P. Limited Partnership Units on 9 of the 14 factors compared between the two stocks.

Brookfield Business Partners L.P. Limited Partnership Units Company Profile

Brookfield Business Partners L.P. specializes in investments in business services and industrials sector. It seeks returns of at least 15% on its investments. Brookfield Business Partners L.P. is based in Hamilton, Bermuda. Brookfield Business Partners L.P. operates as a subsidiary of Brookfield Asset Management Inc.

Argan Company Profile

Argan, Inc., through its subsidiaries, provides engineering, procurement, construction, commissioning, operations management, maintenance, development, technical, and consulting services to the power generation and renewable energy markets. The company's Power Industry Services segment offers engineering, procurement, and construction contracting services to the owners of alternative energy facilities, such as biomass plants, wind farms, and solar fields; and design, construction, start-up, and operation services for approximately 76 facilities with approximately 14,500 megawatts of power-generating capacity. This segment serves independent power project owners, public utilities, power plant equipment suppliers, and global energy plant construction firms. Its Industrial Fabrication and Field Services segment provides industrial steel fabrication and construction services to light and heavy industrial organizations that comprise forest products, mining, and large fertilizer companies in the southern United States. The company's Telecommunications Infrastructure Services segment offers outside plant cabling services, including trench-less directional boring and excavation for underground communication and power networks, as well as aerial cabling services; and installs buried cable, high and low voltage electric lines, and private area outdoor lighting systems. It also offers inside premises wiring services consisting of structuring, cabling, terminations, and connectivity that provide the physical transport for high speed data, voice, video, and security networks. This segment serves state and local government agencies, regional communications service providers, electric utilities, other commercial customers, and federal government facilities, including cleared facilities in the mid-Atlantic region. Argan, Inc. was founded in 1961 and is headquartered in Rockville, Maryland.

Receive News & Ratings for Brookfield Business Partners L.P. Limited Partnership Units Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Brookfield Business Partners L.P. Limited Partnership Units and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply