10 Hottest Mid-Cap Stocks So Far in 2025

8. Argan (NYSE:AGX)

• YTD Performance:  24.1%

Argan (NYSE:AGX) is a construction company that does a lot of work in the power industry. It has seen surging revenue and backlog and has recently declared a quarterly dividend of $0.365 per share. One of its subsidiaries — Gemma Power Systems — also got the go-ahead for a 700 MW combined-cycle natural gas-fired power plant in the U.S.

Argan reported Q3 FY2025 results, with revenue up 57% year-over-year to $257 million, whereas net income jumped to $28 million from $5 million in the prior-year quarter. There’s a lot of revenue coming in, and they’ve been managing to maintain a hefty cash balance with little to no long-term debt. This strong balance sheet has definitely been one of the reasons investors have kept an eye on them.

I believe it’s still a good long-term investment. If AI continues to be a hot topic and sees continuous amounts of investments pouring in, there’s no reason to believe that power demand is going to come down.