Going through the earnings report for Argan and I'm confused. The stock is down over 11% from what looks to me like a solid report, and that doesn't feel right.

From what I can tell a lot of the numbers were very strong. The company beat its EPS forecast and net income nearly doubled compared to last year. They also announced a record high project backlog with value of about $2 billion which is basically guaranteed future revenue.

The actual revenue this past quarter fell short of expectations, but not by that much? And the backlog growth, while large, is showing signs of slowing down. But is that really a problem as long as they maintain margins on future work?

What am I missing?