STEPAN CO (SCL) Fundamental Analysis & Valuation

NYSE:SCL • US8585861003

Current stock price

49.49 USD
-0.55 (-1.1%)
At close:
49.49 USD
0 (0%)
After Hours:

This SCL fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

4

1. SCL Profitability Analysis

1.1 Basic Checks

  • In the past year SCL was profitable.
  • In the past year SCL had a positive cash flow from operations.
  • SCL had positive earnings in each of the past 5 years.
  • In the past 5 years SCL always reported a positive cash flow from operatings.
SCL Yearly Net Income VS EBIT VS OCF VS FCFSCL Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 100M -100M 200M

1.2 Ratios

  • The Return On Assets of SCL (1.99%) is better than 62.65% of its industry peers.
  • With a decent Return On Equity value of 3.77%, SCL is doing good in the industry, outperforming 61.45% of the companies in the same industry.
  • SCL has a Return On Invested Capital (3.29%) which is in line with its industry peers.
  • The Average Return On Invested Capital over the past 3 years for SCL is below the industry average of 6.51%.
Industry RankSector Rank
ROA 1.99%
ROE 3.77%
ROIC 3.29%
ROA(3y)1.96%
ROA(5y)3.72%
ROE(3y)3.79%
ROE(5y)7.37%
ROIC(3y)3.37%
ROIC(5y)5.73%
SCL Yearly ROA, ROE, ROICSCL Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2 4 6 8 10

1.3 Margins

  • SCL has a Profit Margin of 2.01%. This is comparable to the rest of the industry: SCL outperforms 56.63% of its industry peers.
  • In the last couple of years the Profit Margin of SCL has declined.
  • With a Operating Margin value of 2.95%, SCL is not doing good in the industry: 61.45% of the companies in the same industry are doing better.
  • SCL's Operating Margin has declined in the last couple of years.
  • With a Gross Margin value of 11.57%, SCL is not doing good in the industry: 79.52% of the companies in the same industry are doing better.
  • SCL's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 2.95%
PM (TTM) 2.01%
GM 11.57%
OM growth 3Y-26.77%
OM growth 5Y-20.39%
PM growth 3Y-27.63%
PM growth 5Y-21.58%
GM growth 3Y-9.08%
GM growth 5Y-10.82%
SCL Yearly Profit, Operating, Gross MarginsSCL Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20

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3

2. SCL Health Analysis

2.1 Basic Checks

  • SCL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • Compared to 1 year ago, SCL has more shares outstanding
  • The number of shares outstanding for SCL has been increased compared to 5 years ago.
  • Compared to 1 year ago, SCL has an improved debt to assets ratio.
SCL Yearly Shares OutstandingSCL Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5M 10M 15M 20M
SCL Yearly Total Debt VS Total AssetsSCL Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B

2.2 Solvency

  • An Altman-Z score of 2.55 indicates that SCL is not a great score, but indicates only limited risk for bankruptcy at the moment.
  • SCL's Altman-Z score of 2.55 is fine compared to the rest of the industry. SCL outperforms 67.47% of its industry peers.
  • SCL has a debt to FCF ratio of 24.70. This is a negative value and a sign of low solvency as SCL would need 24.70 years to pay back of all of its debts.
  • SCL has a Debt to FCF ratio (24.70) which is in line with its industry peers.
  • A Debt/Equity ratio of 0.27 indicates that SCL is not too dependend on debt financing.
  • SCL has a Debt to Equity ratio of 0.27. This is in the better half of the industry: SCL outperforms 78.31% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.27
Debt/FCF 24.7
Altman-Z 2.55
ROIC/WACC0.28
WACC11.62%
SCL Yearly LT Debt VS Equity VS FCFSCL Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200M 400M 600M 800M 1B

2.3 Liquidity

  • A Current Ratio of 1.29 indicates that SCL should not have too much problems paying its short term obligations.
  • SCL's Current ratio of 1.29 is on the low side compared to the rest of the industry. SCL is outperformed by 83.13% of its industry peers.
  • A Quick Ratio of 0.84 indicates that SCL may have some problems paying its short term obligations.
  • SCL's Quick ratio of 0.84 is on the low side compared to the rest of the industry. SCL is outperformed by 72.29% of its industry peers.
Industry RankSector Rank
Current Ratio 1.29
Quick Ratio 0.84
SCL Yearly Current Assets VS Current LiabilitesSCL Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. SCL Growth Analysis

3.1 Past

  • The earnings per share for SCL have decreased strongly by -17.27% in the last year.
  • SCL shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -20.33% yearly.
  • The Revenue has been growing slightly by 6.96% in the past year.
  • The Revenue has been growing slightly by 4.52% on average over the past years.
EPS 1Y (TTM)-17.27%
EPS 3Y-35.11%
EPS 5Y-20.33%
EPS Q2Q%-116.67%
Revenue 1Y (TTM)6.96%
Revenue growth 3Y-5.61%
Revenue growth 5Y4.52%
Sales Q2Q%5.38%

3.2 Future

  • SCL is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 53.21% yearly.
  • Based on estimates for the next years, SCL will show a small growth in Revenue. The Revenue will grow by 5.88% on average per year.
EPS Next Y84.24%
EPS Next 2Y53.21%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.81%
Revenue Next 2Y5.04%
Revenue Next 3Y7.13%
Revenue Next 5Y5.88%

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.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
SCL Yearly Revenue VS EstimatesSCL Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 1B 2B 3B
SCL Yearly EPS VS EstimatesSCL Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2 4 6

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5

4. SCL Valuation Analysis

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 27.19, which means the current valuation is very expensive for SCL.
  • SCL's Price/Earnings ratio is in line with the industry average.
  • The average S&P500 Price/Earnings ratio is at 24.88. SCL is around the same levels.
  • A Price/Forward Earnings ratio of 14.76 indicates a correct valuation of SCL.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of SCL indicates a somewhat cheap valuation: SCL is cheaper than 66.27% of the companies listed in the same industry.
  • SCL's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.19.
Industry RankSector Rank
PE 27.19
Fwd PE 14.76
SCL Price Earnings VS Forward Price EarningsSCL Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • SCL's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. SCL is cheaper than 78.31% of the companies in the same industry.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of SCL is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 44.17
EV/EBITDA 8.28
SCL Per share dataSCL EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80 100

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • SCL's earnings are expected to grow with 53.21% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.32
PEG (5Y)N/A
EPS Next 2Y53.21%
EPS Next 3YN/A

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. SCL Dividend Analysis

5.1 Amount

  • With a Yearly Dividend Yield of 3.16%, SCL has a reasonable but not impressive dividend return.
  • SCL's Dividend Yield is rather good when compared to the industry average which is at 2.06. SCL pays more dividend than 83.13% of the companies in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.89, SCL pays a better dividend.
Industry RankSector Rank
Dividend Yield 3.16%

5.2 History

  • On average, the dividend of SCL grows each year by 6.58%, which is quite nice.
  • SCL has been paying a dividend for at least 10 years, so it has a reliable track record.
  • SCL has decreased its dividend recently.
Dividend Growth(5Y)6.58%
Div Incr Years1
Div Non Decr Years1
SCL Yearly Dividends per shareSCL Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.5 1 1.5

5.3 Sustainability

  • 74.70% of the earnings are spent on dividend by SCL. This is not a sustainable payout ratio.
  • SCL's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP74.7%
EPS Next 2Y53.21%
EPS Next 3YN/A
SCL Yearly Income VS Free CF VS DividendSCL Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 50M -50M 100M -100M
SCL Dividend Payout.SCL Dividend Payout, showing the Payout Ratio.SCL Dividend Payout.PayoutRetained Earnings

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SCL Fundamentals: All Metrics, Ratios and Statistics

STEPAN CO

NYSE:SCL (3/27/2026, 8:04:00 PM)

After market: 49.49 0 (0%)

49.49

-0.55 (-1.1%)

Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)02-23
Earnings (Next)04-27
Inst Owners85.34%
Inst Owner Change-2.06%
Ins Owners5.73%
Ins Owner Change6.1%
Market Cap1.12B
Revenue(TTM)2.33B
Net Income(TTM)46.90M
Analysts80
Price Target76.5 (54.58%)
Short Float %1.96%
Short Ratio2.22
Dividend
Industry RankSector Rank
Dividend Yield 3.16%
Yearly Dividend1.55
Dividend Growth(5Y)6.58%
DP74.7%
Div Incr Years1
Div Non Decr Years1
Ex-Date03-02
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-63.87%
Min EPS beat(2)-105.01%
Max EPS beat(2)-22.72%
EPS beat(4)1
Avg EPS beat(4)-34.98%
Min EPS beat(4)-105.01%
Max EPS beat(4)30.63%
EPS beat(8)3
Avg EPS beat(8)-13.56%
EPS beat(12)3
Avg EPS beat(12)-18.06%
EPS beat(16)7
Avg EPS beat(16)-8.2%
Revenue beat(2)0
Avg Revenue beat(2)-2.72%
Min Revenue beat(2)-3.89%
Max Revenue beat(2)-1.55%
Revenue beat(4)1
Avg Revenue beat(4)-0.44%
Min Revenue beat(4)-3.89%
Max Revenue beat(4)5.27%
Revenue beat(8)1
Avg Revenue beat(8)-2.69%
Revenue beat(12)1
Avg Revenue beat(12)-3.81%
Revenue beat(16)5
Avg Revenue beat(16)-1.46%
PT rev (1m)0%
PT rev (3m)-11.76%
EPS NQ rev (1m)-51.65%
EPS NQ rev (3m)-51.65%
EPS NY rev (1m)-5.55%
EPS NY rev (3m)-5.55%
Revenue NQ rev (1m)-6.58%
Revenue NQ rev (3m)-6.58%
Revenue NY rev (1m)-3.08%
Revenue NY rev (3m)-3.08%
Valuation
Industry RankSector Rank
PE 27.19
Fwd PE 14.76
P/S 0.48
P/FCF 44.17
P/OCF 7.58
P/B 0.9
P/tB 1.01
EV/EBITDA 8.28
EPS(TTM)1.82
EY3.68%
EPS(NY)3.35
Fwd EY6.78%
FCF(TTM)1.12
FCFY2.26%
OCF(TTM)6.53
OCFY13.2%
SpS103.01
BVpS54.95
TBVpS49.11
PEG (NY)0.32
PEG (5Y)N/A
Graham Number47.44
Profitability
Industry RankSector Rank
ROA 1.99%
ROE 3.77%
ROCE 4.07%
ROIC 3.29%
ROICexc 3.57%
ROICexgc 3.9%
OM 2.95%
PM (TTM) 2.01%
GM 11.57%
FCFM 1.09%
ROA(3y)1.96%
ROA(5y)3.72%
ROE(3y)3.79%
ROE(5y)7.37%
ROIC(3y)3.37%
ROIC(5y)5.73%
ROICexc(3y)3.54%
ROICexc(5y)6.25%
ROICexgc(3y)3.87%
ROICexgc(5y)6.93%
ROCE(3y)4.17%
ROCE(5y)7.1%
ROICexgc growth 3Y-30.74%
ROICexgc growth 5Y-23.55%
ROICexc growth 3Y-30.43%
ROICexc growth 5Y-24.07%
OM growth 3Y-26.77%
OM growth 5Y-20.39%
PM growth 3Y-27.63%
PM growth 5Y-21.58%
GM growth 3Y-9.08%
GM growth 5Y-10.82%
F-Score5
Asset Turnover0.99
Health
Industry RankSector Rank
Debt/Equity 0.27
Debt/FCF 24.7
Debt/EBITDA 1.75
Cap/Depr 97.2%
Cap/Sales 5.25%
Interest Coverage 2.4
Cash Conversion 75.86%
Profit Quality 54.1%
Current Ratio 1.29
Quick Ratio 0.84
Altman-Z 2.55
F-Score5
WACC11.62%
ROIC/WACC0.28
Cap/Depr(3y)151.26%
Cap/Depr(5y)198.05%
Cap/Sales(3y)7.36%
Cap/Sales(5y)8.28%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-17.27%
EPS 3Y-35.11%
EPS 5Y-20.33%
EPS Q2Q%-116.67%
EPS Next Y84.24%
EPS Next 2Y53.21%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)6.96%
Revenue growth 3Y-5.61%
Revenue growth 5Y4.52%
Sales Q2Q%5.38%
Revenue Next Year4.81%
Revenue Next 2Y5.04%
Revenue Next 3Y7.13%
Revenue Next 5Y5.88%
EBIT growth 1Y-2.24%
EBIT growth 3Y-30.88%
EBIT growth 5Y-16.79%
EBIT Next Year173.07%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-35.41%
FCF growth 3YN/A
FCF growth 5Y-25.07%
OCF growth 1Y-8.74%
OCF growth 3Y-2.75%
OCF growth 5Y-8.86%

STEPAN CO / SCL Fundamental Analysis FAQ

What is the fundamental rating for SCL stock?

ChartMill assigns a fundamental rating of 4 / 10 to SCL.


Can you provide the valuation status for STEPAN CO?

ChartMill assigns a valuation rating of 5 / 10 to STEPAN CO (SCL). This can be considered as Fairly Valued.


Can you provide the profitability details for STEPAN CO?

STEPAN CO (SCL) has a profitability rating of 4 / 10.


What is the financial health of STEPAN CO (SCL) stock?

The financial health rating of STEPAN CO (SCL) is 3 / 10.


How sustainable is the dividend of STEPAN CO (SCL) stock?

The dividend rating of STEPAN CO (SCL) is 6 / 10 and the dividend payout ratio is 74.7%.