Empowered Funds LLC Raises Stake in Stepan Company $SCL

Empowered Funds LLC grew its stake in Stepan Company (NYSE:SCL) by 124.8% in the first quarter, Holdings Channel reports. The fund owned 174,376 shares of the basic materials company’s stock after purchasing an additional 96,823 shares during the period. Empowered Funds LLC’s holdings in Stepan were worth $8,715,000 at the end of the most recent quarter.

Other institutional investors have also modified their holdings of the company. Quantinno Capital Management LP boosted its position in shares of Stepan by 55.8% during the 1st quarter. Quantinno Capital Management LP now owns 41,885 shares of the basic materials company’s stock valued at $2,093,000 after acquiring an additional 15,002 shares during the last quarter. Dean Capital Management grew its holdings in shares of Stepan by 96.4% in the first quarter. Dean Capital Management now owns 57,248 shares of the basic materials company’s stock valued at $2,861,000 after purchasing an additional 28,104 shares during the period. Entropy Technologies LP increased its position in Stepan by 79.2% during the first quarter. Entropy Technologies LP now owns 10,214 shares of the basic materials company’s stock worth $510,000 after purchasing an additional 4,514 shares during the last quarter. Caxton Associates LLP acquired a new stake in Stepan during the first quarter worth about $281,000. Finally, Inceptionr LLC purchased a new position in Stepan during the first quarter worth about $213,000. Hedge funds and other institutional investors own 82.70% of the company’s stock.

Analyst Ratings Changes

SCL has been the topic of several recent analyst reports. Weiss Ratings upgraded shares of Stepan from a “sell (d)” rating to a “sell (d+)” rating in a report on Wednesday. Zacks Research upgraded shares of Stepan from a “strong sell” rating to a “hold” rating in a report on Monday, July 6th. One research analyst has rated the stock with a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Reduce”.

Stepan News Roundup

Here are the key news stories impacting Stepan this week:

• Positive Sentiment: Earnings and revenue exceeded expectations. Stepan reported quarterly EPS of $1.18, well above the $0.61 analyst consensus, while revenue rose 15% year over year to $684.1 million versus expectations of $635.9 million. Stepan surpasses Q2 earnings and revenue estimates
• Positive Sentiment: Profitability improved sharply. Net income more than doubled to $22.9 million, adjusted EBITDA increased 45% to $74.4 million, and higher volumes and recovering margins benefited both the Surfactant and Polymer businesses. Surfactant sales climbed 18%, while Polymer sales increased 9%. Stepan reports second-quarter 2026 results
• Positive Sentiment: Dividend supports the investment case. The board declared a quarterly dividend of $0.395 per share, payable September 15 to shareholders of record September 1, representing an annualized yield of approximately 2.4%. Stepan declares quarterly dividend
• Neutral Sentiment: Project Catalyst restructuring is progressing. Stepan plans to eliminate approximately 100 global salaried positions as part of its efficiency program. Management expects the changes to improve the cost structure, but the benefits will take time to materialize.
• Negative Sentiment: Restructuring and cash-flow pressures remain risks. The company anticipates $75 million to $80 million in full-year restructuring charges, while second-quarter operating cash flow was only $8.4 million and free cash flow was negative $15 million. These costs may limit near-term earnings and investor confidence.

Stepan Price Performance

NYSE:SCL opened at $65.08 on Friday. Stepan Company has a 52 week low of $41.82 and a 52 week high of $68.00. The stock’s fifty day moving average is $55.43 and its two-hundred day moving average is $53.82. The company has a market capitalization of $1.48 billion, a P/E ratio of -542.38 and a beta of 0.95. The company has a quick ratio of 0.86, a current ratio of 1.15 and a debt-to-equity ratio of 0.20.

Stepan (NYSE:SCL) last released its quarterly earnings results on Wednesday, July 29th. The basic materials company reported $1.18 earnings per share for the quarter, topping analysts’ consensus estimates of $0.61 by $0.57. The business had revenue of $684.11 million during the quarter, compared to analysts’ expectations of $635.85 million. Stepan had a positive return on equity of 3.90% and a negative net margin of 0.11%.The company’s revenue was up 15.0% compared to the same quarter last year. During the same period in the prior year, the business posted $0.52 EPS. Equities analysts expect that Stepan Company will post 2.54 EPS for the current year.

Stepan Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, September 15th. Shareholders of record on Tuesday, September 1st will be given a $0.395 dividend. The ex-dividend date of this dividend is Tuesday, September 1st. This represents a $1.58 dividend on an annualized basis and a yield of 2.4%. Stepan’s dividend payout ratio is presently -254.84%.

About Stepan

Stepan Company is a global manufacturer of specialty and intermediate chemicals, primarily known for its development and production of surfactants and related specialty products. The company’s portfolio includes a wide range of ingredients used to enhance the performance of consumer and industrial formulations, such as emulsifiers, foam control agents, odor control agents, antimicrobial products and performance additives. These products are integral components in cleaning solutions, personal care items, agrochemical formulations, coatings, oilfield treatments and polymer systems.

Serving a diverse set of end-markets, Stepan’s offerings address both consumer-facing and industrial applications.