Cubist Systematic Strategies LLC Reduces Holdings in Stepan Company $SCL

Key Points

• Cubist Systematic Strategies LLC reduced its stake in Stepan Company by 41.2% in Q1 2023, now owning roughly 0.09% of the company worth $1.13 million.
• Stepan Company reported a miss in quarterly earnings, with earnings per share of $0.52 compared to the consensus estimate of $0.92, and revenue of $594.69 million, just below expectations.
• The company declared a quarterly dividend of $0.385, representing a dividend yield of 3.1%, with a payout ratio of 60.63%.

Cubist Systematic Strategies LLC lessened its holdings in Stepan Company (NYSE:SCL - Free Report) by 41.2% during the first quarter, according to the company in its most recent disclosure with the SEC. The firm owned 20,470 shares of the basic materials company's stock after selling 14,334 shares during the quarter. Cubist Systematic Strategies LLC owned about 0.09% of Stepan worth $1,127,000 at the end of the most recent quarter.

Other large investors have also recently made changes to their positions in the company. Forum Financial Management LP grew its stake in shares of Stepan by 4.0% in the 4th quarter. Forum Financial Management LP now owns 6,606 shares of the basic materials company's stock worth $427,000 after buying an additional 257 shares during the last quarter. US Bancorp DE boosted its holdings in Stepan by 2.7% in the first quarter. US Bancorp DE now owns 14,057 shares of the basic materials company's stock worth $774,000 after acquiring an additional 373 shares in the last quarter. Copeland Capital Management LLC grew its stake in shares of Stepan by 67.9% in the first quarter. Copeland Capital Management LLC now owns 1,048 shares of the basic materials company's stock worth $58,000 after acquiring an additional 424 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its holdings in shares of Stepan by 3.9% during the fourth quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 12,146 shares of the basic materials company's stock valued at $786,000 after acquiring an additional 456 shares in the last quarter. Finally, Two Sigma Advisers LP raised its position in shares of Stepan by 4.0% in the 4th quarter. Two Sigma Advisers LP now owns 13,100 shares of the basic materials company's stock worth $848,000 after purchasing an additional 500 shares during the last quarter. 82.70% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several analysts recently commented on the stock. Wall Street Zen downgraded shares of Stepan from a "buy" rating to a "hold" rating in a research report on Saturday, August 2nd. Zacks Research cut shares of Stepan from a "hold" rating to a "strong sell" rating in a report on Wednesday, August 13th. One analyst has rated the stock with a Sell rating, According to data from MarketBeat, Stepan presently has a consensus rating of "Sell".

Stepan Stock Performance

Shares of NYSE SCL traded down $1.40 during trading on Friday, reaching $48.12. 82,561 shares of the company traded hands, compared to its average volume of 188,652. The firm has a 50 day simple moving average of $52.37 and a 200-day simple moving average of $53.59. Stepan Company has a 52-week low of $44.23 and a 52-week high of $82.08. The stock has a market capitalization of $1.09 billion, a PE ratio of 18.94 and a beta of 0.97. The company has a quick ratio of 0.86, a current ratio of 1.35 and a debt-to-equity ratio of 0.31.

Stepan (NYSE:SCL - Get Free Report) last released its quarterly earnings data on Wednesday, July 30th. The basic materials company reported $0.52 earnings per share for the quarter, missing the consensus estimate of $0.92 by ($0.40). Stepan had a net margin of 2.57% and a return on equity of 4.78%. The company had revenue of $594.69 million for the quarter, compared to analysts' expectations of $598.25 million. During the same period in the previous year, the firm earned $0.41 earnings per share. The firm's revenue for the quarter was up 6.9% on a year-over-year basis. Equities research analysts anticipate that Stepan Company will post 3.55 earnings per share for the current year.

Stepan Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, September 15th. Stockholders of record on Friday, August 29th will be issued a dividend of $0.385 per share. This represents a $1.54 annualized dividend and a dividend yield of 3.2%. The ex-dividend date of this dividend is Friday, August 29th. Stepan's dividend payout ratio is presently 60.63%.

Stepan Profile

Stepan Company, together with its subsidiaries, produces and sells specialty and intermediate chemicals to other manufacturers for use in various end products worldwide. It operates through three segments: Surfactants, Polymers, and Specialty Products. The Surfactants segment offers surfactants that are used in consumer and industrial cleaning and disinfection products, including detergents for washing clothes, dishes, carpets, and floors and walls, as well as shampoos and body washes; and other applications, such as fabric softeners, germicidal quaternary compounds, disinfectants, and lubricating ingredients.