SG Americas Securities LLC Boosts Stake in Stepan Company $SCL

Key Points

• SG Americas Securities LLC increased its stake in Stepan by 166.8% in Q4 to 46,410 shares (about 0.21% of the company) valued at roughly $2.20 million, and overall institutional ownership stands at about 82.7%.
• Stepan missed Q4 expectations, reporting ($0.02) EPS versus $0.35 expected and revenue of $553.9 million versus $570.6 million expected, though revenue was up 5.4% year-over-year.
• The company pays a quarterly dividend of $0.395 (annualized $1.58) for a yield of 3.2% with a 77.1% payout ratio, while several brokers have recently downgraded the stock and the consensus rating is Sell.

SG Americas Securities LLC grew its holdings in shares of Stepan Company (NYSE:SCL - Free Report) by 166.8% during the fourth quarter, according to the company in its most recent disclosure with the SEC. The fund owned 46,410 shares of the basic materials company's stock after buying an additional 29,017 shares during the quarter. SG Americas Securities LLC owned 0.21% of Stepan worth $2,198,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently modified their holdings of the business. EverSource Wealth Advisors LLC grew its position in Stepan by 206.5% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 521 shares of the basic materials company's stock valued at $28,000 after acquiring an additional 351 shares during the last quarter. Financial Consulate Inc. bought a new stake in shares of Stepan during the third quarter worth $30,000. Quarry LP bought a new stake in shares of Stepan during the third quarter worth $34,000. Danske Bank A S purchased a new stake in shares of Stepan during the third quarter valued at $43,000. Finally, Raymond James Financial Inc. purchased a new stake in shares of Stepan during the second quarter valued at $100,000. 82.70% of the stock is currently owned by hedge funds and other institutional investors.

Stepan Trading Down 0.0%

NYSE:SCL opened at $49.96 on Friday. The stock has a market capitalization of $1.13 billion, a price-to-earnings ratio of 24.37 and a beta of 1.01. Stepan Company has a 52 week low of $41.82 and a 52 week high of $68.00. The company has a quick ratio of 0.84, a current ratio of 1.29 and a debt-to-equity ratio of 0.27. The firm has a 50 day moving average of $54.27 and a 200 day moving average of $49.55.

Stepan (NYSE:SCL - Get Free Report) last issued its quarterly earnings results on Monday, February 23rd. The basic materials company reported ($0.02) earnings per share for the quarter, missing analysts' consensus estimates of $0.35 by ($0.37). The business had revenue of $553.89 million for the quarter, compared to analysts' expectations of $570.60 million. Stepan had a return on equity of 3.38% and a net margin of 2.01%.Stepan's revenue was up 5.4% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.12 EPS. As a group, sell-side analysts anticipate that Stepan Company will post 3.55 earnings per share for the current fiscal year.

Stepan Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, March 13th. Stockholders of record on Monday, March 2nd were paid a dividend of $0.395 per share. This represents a $1.58 annualized dividend and a dividend yield of 3.2%. The ex-dividend date was Monday, March 2nd. Stepan's payout ratio is presently 77.07%.

Analysts Set New Price Targets

A number of brokerages have recently commented on SCL. Weiss Ratings lowered shares of Stepan from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Wednesday, March 4th. Zacks Research cut Stepan from a "hold" rating to a "strong sell" rating in a research note on Wednesday, March 4th. Two equities research analysts have rated the stock with a Sell rating, According to data from MarketBeat, the stock currently has a consensus rating of "Sell".

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.

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