Stepan Financials
Stepan (SCL) reported $2.3B in revenue for fiscal year 2025, up 7.0% from the prior fiscal year. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 15 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Stepan’s recent cash improvement reflects lighter capital spending more than a full restoration of operating economics.
The jump from negative to positive free cash flow in FY2024-FY2025 came after capital spending dropped from$260M in FY2023 to roughly$123M in each of the last two years. Because operating cash flow stayed in the same general range while margins remained well below FY2021-FY2022 levels, the cash recovery looks tied to a lighter reinvestment cycle rather than to a rebuilt earnings engine.
FY2025 revenue moved back up to
The balance sheet is less debt-heavy than in FY2022, with debt-to-equity easing from 0.4x to 0.3x. Still, the liquidity cushion is not especially loose; FY2025 operating cash flow of
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Stepan's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Stepan has an operating margin of 3.4%, meaning the company retains $3 of operating profit per $100 of revenue. This results in a moderate score of 49/100, indicating healthy but not exceptional operating efficiency. This is up from 3.2% the prior year.
Stepan's revenue grew 7.0% year-over-year to $2.3B, a solid pace of expansion. This earns a growth score of 32/100.
Stepan has a moderate D/E ratio of 0.27. This balance of debt and equity financing earns a leverage score of 46/100.
Stepan's current ratio of 1.29 indicates adequate short-term liquidity, earning a score of 33/100. The company can meet its near-term obligations, though with limited headroom.
While Stepan generated $147.9M in operating cash flow, capex of $122.5M consumed most of it, leaving $25.4M in free cash flow. This results in a low score of 29/100, reflecting heavy capital investment rather than weak cash generation.
Stepan's ROE of 3.8% shows moderate profitability relative to equity, earning a score of 50/100. This is down from 4.3% the prior year.
Stepan scores 2.74, placing it in the grey zone between 1.81 and 2.99. This signals moderate financial risk that warrants monitoring.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Stepan passes 5 of 9 financial strength tests. 3 of 4 profitability signals pass, 1 of 3 leverage/liquidity signals pass, 1 of 2 efficiency signals pass.
For every $1 of reported earnings, Stepan generates $3.15 in operating cash flow ($147.9M OCF vs $46.9M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Stepan earns $2.55 in operating income for every $1 of interest expense ($78.5M vs $30.8M). This adequate coverage means the company can meet its interest obligations, but has limited cushion if earnings fall.
Key Financial Metrics
Earnings & Revenue
Stepan generated $2.3B in revenue in fiscal year 2025. This represents an increase of 7.0% from the prior year.
Stepan's EBITDA was $204.6M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 12.0% from the prior year.
Stepan reported $46.9M in net income in fiscal year 2025. This represents a decrease of 6.9% from the prior year.
Stepan earned $2.05 per diluted share (EPS) in fiscal year 2025. This represents a decrease of 6.8% from the prior year.
Cash & Balance Sheet
Stepan generated $25.4M in free cash flow in fiscal year 2025, representing cash available after capex. This represents a decrease of 35.4% from the prior year.
Stepan held $132.7M in cash against $341.0M in long-term debt as of fiscal year 2025.
Stepan paid $1.55 per share in dividends in fiscal year 2025. This represents an increase of 2.6% from the prior year.
Margins & Returns
Stepan's gross margin was 11.6% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is down 0.9 percentage points from the prior year.
Stepan's operating margin was 3.4% in fiscal year 2025, reflecting core business profitability. This is up 0.1 percentage points from the prior year.
Stepan's net profit margin was 2.0% in fiscal year 2025, showing the share of revenue converted to profit. This is down 0.3 percentage points from the prior year.
Stepan's ROE was 3.8% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is down 0.5 percentage points from the prior year.
Capital Allocation
Stepan invested $34.8M in research and development in fiscal year 2025. This represents an increase of 3.7% from the prior year.
Stepan invested $122.5M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents a decrease of 0.2% from the prior year.
Not reported for fiscal year 2025.
SCL Income Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | TTM | FY25 | FY24 | FY23 | FY22 | FY21 | FY20 | FY19 | FY18 | FY17 | FY16 | FY15 | FY14 | FY13 | FY12 | FY11 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $2.4B | $2.3B+7.0% | $2.2B-6.3% | $2.3B-16.1% | $2.8B+18.2% | $2.3B+25.5% | $1.9B+0.6% | $1.9B-6.8% | $2.0B+3.6% | $1.9B+9.0% | $1.8B-0.6% | $1.8B-7.8% | $1.9B+2.5% | $1.9B+4.3% | $1.8B-2.1% | $1.8B |
| Cost of Revenue | $2.1B | $2.1B+8.1% | $1.9B-6.8% | $2.0B-12.7% | $2.3B+20.3% | $2.0B+31.2% | $1.5B-2.2% | $1.5B-8.2% | $1.7B+4.8% | $1.6B+10.6% | $1.4B-2.8% | $1.5B-12.5% | $1.7B+4.9% | $1.6B+5.7% | $1.5B-4.7% | $1.6B |
| Gross Profit | $287.4M | $269.9M-0.9% | $272.2M-1.9% | $277.6M-35.0% | $427.1M+7.9% | $395.8M+3.2% | $383.6M+12.9% | $339.7M+0.1% | $339.3M-2.0% | $346.2M+2.0% | $339.3M+10.1% | $308.2M+23.5% | $249.6M-11.4% | $281.7M-3.4% | $291.6M+14.1% | $255.6M |
| R&D Expenses | N/A | $34.8M+3.7% | $33.5M-6.1% | $35.7M-12.6% | $40.9M+5.5% | $38.8M+7.7% | $36.0M+5.4% | $34.1M+1.8% | $33.5M+1.1% | $33.2M-4.8% | $34.9M+15.0% | $30.3M+11.3% | $27.2M-5.4% | $28.8M+2.7% | $28.0M+11.6% | $25.1M |
| SG&A Expenses | $92.1M | $90.8M-7.6% | $98.3M+5.4% | $93.2M-8.8% | $102.2M+10.0% | $92.9M+6.3% | $87.4M+5.8% | $82.6M+4.2% | $79.2M+4.8% | $75.6M+1.0% | $74.9M-1.5% | $76.0M+14.3% | $66.5M+7.4% | $62.0M-3.2% | $64.0M+26.0% | $50.8M |
| Operating Income | $19.9M | $78.5M+11.4% | $70.5M+20.2% | $58.6M-71.7% | $207.3M+21.4% | $170.8M-0.4% | $171.5M+34.8% | $127.3M-14.7% | $149.3M-3.6% | $154.8M+21.1% | $127.8M+4.1% | $122.8M+35.4% | $90.7M-16.9% | $109.2M-15.2% | $128.7M+8.7% | $118.5M |
| Interest Expense | N/A | $30.8M-6.8% | $33.0M+12.5% | $29.4M+64.5% | $17.9M+76.0% | $10.1M+2.9% | $9.9M-22.6% | $12.7M-4.6% | $13.4M-7.4% | $14.4M | N/A | N/A | $11.4M+10.5% | $10.4M+7.9% | $9.6M+5.5% | $9.1M |
| Income Tax | $2.2M | $13.0M+29.2% | $10.1M+23.0% | $8.2M-80.3% | $41.5M+19.9% | $34.6M-20.2% | $43.4M+90.4% | $22.8M-14.5% | $26.7M-42.2% | $46.1M+67.1% | $27.6M+3.0% | $26.8M+45.3% | $18.5M-20.8% | $23.3M-35.4% | $36.0M+11.6% | $32.3M |
| Net Income | -$2.7M | $46.9M-6.9% | $50.4M+25.3% | $40.2M-72.7% | $147.2M+6.8% | $137.8M+8.7% | $126.8M+22.9% | $103.1M-7.2% | $111.1M+10.3% | $100.8M+16.9% | $86.2M+13.5% | $76.0M+33.0% | $57.1M-21.6% | $72.8M-8.3% | $79.4M+10.3% | $72.0M |
| EPS (Diluted) | — | $2.05-6.8% | $2.20+25.7% | $1.75-72.6% | $6.38+7.8% | $5.92+8.6% | $5.45+23.3% | $4.42-7.1% | $4.76+10.4% | $4.31+15.5% | $3.73+12.3% | $3.32+33.3% | $2.49-21.7% | $3.18-8.9% | $3.49 | $3.21 |
TTM is the trailing twelve months, Q3 FY2025 through Q2 FY2026, summed from the four most recent quarterly filings. A row marked — cannot be summed at all, because a quarter in the window reports no per-share figure; a row marked N/A could be summed, but a quarter in the window does not report that metric.
SCL Balance Sheet
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | FY25 | FY24 | FY23 | FY22 | FY21 | FY20 | FY19 | FY18 | FY17 | FY16 | FY15 | FY14 | FY13 | FY12 | FY11 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total Assets | $2.4B+2.3% | $2.3B-2.5% | $2.4B-2.9% | $2.4B+17.8% | $2.1B+17.9% | $1.8B+11.0% | $1.6B+4.3% | $1.5B+0.8% | $1.5B+11.0% | $1.4B+9.3% | $1.2B+6.6% | $1.2B-0.4% | $1.2B+18.4% | $985.5M+9.4% | $901.1M |
| Current Assets | $859.0M+6.0% | $810.4M-4.9% | $851.9M-18.5% | $1.0B+14.4% | $913.4M+0.9% | $905.7M+10.6% | $818.8M-1.8% | $833.9M+5.7% | $788.7M+15.1% | $685.5M+10.6% | $619.6M+7.6% | $575.6M-5.4% | $608.5M+16.3% | $523.1M+9.0% | $479.7M |
| Cash & Equivalents | $132.7M+33.1% | $99.7M-23.2% | $129.8M-25.3% | $173.8M+9.1% | $159.2M-54.5% | $349.9M+11.0% | $315.4M+5.1% | $300.2M+0.4% | $298.9M+32.4% | $225.7M+28.2% | $176.1M+106.7% | $85.2M-36.1% | $133.3M+73.5% | $76.9M-8.6% | $84.1M |
| Inventory | $298.8M+3.5% | $288.7M+8.7% | $265.6M-34.0% | $402.5M+31.7% | $305.5M+39.7% | $218.8M+7.4% | $203.6M-12.0% | $231.5M+34.0% | $172.7M-0.5% | $173.7M+1.9% | $170.4M-7.0% | $183.2M+6.3% | $172.4M+6.4% | $162.0M+45.7% | $111.2M |
| Goodwill | $92.6M+1.3% | $91.4M-6.2% | $97.4M+1.6% | $95.9M-1.3% | $97.2M+247.4% | $28.0M+7.2% | $26.1M+13.6% | $23.0M-8.6% | $25.1M-0.8% | $25.3M+124.7% | $11.3M-2.1% | $11.5M-1.9% | $11.7M+62.9% | $7.2M+2.8% | $7.0M |
| Total Liabilities | $1.1B-1.9% | $1.1B-1.1% | $1.1B-9.5% | $1.3B+27.8% | $991.4M+29.5% | $765.6M+11.4% | $687.6M-2.8% | $707.2M-7.3% | $762.8M+6.0% | $719.3M+5.6% | $681.4M+8.8% | $626.5M+1.9% | $614.9M+21.4% | $506.5M+1.3% | $499.9M |
| Current Liabilities | $666.5M-0.4% | $669.0M+10.1% | $607.9M-9.4% | $670.6M+34.0% | $500.5M+20.1% | $416.6M+22.8% | $339.1M+0.2% | $338.6M+5.7% | $320.3M+7.7% | $297.3M+22.2% | $243.2M-2.5% | $249.5M-7.2% | $269.0M+8.8% | $247.2M+6.0% | $233.2M |
| Long-Term Debt | $341.0M+2.5% | $332.6M-17.1% | $401.2M-11.8% | $455.0M+40.9% | $322.9M+100.8% | $160.8M-19.0% | $198.5M-16.9% | $239.0M-10.9% | $268.3M-7.1% | $288.9M-7.6% | $312.5M+26.6% | $246.9M+5.0% | $235.2M+57.3% | $149.6M-9.3% | $165.0M |
| Total Equity | $1.2B+6.3% | $1.2B-3.8% | $1.2B+4.3% | $1.2B+8.6% | $1.1B+8.9% | $986.7M+10.6% | $891.8M+10.4% | $807.4M+9.1% | $740.1M+16.6% | $634.6M+13.9% | $557.0M+4.0% | $535.5M-3.0% | $552.3M+15.3% | $479.0M+19.4% | $401.2M |
| Retained Earnings | $1.3B+0.9% | $1.3B+1.3% | $1.3B+0.6% | $1.3B+10.3% | $1.1B+10.7% | $1.0B+11.0% | $922.5M+10.2% | $837.1M+16.0% | $721.7M+11.2% | $649.1M+11.9% | $580.2M+11.5% | $520.5M+8.7% | $478.8M+13.9% | $420.5M+14.8% | $366.3M |
Not reported in any period shown, so not listed: Accounts Receivable.
SCL Cash Flow Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | TTM | FY25 | FY24 | FY23 | FY22 | FY21 | FY20 | FY19 | FY18 | FY17 | FY16 | FY15 | FY14 | FY13 | FY12 | FY11 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $155.0M | $147.9M-8.7% | $162.1M-7.3% | $174.9M+8.8% | $160.8M+122.9% | $72.1M-69.3% | $235.2M+7.7% | $218.4M+27.6% | $171.1M-13.9% | $198.9M-6.3% | $212.2M+15.5% | $183.7M+122.4% | $82.6M-45.1% | $150.3M+37.9% | $109.0M+40.8% | $77.4M |
| Capital Expenditures | $118.5M | $122.5M-0.2% | $122.8M-52.8% | $260.3M-13.7% | $301.6M+55.1% | $194.5M+54.6% | $125.8M+19.2% | $105.6M+21.8% | $86.6M+10.2% | $78.6M-23.7% | $103.1M-13.6% | $119.3M+17.2% | $101.8M+9.6% | $92.9M+11.7% | $83.2M0.0% | $83.2M |
| Free Cash Flow | $36.6M | $25.4M-35.4% | $39.3M+146.0% | -$85.5M+39.3% | -$140.8M-15.1% | -$122.3M-211.8% | $109.4M-3.0% | $112.9M+33.6% | $84.5M-29.7% | $120.3M+10.2% | $109.1M+69.5% | $64.4M+434.8% | -$19.2M-133.5% | $57.4M+122.6% | $25.8M+545.8% | -$5.8M |
| Investing Cash Flow | -$83.9M | -$89.0M+23.9% | -$116.9M+54.8% | -$258.7M+16.0% | -$308.1M+18.2% | -$376.8M-171.0% | -$139.0M-23.4% | -$112.7M-4.5% | -$107.8M-30.4% | -$82.7M+36.7% | -$130.5M | N/A | N/A | -$167.6M-91.6% | -$87.4M+13.7% | -$101.4M |
| Financing Cash Flow | -$47.5M | -$35.4M+45.1% | -$64.5M-293.8% | $33.3M-80.0% | $166.2M+41.7% | $117.3M+280.7% | -$64.9M+28.2% | -$90.5M-75.2% | -$51.6M-2.3% | -$50.5M-69.6% | -$29.8M | N/A | N/A | $76.3M+358.7% | -$29.5M-1300.9% | -$2.1M |
| Dividends Paid | $35.6M | $35.0M+3.2% | $34.0M+3.3% | $32.9M+7.5% | $30.6M+8.9% | $28.1M+10.5% | $25.4M+10.0% | $23.1M+10.7% | $20.9M+10.3% | $18.9M+9.1% | $17.3M+6.3% | $16.3M+5.9% | $15.4M+6.3% | $14.5M+13.5% | $12.8M+10.8% | $11.5M |
| Share Buybacks | N/A | N/A | N/A | N/A | $24.9M+47.0% | $17.0M+11.3% | $15.3M+15.7% | $13.2M-14.9% | $15.5M+158.3% | $6.0M+149.2% | $2.4M+20.4% | $2.0M-74.8% | $7.9M+248.3% | $2.3M+8.4% | $2.1M+39.1% | $1.5M |
TTM is the trailing twelve months, Q3 FY2025 through Q2 FY2026, summed from the four most recent quarterly filings. A row marked — cannot be summed at all, because a quarter in the window reports no per-share figure; a row marked N/A could be summed, but a quarter in the window does not report that metric.
SCL Financial Ratios
Margins and returns are percentages; the remaining ratios are unitless multiples.
| Metric | FY25 | FY24 | FY23 | FY22 | FY21 | FY20 | FY19 | FY18 | FY17 | FY16 | FY15 | FY14 | FY13 | FY12 | FY11 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 11.6%-0.9pp | 12.5%+0.5pp | 11.9%-3.5pp | 15.4%-1.5pp | 16.9%-3.7pp | 20.5%+2.2pp | 18.3%+1.3pp | 17.0%-1.0pp | 18.0%-1.2pp | 19.2%+1.9pp | 17.3%+4.4pp | 13.0%-2.0pp | 15.0%-1.2pp | 16.2%+2.3pp | 13.9% |
| Operating Margin | 3.4%+0.1pp | 3.2%+0.7pp | 2.5%-5.0pp | 7.5%+0.2pp | 7.3%-1.9pp | 9.2%+2.3pp | 6.9%-0.6pp | 7.5%-0.6pp | 8.0%+0.8pp | 7.2%+0.3pp | 6.9%+2.2pp | 4.7%-1.1pp | 5.8%-1.3pp | 7.1%+0.7pp | 6.4% |
| Net Margin | 2.0%-0.3pp | 2.3%+0.6pp | 1.7%-3.6pp | 5.3%-0.6pp | 5.9%-0.9pp | 6.8%+1.2pp | 5.5%0.0pp | 5.6%+0.3pp | 5.2%+0.3pp | 4.9%+0.6pp | 4.3%+1.3pp | 3.0%-0.9pp | 3.9%-0.5pp | 4.4%+0.5pp | 3.9% |
| Return on Equity | 3.8%-0.5pp | 4.3%+1.0pp | 3.3%-9.3pp | 12.6%-0.2pp | 12.8%0.0pp | 12.8%+1.3pp | 11.6%-2.2pp | 13.8%+0.1pp | 13.6%0.0pp | 13.6%-0.1pp | 13.6%+3.0pp | 10.7%-2.5pp | 13.2%-3.4pp | 16.6%-1.4pp | 17.9% |
| Return on Assets | 2.0%-0.2pp | 2.2%+0.5pp | 1.7%-4.3pp | 6.0%-0.6pp | 6.7%-0.6pp | 7.2%+0.7pp | 6.5%-0.8pp | 7.3%+0.6pp | 6.7%+0.3pp | 6.4%+0.2pp | 6.1%+1.2pp | 4.9%-1.3pp | 6.2%-1.8pp | 8.1%+0.1pp | 8.0% |
| Current Ratio | 1.29+0.1x | 1.21-0.2x | 1.40-0.2x | 1.56-0.3x | 1.82-0.3x | 2.17-0.2x | 2.410.0x | 2.460.0x | 2.46+0.2x | 2.31-0.2x | 2.55+0.2x | 2.310.0x | 2.26+0.1x | 2.12+0.1x | 2.06 |
| Debt-to-Equity | 0.270.0x | 0.280.0x | 0.33-0.1x | 0.39+0.1x | 0.30+0.1x | 0.16-0.1x | 0.22-0.1x | 0.30-0.1x | 0.36-0.1x | 0.46-0.1x | 0.56+0.1x | 0.460.0x | 0.43+0.1x | 0.31-0.1x | 0.41 |
| FCF Margin | 1.1%-0.7pp | 1.8%+5.5pp | -3.7%+1.4pp | -5.1%+0.1pp | -5.2%-11.1pp | 5.9%-0.2pp | 6.1%+1.8pp | 4.2%-2.0pp | 6.3%+0.1pp | 6.2%+2.6pp | 3.6%+4.6pp | -1.0%-4.0pp | 3.0%+1.6pp | 1.4%+1.7pp | -0.3% |
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Where Stepan Ranks
Frequently Asked Questions
What is Stepan's annual revenue?
Stepan (SCL) reported $2.3B in total revenue for fiscal year 2025. This represents a 7.0% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Stepan's revenue growing?
Stepan (SCL) revenue grew by 7.0% year-over-year, from $2.2B to $2.3B in fiscal year 2025.
Is Stepan profitable?
Yes, Stepan (SCL) reported a net income of $46.9M in fiscal year 2025, with a net profit margin of 2.0%.
What is Stepan's EBITDA?
Stepan (SCL) had EBITDA of $204.6M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Stepan have?
As of fiscal year 2025, Stepan (SCL) had $132.7M in cash and equivalents against $341.0M in long-term debt.
What is Stepan's gross margin?
Stepan (SCL) had a gross margin of 11.6% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Stepan's operating margin?
Stepan (SCL) had an operating margin of 3.4% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Stepan's net profit margin?
Stepan (SCL) had a net profit margin of 2.0% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
Does Stepan pay dividends?
Yes, Stepan (SCL) paid $1.55 per share in dividends during fiscal year 2025.
What is Stepan's return on equity (ROE)?
Stepan (SCL) has a return on equity of 3.8% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Stepan's free cash flow?
Stepan (SCL) generated $25.4M in free cash flow during fiscal year 2025. This represents a -35.4% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Stepan's operating cash flow?
Stepan (SCL) generated $147.9M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Stepan's total assets?
Stepan (SCL) had $2.4B in total assets as of fiscal year 2025, including both current and long-term assets.
What are Stepan's capital expenditures?
Stepan (SCL) invested $122.5M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does Stepan spend on research and development?
Stepan (SCL) invested $34.8M in research and development during fiscal year 2025.
What is Stepan's current ratio?
Stepan (SCL) had a current ratio of 1.29 as of fiscal year 2025, which is considered adequate.
What is Stepan's debt-to-equity ratio?
Stepan (SCL) had a debt-to-equity ratio of 0.27 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Stepan's return on assets (ROA)?
Stepan (SCL) had a return on assets of 2.0% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Stepan's Altman Z-Score?
Stepan (SCL) has an Altman Z-Score of 2.74, placing it in the Grey Zone (moderate risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Stepan's Piotroski F-Score?
Stepan (SCL) has a Piotroski F-Score of 5 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Stepan's earnings high quality?
Stepan (SCL) has an earnings quality ratio of 3.15x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Stepan cover its interest payments?
Stepan (SCL) has an interest coverage ratio of 2.55x, meaning it can adequately cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Stepan?
Stepan (SCL) scores 40 out of 100 on our Financial Health Score, indicating moderate standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.