Stepan Company (SCL) Stock Analysis
Basic Materials · Specialty Chemicals
Sell if holding. Engine safety override at $49.01: Quality below floor (2.3 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.7/10 and A.R:R 5.0:1 is above the 1.5:1 BUY gate. Specifically: Elevated put/call ratio: 4.33; Below-average business quality; Negative price momentum.
Stepan Company, together with its subsidiaries, produces and sells specialty and intermediate chemicals to other manufacturers for use in various end products in the United States, France, Poland, the United Kingdom, Brazil, Mexico, and internationally. It operates through three... Read more
Sell if holding. Engine safety override at $49.01: Quality below floor (2.3 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.7/10 and A.R:R 5.0:1 is above the 1.5:1 BUY gate. Specifically: Elevated put/call ratio: 4.33; Below-average business quality; Negative price momentum. Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Score 4.7/10, moderate confidence.
Passes 5/6 gates (favorable risk/reward ratio, clean insider activity, no SEC red flags, earnings proximity 89d clear, semi cycle peak clear). Fails on weak momentum. Suitability: aggressive.
Thesis
Key Metrics
Quality Signals
Options Flow
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer
Rating Breakdown
3 floor-breakers·1 ceiling hit
Price action weak — below key moving averages, no momentum carry. Needs a base before trend-continuation setups apply.static
Cyclical trough — margins compressed or negative. Profitability typically recovers with the cycle, but floor fires on current data.static
Growth below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Engine safety override at $49.01: Quality below floor (2.3 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.7/10 and A.R:R 5.0:1 is above the 1.5:1 BUY gate. Specifically: Elevated put/call ratio: 4.33; Below-average business quality; Negative price momentum. Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Prior stop was $46.88. Score 4.7/10, moderate confidence.
Take-profit target: $63.75 (+30.0% upside). Prior stop was $46.88. Stop-loss: $46.88.
Quality below floor (2.3 < 4.0).
Stepan Company trades at a P/E of N/A (forward 11.8). TrendMatrix value score: 9.0/10. Verdict: Sell.
5 analysts cover SCL with a consensus score of 4.0/5. Average price target: $75.
What does Stepan Company do?Stepan Company, together with its subsidiaries, produces and sells specialty and intermediate chemicals to other...
Stepan Company, together with its subsidiaries, produces and sells specialty and intermediate chemicals to other manufacturers for use in various end products in the United States, France, Poland, the United Kingdom, Brazil, Mexico, and internationally. 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, lubricating ingredients; emulsifiers for spreading agricultural products; and industrial applications comprising latex systems, plastics, and composites. The Polymers segment provides polyurethane polyols that are used in the manufacture of rigid foam for thermal insulation in the construction industry, as well as a base raw material for coatings, adhesives, sealants, and elastomers (CASE); polyester resins used in coating applications; specialty polyols, such as CASE and powdered polyester resins; and phthalic anhydride that is used in unsaturated polyester resins, alkyd resins, and plasticizers for applications in construction materials, as well as components of automotive, boating, and other consumer products. The Specialty Products segment offers flavors, emulsifiers, and solubilizers for use in food, flavoring, nutritional supplement, and pharmaceutical applications. Stepan Company was founded in 1932 and is headquartered in Northbrook, Illinois.