Stepan (NYSE:SCL) Stock Price Up 6.8% - Should You Buy?

Stepan (NYSE:SCL - Get Free Report) shares were up 6.8% on Wednesday . The stock traded as high as $78.59 and last traded at $77.93. Approximately 4,206 shares were traded during mid-day trading, a decline of 95% from the average daily volume of 90,963 shares. The stock had previously closed at $72.96.

Analyst Upgrades and Downgrades

Separately, StockNews.com cut shares of Stepan from a "buy" rating to a "hold" rating in a research note on Sunday, July 28th.

Stepan Stock Performance

The stock has a market capitalization of $1.67 billion, a price-to-earnings ratio of 48.62 and a beta of 0.80. The company has a debt-to-equity ratio of 0.31, a current ratio of 1.32 and a quick ratio of 0.92. The stock has a 50-day moving average of $75.21 and a 200 day moving average of $80.85.

Stepan (NYSE:SCL - Get Free Report) last posted its quarterly earnings results on Wednesday, July 31st. The basic materials company reported $0.41 earnings per share for the quarter, missing analysts' consensus estimates of $0.67 by ($0.26). Stepan had a return on equity of 3.83% and a net margin of 1.58%. The business had revenue of $556.41 million for the quarter, compared to the consensus estimate of $581.30 million. During the same period last year, the firm earned $0.53 earnings per share. The company's quarterly revenue was down 4.1% on a year-over-year basis. On average, analysts expect that Stepan will post 2.09 EPS for the current year.

Insider Transactions at Stepan

In other news, VP David Kabbes purchased 1,056 shares of Stepan stock in a transaction dated Wednesday, August 14th. The shares were bought at an average cost of $71.39 per share, with a total value of $75,387.84. Following the completion of the transaction, the vice president now directly owns 1,056 shares in the company, valued at $75,387.84. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. 7.00% of the stock is owned by corporate insiders.

Institutional Trading of Stepan

Several hedge funds have recently bought and sold shares of the stock. Swedbank AB bought a new stake in shares of Stepan during the first quarter worth $648,000. First Eagle Investment Management LLC raised its stake in shares of Stepan by 36.3% in the 1st quarter. First Eagle Investment Management LLC now owns 70,376 shares of the basic materials company's stock valued at $6,337,000 after purchasing an additional 18,733 shares during the period. Assenagon Asset Management S.A. bought a new stake in shares of Stepan in the second quarter valued at about $679,000. Semanteon Capital Management LP acquired a new position in shares of Stepan during the third quarter worth about $1,195,000. Finally, Price T Rowe Associates Inc. MD grew its holdings in shares of Stepan by 5.9% during the first quarter. Price T Rowe Associates Inc. MD now owns 13,878 shares of the basic materials company's stock worth $1,250,000 after buying an additional 775 shares in the last quarter. 82.70% of the stock is currently owned by institutional investors and hedge funds.

Stepan Company 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.