<div id="readability-page-1"><div><p>Stepan Company (NYSE:SCL), is not the largest company out there, but it     saw a double-digit share price rise of over 10% in the past couple of months on the NYSE.   The recent rally in share prices has nudged the company in the right direction, though it still falls short of its yearly peak.     As a small cap stock, hardly covered by any analysts, there is generally more of an opportunity for mispricing as there is less activity to push the stock closer to fair value. Is there still an opportunity here to buy?  Today we will analyse the most recent data on Stepan’s outlook and valuation to see if the opportunity still exists.</p><p>This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality.</p><h2> Is Stepan Still Cheap? </h2><p> The share price seems sensible at the moment according to our price multiple model, where we compare the company's price-to-earnings ratio to the industry average.   We’ve used the price-to-earnings ratio in this instance because there’s not enough visibility to forecast its cash flows. The stock’s ratio of 24.08x is currently trading slightly above its industry peers’ ratio of 24.08x, which means if you buy Stepan today, you’d be paying a relatively sensible price for it. And if you believe Stepan should be trading in this range, then there isn’t really any room for the share price grow beyond the levels of other industry peers over the long-term.    Although, there may be an opportunity to buy in the future. This is because Stepan’s beta (a measure of share price volatility) is high, meaning its price movements will be exaggerated relative to the rest of the market. If the market is bearish, the company’s shares will likely fall by more than the rest of the market, providing a prime buying opportunity.    </p><p><span> Check out our latest analysis for Stepan </span></p> <h2> What kind of growth will Stepan generate? </h2><figure><img height="1048" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/asset/chart/305102-earnings-and-revenue-growth-1-dark-2/1765565246289?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="1642" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/asset/chart/305102-earnings-and-revenue-growth-1-dark-2/1765565246289"/><figcaption>NYSE:SCL Earnings and Revenue Growth December 12th 2025</figcaption></figure><p> Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares.   Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price.    In the upcoming year, Stepan's earnings are expected to increase by 57%, indicating a highly optimistic future ahead. This should lead to more robust cash flows, feeding into a higher share value.   </p> <h2>What This Means For You</h2> <p><strong>Are you a shareholder?</strong> SCL’s optimistic future growth appears to have been factored into the current share price,  with shares trading around industry price multiples. However, there are also other important factors which we haven’t considered today, such as  the financial strength of the company.  Have these factors changed since the last time you looked at SCL? Will you have enough  conviction to buy should the price fluctuate below the industry PE ratio? </p><p><strong>Are you a potential investor?</strong> If you’ve been  keeping an eye on SCL,  now may not be the most  optimal  time to buy, given it is trading around industry price multiples. However, the  positive outlook  is encouraging for SCL, which means it’s worth  further examining  other factors such as the strength of its balance sheet, in order to take advantage of the next price drop. </p> <p> In light of this, if you'd like to do more analysis on the company, it's vital to be informed of the risks involved.   For example, we've discovered <strong>2 warning signs</strong> that you should run your eye over to get a better picture of Stepan.   </p><p> If you are no longer interested in Stepan, you can use our free platform to see our list of over 50 other stocks with a high growth potential. </p><div><p>Mobile Infrastructure for Defense and Disaster</p><p>The next wave in robotics isn't humanoid. Its fully autonomous towers delivering 5G, ISR, and radar in under 30 minutes, anywhere.</p><p>Get the investor briefing before the next round of contracts</p><p><span>Sponsored On Behalf of CiTech</span></p></div></div></div>

<p>Stepan Company (NYSE:SCL) has seen a recent share price increase of over 10% on the NYSE. Despite this rally, the stock is trading slightly above industry peers' price-to-earnings ratio, suggesting a sensible price but limited long-term growth potential. Stepan's high beta indicates potential buying opportunities during market downturns. The company's earnings are expected to grow by 57% next year, promising robust cash flows and higher share value. Investors should consider Stepan's financial strength and risks before investing.</p>

Why Stepan Company (NYSE:SCL) Could Be Worth Watching