Stepan Company Leadership

SCL Stock  USD 58.89  0.26  0.44%   
Stepan employs about 2.4 K people. The company is managed by 26 executives with a total tenure of roughly 150 years, averaging almost 5.0 years of service per executive, having 92.15 employees per reported executive. Inspection of Stepan's management performance can provide insight into the company performance.
Frank Stepan  Chairman
Chairman of the Board, President, Chief Executive Officer
Arthur Mergner  President
Vice President General Manager - Polymers
  
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Stepan Management Team Effectiveness

The company has Return on Asset of 0.019 % which means that on every $100 spent on assets, it made $0.019 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.0422 %, implying that it generated $0.0422 on every 100 dollars invested. Stepan's management efficiency ratios could be used to measure how well Stepan manages its routine affairs as well as how well it operates its assets and liabilities.

Stepan Workforce Comparison

Stepan Company is rated below average in number of employees category among its peers. The total workforce of Materials industry is at this time estimated at about 34,800. Stepan holds roughly 2,396 in number of employees claiming about 7% of all equities under Materials industry.
The company has Net Profit Margin of 0.02 %, which implies that it may need a different competitive strategy as even a very small decline in it revenue may erase profits and result in a net loss. This is way below average. In the same way, it shows Net Operating Margin of 0.01 %, which entails that for every 100 dollars of revenue, it generated $0.01 of operating income.

Stepan Insider Trading

Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Stepan insiders, such as employees or executives, is commonly permitted as long as it does not rely on Stepan's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases, Stepan insiders must file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.

Stepan Notable Stakeholders

A Stepan stakeholder refers to an individual interested in an outcome of the business. Different stakeholders have different interests, and companies such as Stepan often face trade-offs trying to please all of them. Stepan's stakeholders can have a positive or negative influence on the entity's direction, and there are a lot of executives involved in getting Stepan's stock to the level that pleases all shareholders. Keeping track of the stakeholders is a great way to stay on top of things affecting its ongoing price.
Frank StepanChairman of the Board, President, Chief Executive OfficerProfile
Arthur MergnerVice President General Manager - PolymersProfile
Luis RojoChief Financial Officer, Vice President, IR Contact OfficerProfile
Matthew EakenInterim CFO, Vice President Corporate ControllerProfile
Scott BehrensVice President, General Manager - SurfactantsProfile
Debra StefaniakVice President- Business TransformationProfile
Sean MoriartyVice President, General Manager - SurfactantsProfile
Jan ReedIndependent DirectorProfile
Lorinda BurgessIndependent DirectorProfile
Michael BoyceIndependent DirectorProfile
Gregory LawtonIndependent DirectorProfile
Edward WehmerLead Independent DirectorProfile
Joaquin DelgadoIndependent DirectorProfile
Randall DearthIndependent DirectorProfile
Samuel HinrichsenInterim VPProfile
Jason KeiperVice President and Chief Technology and Sustainability OfficerProfile
Janet CatlettChief Human Resource Officer, Vice PresidentProfile
Mark MydlachVice SalesProfile
Sharon PurnellVice OfficerProfile
David MattinglyVP OfficerProfile
Matthew RiceAssistant SecretaryProfile
Richard StepanVice President General Manager - PolymersProfile
Robert HaireExecutive ChainProfile
John VenegoniConsultantProfile
David KabbesVice President General Counsel, SecretaryProfile
David DavidVice President General Counsel, SecretaryProfile

About Stepan Management Performance

The success or failure of an entity such as Stepan Company often depends on how effective the management is. Stepan management team is responsible for propelling the future growth in the right direction and administering and controlling the business activities and accounting for the results. Ineffective management usually contributes to failure in the company's future performance for all stakeholders equally, but most importantly, for investors. So it is important to measure the effectiveness of Stepan management before purchasing its stock. In many ways, it's all about finding the answer to one important question - Are they doing the right thing right now? How would we assess whether the Stepan management is utilizing all available resources in the best possible way? Also, how well is the company doing relative to others in its sector and the market as a whole? The answer can be found by analyzing a few important fundamental indicators such as return on assets and return on equity.
Stepan Company, together with its subsidiaries, produces and sells specialty and intermediate chemicals to other manufacturers for use in various end products. Stepan Company was founded in 1932 and is headquartered in Northbrook, Illinois. Stepan operates under Specialty Chemicals classification in the United States and is traded on New York Stock Exchange. It employs 24 people.

Stepan Workforce Analysis

Traditionally, organizations such as Stepan use manpower efficiency calculations for various incentive schemes, employee appraisal, or as an initiative to improve the processes. However, it can also be used by investors to make long-term investment decisions. The trends in the profit per employee or revenue per employee are measured by net income or revenue divided by the current number of full-time employees over a given time interval. Because workforce needs differ across sectors, these ratios could be used to compare Stepan within its industry.

Stepan Manpower Efficiency

Return on Stepan Manpower

Revenue Per Employee910K
Revenue Per Executive83.9M
Net Income Per Employee16.8K
Net Income Per Executive1.5M
Working Capital Per Employee59K
Working Capital Per Executive5.4M
When determining whether Stepan Company is a strong investment it is important to analyze Stepan's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Stepan's future performance. For an informed investment choice regarding Stepan Stock, refer to the following important reports:
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Is Consumer Goods space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Stepan. If investors know Stepan will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Stepan listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Stepan Company is measured differently than its book value, which is the value of Stepan that is recorded on the company's balance sheet. Investors also form their own opinion of Stepan's value that differs from its market value or its book value, called intrinsic value, which is Stepan's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Stepan's market value can be influenced by many factors that don't directly affect Stepan's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Stepan's value and its price as these two are different measures arrived at by different means. Investors typically determine if Stepan is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Stepan's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.