Earnings Expectations for Q4

Stepan Company SCL is slated to unveil its fourth-quarter earnings results before the opening bell on Feb. 20, 2024. Analysts anticipate earnings per share to stand at 37 cents, down from 59 cents in the same period the previous year. Revenue projections for the quarter are at $534.53 billion, a decline from $627.18 million in the corresponding period.

Recent Company Updates

Stepping up its board, Stepan recently appointed Susan M. Lewis as a director, effective on Feb. 15. However, the company reported a 22% year-on-year sales decrease for the third quarter of FY23, amounting to $562.226 million, missing the analyst consensus of $603.72 million due to lower selling prices.

Potential Dividend Earnings

With the recent attention surrounding Stepan, some investors are eyeing potential gains from the company’s dividends. As things stand, Stepan offers a dividend yield of 1.68%, equivalent to a quarterly dividend amount of 37.50 cents a share ($1.50 annually). To realize $500 monthly from Stepan dividends, an investor would need to own roughly $373,400 worth of Stepan, or 4,000 shares. For a more conservative goal of $100 monthly ($1,200 annually), 800 shares, or $74,680, would be required to generate the desired dividend income.

Understanding Dividend Yield

It’s important to note that dividend yield can change dynamically as the dividend payment and the stock price fluctuate over time. The dividend yield is calculated by dividing the annual dividend payment by the current stock price. As the stock price shifts, the dividend yield also adjusts accordingly.

Price Action of Stepan Stock

At the close of trading on Thursday, shares of Stepan climbed 4.4% to $93.35. This upward momentum suggests buoyancy in the market for Stepan stock.