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Stepan Company (SCL): A Steady Performer Among Dividend Champions
Yahoo Finance· 2025-10-05 19:28
Core Insights - Stepan Company (NYSE:SCL) is recognized as one of the Best Dividend Stocks and is included in the Dividend Champions List [1] - The company reported strong financial performance with double-digit adjusted EBITDA growth in the first half of 2025, despite challenges from higher oleochemical costs [2] Financial Performance - In Q2, Stepan Company reported adjusted EBITDA of $51.4 million, an 8% increase year-over-year, with overall volumes up 1% [3] - The Polymers segment saw a 7% increase, while the NCT product line experienced a significant 49% jump [3] - Adjusted net income was $12 million, reflecting a 27% increase compared to the previous year, aided by solid earnings in polymers and crop productivity, as well as a lower tax rate [3] Business Developments - The company added over 400 new customers during the quarter, with both crop productivity and oilfield businesses showing double-digit growth [4] - Stepan Company is on track to close the sale of its site in the Philippines later this year, while optimizing its global footprint [4] Dividend Information - Stepan Company has a strong dividend history, having increased its payout for 57 consecutive years [5] - The current quarterly dividend is $0.385 per share, resulting in a yield of approximately 3.16% as of October 2 [5]
Dividend Champions List: Top 15 Stocks to Buy
Insider Monkey· 2025-10-03 00:11
Core Insights - The article discusses the best dividend stocks for a dividend champions list, focusing on companies that have consistently increased their dividends for 25 years or more [2][5]. Dividend Champions Overview - Dividend champions are distinguished from dividend aristocrats by not needing to be part of the S&P Index, but they share a commitment to increasing dividend payouts [2]. - The ability to grow dividends through challenging times, such as the pandemic, highlights the resilience of these companies [3]. Market Trends - There is a growing interest in dividend stocks among younger investors, particularly Gen Z, who are seeking financial independence and early retirement [4]. - Income-focused ETFs have gained significant traction, capturing about one in every six dollars flowing into equity ETFs, with the sector reaching approximately $750 billion by 2025 [5]. Methodology for Stock Selection - The selection process involved analyzing over 150 dividend champions and identifying those with the highest dividend yields as of October 2 [7]. Company Highlights - **The York Water Company (NASDAQ:YORW)**: - Offers a dividend yield of 2.91% and has paid dividends since 1816, increasing payouts for 28 consecutive years [9][12]. - Operates in a monopoly-like environment, providing stable cash flow due to the high costs of establishing utility services [11]. - **The Southern Company (NYSE:SO)**: - Provides a dividend yield of 3.15% and has a strong reputation in nuclear energy, overseeing eight reactors [13][15]. - Has a record of 24 years of consecutive dividend increases and has paid dividends without interruption for 78 years [15]. - **Stepan Company (NYSE:SCL)**: - Offers a dividend yield of 3.16% and has increased its dividend for 57 straight years [16][19]. - Reported an 8% increase in adjusted EBITDA to $51.4 million in the second quarter, with strong growth in its Polymers and NCT product lines [17][18].