Innospec Inc. (IOSP) vs Stepan Company (SCL)
Innospec Inc. and Stepan Company are both Specialty Chemicals companies. Innospec Inc. is the larger, with a market value of $2.4B against $1.5B — 1.6× the size. Stepan Company has negative trailing earnings, so its P/E is not meaningful; Innospec Inc. trades at 20.1×. Stepan Company grew revenue faster over the last twelve months: 7.63% against 2.87%. Innospec Inc. has the higher net margin (6.60% vs −0.11%) and the higher return on invested capital (7.32% vs 0.71%). Both pay a dividend; Stepan Company yields more (1.65% vs 1.19%). Across the 22 metrics below, Innospec Inc. leads on 15 and Stepan Company on 7.
Valuation
Profitability
| Metric | IOSP | SCL | Specialty Chemicals median |
|---|---|---|---|
| Gross margin | 27.46% | 11.81% | 29.23% |
| Operating margin | 7.00% | 0.82% | 3.63% |
| Net margin | 6.60% | (0.11%) | 2.89% |
| Free cash flow margin | 2.79% | 2.60% | 3.78% |
| Return on equity | 9.16% | (0.22%) | 3.62% |
| Return on assets | 6.65% | (0.11%) | 0.35% |
| Return on invested capital | 7.32% | 0.71% | 2.75% |
Growth
Health
Dividend
Size
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