WallStSmart

Ecolab Inc (ECL)vsStepan Company (SCL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ecolab Inc generates 590% more annual revenue ($16.08B vs $2.33B). ECL leads profitability with a 12.9% profit margin vs 2.0%. SCL appears more attractively valued with a PEG of 1.75. SCL earns a higher WallStSmart Score of 60/100 (C+).

ECL

Buy

55

out of 100

Grade: C-

Growth: 6.0Profit: 6.5Value: 4.7Quality: 5.8
Piotroski: 3/9Altman Z: 2.30

SCL

Buy

60

out of 100

Grade: C+

Growth: 6.0Profit: 4.0Value: 10.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ECLSignificantly Overvalued (-142.8%)

Margin of Safety

-142.8%

Fair Value

$125.04

Current Price

$268.54

$143.50 premium

UndervaluedFair: $125.04Overvalued
SCLUndervalued (+31.1%)

Margin of Safety

+31.1%

Fair Value

$95.94

Current Price

$50.27

$45.67 discount

UndervaluedFair: $95.94Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ECL3 strengths · Avg: 8.7/10
Market CapQuality
$74.91B9/10

Large-cap with strong market position

Return on EquityProfitability
22.5%9/10

Every $100 of equity generates 23 in profit

Revenue GrowthGrowth
17.8%8/10

17.8% revenue growth

SCL2 strengths · Avg: 9.0/10
Price/BookValuation
0.9x10/10

Reasonable price relative to book value

EPS GrowthGrowth
49.1%8/10

Earnings expanding 49.1% YoY

Areas to Watch

ECL4 concerns · Avg: 3.3/10
P/E RatioValuation
36.4x4/10

Premium valuation, high expectations priced in

Price/BookValuation
11.4x4/10

Trading at 11.4x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.732/10

Expensive relative to growth rate

SCL4 concerns · Avg: 3.3/10
PEG RatioValuation
1.754/10

Expensive relative to growth rate

Market CapQuality
$1.14B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
3.9%3/10

ROE of 3.9% — below average capital efficiency

Profit MarginProfitability
2.0%3/10

2.0% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : ECL

The strongest argument for ECL centers on Market Cap, Return on Equity, Revenue Growth. Revenue growth of 17.8% demonstrates continued momentum.

Bull Case : SCL

The strongest argument for SCL centers on Price/Book, EPS Growth.

Bear Case : ECL

The primary concerns for ECL are P/E Ratio, Price/Book, Piotroski F-Score.

Bear Case : SCL

The primary concerns for SCL are PEG Ratio, Market Cap, Return on Equity. Thin 2.0% margins leave little buffer for downturns.

Key Dynamics to Monitor

ECL profiles as a growth stock while SCL is a value play — different risk/reward profiles.

SCL carries more volatility with a beta of 1.04 — expect wider price swings.

ECL is growing revenue faster at 17.8% — sustainability is the question.

ECL generates stronger free cash flow (758M), providing more financial flexibility.

Bottom Line

SCL scores higher overall (60/100 vs 55/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Ecolab Inc

BASIC MATERIALS · SPECIALTY CHEMICALS · USA

Ecolab Inc., headquartered in St. Paul, Minnesota, is an American corporation that develops and offers services, technology and systems that specialize in water treatment, purification, cleaning and hygiene in a wide variety of applications. It helps organizations both private market as well as public treat their water, not only for drinking directly, but also for use in food, healthcare, hospitality related safety and industry.

Stepan Company

BASIC MATERIALS · SPECIALTY CHEMICALS · USA

Stepan Company produces and sells specialty and intermediate chemicals to other manufacturers for use in various end products in North America, Europe, Latin America, and Asia. The company is headquartered in Northfield, Illinois.

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