According to Shams Charania of The Vertical, Stephenson and the New Orleans Pelicans have agreed to a contract.
On Aug. 29, Brett Dawson of the Advocate reported Stephenson would have a workout with the Pelicans.
Stephenson played for the Los Angeles Clippers and the Memphis Grizzlies last season. He was a valuable role player for both teams, averaging 8.3 points on 48.1 percent shooting and 3.2 rebounds per game.
The 26-year-old Stephenson possesses well-rounded talent, but various problems in the past have caused him to wear out his welcome with teams. He has played for four franchises since 2013, including the Indiana Pacers and the Charlotte Hornets.
In December 2014, Gary Washburn of the Boston Globe reported Stephenson had clashed with his Hornets teammates after signing with the franchise as a free agent that previous summer.
Stephenson gained notoriety while playing for the Pacers, specifically for one incident during the 2014 postseason in which he blew in LeBron James' ear to rattle the four-time NBA MVP.
Youth is still on Stephenson's side, so the Pelicans are justified to take a chance on him.