Stencil computation is one of the most used kernels in a wide variety of scientific applications, ranging from large-scale weather prediction to solving partial differential equations. Stencil computations are characterized by three unique properties: (1) low arithmetic intensity, (2) limited temporal data reuse, and (3) regular and predictable data access pattern. As a result, stencil computations are typically bandwidth-bound workloads, which only experience limited benefits from the deep cache hierarchy of modern CPUs.In this work, we propose Casper, a near-cache accelerator consisting of specialized stencil compute units connected to the lastlevel cache (LLC) of a traditional CPU. Casper is based on two key ideas: (1) avoiding the cost of moving rarely reused data through the cache hierarchy, and (2) exploiting the regularity of the data accesses and the inherent parallelism of the stencil computation to increase the overall performance. With minimal changes in LLC address decoding logic and data placement, Casper performs stencil computations at the peak bandwidth of the LLC. We show that, by tightly coupling lightweight stencil compute units near to LLC, Casper improves performance of stencil kernels by 1.65× on average, while reducing the energy consumption by 35% compared to a commercial high-performance multi-core processor. Moreover, Casper provides a 37× improvement in performance-per-area compared to a state-of-the-art GPU.