Donaldson (NYSE:DCI) Sets New 12-Month High – Still a Buy?

Shares of Donaldson Company, Inc. (NYSE:DCI) reached a new 52-week high on Wednesday . The stock traded as high as $101.80 and last traded at $101.42, with a volume of 54654 shares traded. The stock had previously closed at $99.87.

Analyst Upgrades and Downgrades

A number of analysts have recently issued reports on the stock. Stifel Nicolaus lifted their price objective on shares of Donaldson from $90.00 to $96.00 and gave the company a “hold” rating in a report on Friday, December 5th. Weiss Ratings reissued a “buy (b)” rating on shares of Donaldson in a research report on Friday, January 9th. Jefferies Financial Group raised Donaldson from a “hold” rating to a “buy” rating and increased their price target for the company from $92.00 to $120.00 in a research report on Friday, January 9th. Morgan Stanley raised Donaldson from an “underweight” rating to an “equal weight” rating and increased their price objective for the company from $72.00 to $84.00 in a report on Monday, November 24th. Finally, Robert W. Baird set a $100.00 target price on shares of Donaldson in a report on Friday, December 5th. Three equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat, Donaldson presently has a consensus rating of “Moderate Buy” and a consensus price target of $100.00.

Donaldson Price Performance

The business’s 50 day simple moving average is $92.02 and its 200-day simple moving average is $83.15. The company has a quick ratio of 1.39, a current ratio of 2.15 and a debt-to-equity ratio of 0.44. The stock has a market capitalization of $11.81 billion, a price-to-earnings ratio of 31.90, a P/E/G ratio of 2.53 and a beta of 0.99.

Donaldson (NYSE:DCI) last issued its quarterly earnings data on Thursday, December 4th. The industrial products company reported $0.94 EPS for the quarter, beating the consensus estimate of $0.93 by $0.01. The business had revenue of $935.40 million during the quarter, compared to the consensus estimate of $922.68 million. Donaldson had a net margin of 10.25% and a return on equity of 30.24%. The firm’s revenue was up 3.9% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.83 EPS. Donaldson has set its FY 2026 guidance at 3.950-4.110 EPS. On average, research analysts forecast that Donaldson Company, Inc. will post 3.64 earnings per share for the current year.

Donaldson Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Monday, December 22nd. Stockholders of record on Friday, December 5th were issued a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.2%. The ex-dividend date was Friday, December 5th. Donaldson’s dividend payout ratio (DPR) is currently 37.38%.

Insider Transactions at Donaldson

In other Donaldson news, Director Ajita G. Rajendra sold 19,800 shares of the business’s stock in a transaction on Friday, December 5th. The shares were sold at an average price of $92.04, for a total transaction of $1,822,392.00. Following the sale, the director owned 43,993 shares of the company’s stock, valued at $4,049,115.72. The trade was a 31.04% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CFO Bradley J. Pogalz sold 566 shares of the firm’s stock in a transaction that occurred on Tuesday, December 9th. The shares were sold at an average price of $91.57, for a total transaction of $51,828.62. Following the completion of the transaction, the chief financial officer owned 434 shares of the company’s stock, valued at $39,741.38. This trade represents a 56.60% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Corporate insiders own 2.20% of the company’s stock.

Hedge Funds Weigh In On Donaldson

A number of institutional investors have recently made changes to their positions in the stock. Royal Bank of Canada increased its stake in Donaldson by 38.2% in the first quarter. Royal Bank of Canada now owns 102,128 shares of the industrial products company’s stock valued at $6,848,000 after acquiring an additional 28,207 shares during the last quarter. Integrated Wealth Concepts LLC lifted its position in Donaldson by 16.5% in the 1st quarter. Integrated Wealth Concepts LLC now owns 3,479 shares of the industrial products company’s stock worth $233,000 after buying an additional 494 shares during the last quarter. Millennium Management LLC lifted its position in Donaldson by 428.6% in the 1st quarter. Millennium Management LLC now owns 223,976 shares of the industrial products company’s stock worth $15,020,000 after buying an additional 181,602 shares during the last quarter. Goldman Sachs Group Inc. boosted its stake in Donaldson by 29.0% in the first quarter. Goldman Sachs Group Inc. now owns 279,525 shares of the industrial products company’s stock worth $18,745,000 after buying an additional 62,864 shares in the last quarter. Finally, Ballentine Partners LLC grew its position in Donaldson by 46.6% during the second quarter. Ballentine Partners LLC now owns 7,219 shares of the industrial products company’s stock valued at $501,000 after acquiring an additional 2,296 shares during the last quarter. Institutional investors own 82.81% of the company’s stock.

About Donaldson

Donaldson Company, Inc (NYSE: DCI) is a global provider of filtration systems and replacement parts for a wide range of industries. The company develops and manufactures air, liquid and gas filtration solutions for engine and industrial applications, helping customers improve performance, lower emissions and extend equipment life. Donaldson’s product portfolio includes engine air intake filters, fuel filters, hydraulic filters, compressor filters, dust collection systems and gas turbine air intake systems.

Serving markets such as agriculture, construction, mining, power generation, aerospace and original equipment manufacturing, Donaldson operates through two primary business segments: Engine Products and Industrial Products.