Donaldson Company, Inc. (NYSE:DCI) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Key Points

• Analysts maintain a “Moderate Buy” consensus on Donaldson, with three buy ratings and two holds; the average 12-month price target is $99.50.
• Donaldson exceeded quarterly expectations, reporting $1.06 in EPS and $995.1 million in revenue, with sales up 5.9% year over year.
• Institutional ownership stands at 82.81%, while the company declared a quarterly dividend of $0.32 per share, equivalent to a 1.4% annualized yield.

Shares of Donaldson Company, Inc. (NYSE:DCI - Get Free Report) have been given an average recommendation of "Moderate Buy" by the five analysts that are presently covering the company, MarketBeat reports. Two equities research analysts have rated the stock with a hold recommendation and three have assigned a buy recommendation to the company. The average 1-year target price among analysts that have updated their coverage on the stock in the last year is $99.50.

A number of brokerages recently commented on DCI. Robert W. Baird lifted their price objective on Donaldson from $95.00 to $105.00 and gave the stock an "outperform" rating in a research note on Wednesday. Weiss Ratings raised Donaldson from a "buy (b-)" rating to a "buy (b)" rating in a research note on Thursday. Wells Fargo & Company set a $91.00 target price on Donaldson in a report on Thursday, June 4th. Stifel Nicolaus decreased their target price on Donaldson from $96.00 to $91.00 and set a "hold" rating for the company in a research report on Thursday, June 4th. Finally, Wall Street Zen raised Donaldson from a "hold" rating to a "buy" rating in a research note on Sunday, August 9th.

Institutional Investors Weigh In On Donaldson

Hedge funds have recently bought and sold shares of the company. BlackRock Inc. bought a new stake in shares of Donaldson in the 2nd quarter valued at $1,072,012,000. Pictet Asset Management Holding SA lifted its holdings in Donaldson by 10,438.1% during the first quarter. Pictet Asset Management Holding SA now owns 1,801,481 shares of the industrial products company's stock worth $152,873,000 after acquiring an additional 1,784,386 shares in the last quarter. William Blair Investment Management LLC grew its stake in Donaldson by 26,235.7% in the fourth quarter. William Blair Investment Management LLC now owns 1,707,872 shares of the industrial products company's stock valued at $151,420,000 after acquiring an additional 1,701,387 shares during the period. Norges Bank acquired a new position in Donaldson in the fourth quarter valued at about $120,186,000. Finally, Bank of New York Mellon Corp bought a new stake in shares of Donaldson in the second quarter worth about $95,542,000. 82.81% of the stock is currently owned by institutional investors and hedge funds.

Donaldson Price Performance

Shares of DCI stock opened at $93.19 on Friday. The firm's 50 day moving average price is $91.30 and its two-hundred day moving average price is $90.77. The company has a debt-to-equity ratio of 0.35, a quick ratio of 1.55 and a current ratio of 2.35. Donaldson has a 52-week low of $73.88 and a 52-week high of $112.84. The stock has a market cap of $10.80 billion, a PE ratio of 25.05, a PEG ratio of 2.11 and a beta of 0.92.

Donaldson (NYSE:DCI - Get Free Report) last issued its earnings results on Monday, June 1st. The industrial products company reported $1.06 EPS for the quarter, beating the consensus estimate of $1.05 by $0.01. The company had revenue of $995.10 million during the quarter, compared to analysts' expectations of $973.65 million. Donaldson had a net margin of 11.52% and a return on equity of 29.17%. The business's revenue for the quarter was up 5.9% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.99 EPS. As a group, analysts forecast that Donaldson will post 3.96 EPS for the current year.

Donaldson Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, August 31st. Investors of record on Monday, August 17th will be issued a dividend of $0.32 per share. The ex-dividend date is Monday, August 17th. This represents a $1.28 dividend on an annualized basis and a yield of 1.4%. Donaldson's payout ratio is currently 34.41%.

Donaldson Company Profile

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source