Donaldson (NYSE:DCI) Given New $72.00 Price Target at Morgan Stanley

Key Points

• Morgan Stanley has increased its price target for Donaldson (NYSE: DCI) from $69.00 to $72.00, while maintaining an "underweight" rating on the stock, suggesting a potential downside of 9.63% from current levels.
• Amidst mixed analyst ratings, Donaldson's stock currently holds a consensus rating of "Hold" with an average target price of $80.33.
• Donaldson reported a 4.8% increase in revenue year-over-year for the last quarter, achieving an EPS of $1.03, which beat analyst expectations.

Donaldson (NYSE:DCI - Free Report) had its price target upped by Morgan Stanley from $69.00 to $72.00 in a research report report published on Tuesday,Benzinga reports. They currently have an underweight rating on the industrial products company's stock.

Other equities research analysts have also issued research reports about the company. Stifel Nicolaus upped their target price on Donaldson from $69.00 to $84.00 and gave the company a "hold" rating in a research report on Thursday, August 28th. Wall Street Zen downgraded Donaldson from a "buy" rating to a "hold" rating in a report on Saturday, July 5th. Finally, Robert W. Baird boosted their price target on Donaldson from $78.00 to $85.00 and gave the company an "outperform" rating in a report on Friday, August 29th. One investment analyst has rated the stock with a Buy rating, one has given a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Hold" and an average price target of $80.33.

Donaldson Stock Up 0.5%

Shares of DCI stock traded up $0.42 during trading hours on Tuesday, reaching $81.04. 555,782 shares of the company's stock were exchanged, compared to its average volume of 692,751. Donaldson has a 1 year low of $57.45 and a 1 year high of $83.31. The stock has a market cap of $9.44 billion, a PE ratio of 26.57, a PEG ratio of 1.91 and a beta of 1.01. The company has a current ratio of 1.93, a quick ratio of 1.25 and a debt-to-equity ratio of 0.43. The stock's fifty day moving average price is $73.41 and its two-hundred day moving average price is $69.54.

Donaldson (NYSE:DCI - Get Free Report) last issued its quarterly earnings results on Wednesday, August 27th. The industrial products company reported $1.03 earnings per share for the quarter, topping analysts' consensus estimates of $1.02 by $0.01. Donaldson had a return on equity of 29.50% and a net margin of 9.94%.The business had revenue of $980.70 million for the quarter, compared to analyst estimates of $951.59 million. During the same quarter in the previous year, the firm earned $0.94 earnings per share. The company's revenue was up 4.8% on a year-over-year basis. Donaldson has set its FY 2026 guidance at 3.920-4.080 EPS. Research analysts predict that Donaldson will post 3.64 EPS for the current year.

Donaldson Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, August 27th. Investors of record on Tuesday, August 12th were issued a $0.30 dividend. This represents a $1.20 annualized dividend and a yield of 1.5%. The ex-dividend date of this dividend was Tuesday, August 12th. Donaldson's payout ratio is presently 39.34%.

Insider Buying and Selling

In related news, Director Trudy A. Rautio sold 31,900 shares of the business's stock in a transaction on Thursday, August 28th. The shares were sold at an average price of $79.96, for a total value of $2,550,724.00. Following the completion of the sale, the director owned 29,330 shares of the company's stock, valued at approximately $2,345,226.80. The trade was a 52.10% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Amy C. Becker sold 18,500 shares of the business's stock in a transaction dated Thursday, August 28th. The stock was sold at an average price of $81.71, for a total transaction of $1,511,635.00. Following the sale, the insider directly owned 44,645 shares of the company's stock, valued at $3,647,942.95. This represents a 29.30% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 63,900 shares of company stock valued at $5,129,264. 2.70% of the stock is owned by corporate insiders.

Institutional Trading of Donaldson

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Orion Porfolio Solutions LLC increased its stake in shares of Donaldson by 1.6% during the second quarter. Orion Porfolio Solutions LLC now owns 31,240 shares of the industrial products company's stock worth $2,166,000 after purchasing an additional 499 shares in the last quarter. Squarepoint Ops LLC raised its stake in Donaldson by 86.8% in the 2nd quarter. Squarepoint Ops LLC now owns 41,111 shares of the industrial products company's stock valued at $2,851,000 after purchasing an additional 19,106 shares during the last quarter. Thrivent Financial for Lutherans raised its stake in Donaldson by 41.9% in the 2nd quarter. Thrivent Financial for Lutherans now owns 44,215 shares of the industrial products company's stock valued at $3,067,000 after purchasing an additional 13,064 shares during the last quarter. Advisory Services Network LLC raised its stake in Donaldson by 3.2% in the 2nd quarter. Advisory Services Network LLC now owns 31,087 shares of the industrial products company's stock valued at $2,237,000 after purchasing an additional 974 shares during the last quarter. Finally, State of Wyoming raised its stake in Donaldson by 42.4% in the 2nd quarter. State of Wyoming now owns 10,371 shares of the industrial products company's stock valued at $719,000 after purchasing an additional 3,087 shares during the last quarter. Hedge funds and other institutional investors own 82.81% of the company's stock.

About Donaldson

Donaldson Company, Inc manufactures and sells filtration systems and replacement parts worldwide. The company operates through three segments: Mobile Solutions, Industrial Solutions, and Life Sciences. Its Mobile Solutions segment provides replacement filters for air and liquid filtration applications, such as air filtration systems; liquid filtration systems for fuel, lube, and hydraulic applications; exhaust and emissions systems and sensors; indicators; and monitoring systems.