Donaldson (NYSE:DCI) Releases FY 2026 Earnings Guidance

Key Points

• Donaldson raised its FY 2026 guidance, calling for EPS of $3.94-$4.01 and revenue of $3.8 billion-$3.9 billion. Both ranges are roughly in line with Wall Street expectations.
• The company also reported solid recent results, with quarterly EPS of $1.06 and revenue of $995.1 million, both slightly ahead of analyst estimates.
• Donaldson increased its quarterly dividend to $0.32 per share from $0.30, bringing the annualized payout to $1.28 and the yield to about 1.6%.

Donaldson (NYSE:DCI - Get Free Report) updated its FY 2026 earnings guidance on Tuesday. The company provided earnings per share (EPS) guidance of 3.940-4.010 for the period, compared to the consensus estimate of 3.980. The company issued revenue guidance of $3.8 billion-$3.9 billion, compared to the consensus revenue estimate of $3.8 billion.

Analysts Set New Price Targets

Several equities research analysts recently weighed in on DCI shares. UBS Group set a $96.00 target price on shares of Donaldson in a research note on Tuesday, February 24th. Wall Street Zen downgraded shares of Donaldson from a "buy" rating to a "hold" rating in a research note on Saturday, March 7th. Weiss Ratings downgraded shares of Donaldson from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Wednesday, April 15th. Morgan Stanley lowered their price target on shares of Donaldson from $93.00 to $91.00 and set an "equal weight" rating for the company in a report on Monday, March 9th. Finally, Jefferies Financial Group boosted their price target on shares of Donaldson to $123.00 and gave the stock a "buy" rating in a report on Monday, February 2nd. Two investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat.com, Donaldson has a consensus rating of "Hold" and an average price target of $100.20.

Donaldson Stock Down 0.1%

DCI stock opened at $81.76 on Tuesday. The company has a market cap of $9.47 billion, a price-to-earnings ratio of 25.55, a price-to-earnings-growth ratio of 2.06 and a beta of 0.99. The company has a debt-to-equity ratio of 0.43, a current ratio of 2.29 and a quick ratio of 1.46. Donaldson has a 12 month low of $67.71 and a 12 month high of $112.84. The company has a fifty day moving average price of $85.78 and a 200 day moving average price of $91.80.

Donaldson (NYSE:DCI - Get Free Report) last announced its quarterly earnings data on Monday, June 1st. The industrial products company reported $1.06 EPS for the quarter, topping analysts' consensus estimates of $1.05 by $0.01. The company had revenue of $995.10 million during the quarter, compared to the consensus estimate of $973.65 million. Donaldson had a net margin of 10.09% and a return on equity of 29.85%. Sell-side analysts expect that Donaldson will post 3.97 earnings per share for the current year.

Donaldson Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, June 30th. Stockholders of record on Monday, June 15th will be issued a $0.32 dividend. The ex-dividend date is Monday, June 15th. This represents a $1.28 dividend on an annualized basis and a dividend yield of 1.6%. This is a boost from Donaldson's previous quarterly dividend of $0.30. Donaldson's payout ratio is 37.50%.

Insider Buying and Selling

In related news, Director James Owens sold 13,753 shares of the stock in a transaction dated Tuesday, April 14th. The shares were sold at an average price of $89.21, for a total value of $1,226,905.13. Following the sale, the director directly owned 22,565 shares of the company's stock, valued at approximately $2,013,023.65. This represents a 37.87% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Over the last 90 days, insiders have sold 19,800 shares of company stock valued at $1,765,184. 2.20% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Donaldson

Hedge funds have recently modified their holdings of the company. Strive Financial Group LLC acquired a new stake in shares of Donaldson during the 4th quarter worth about $57,000. UMB Bank n.a. lifted its holdings in shares of Donaldson by 47.9% during the 4th quarter. UMB Bank n.a. now owns 1,115 shares of the industrial products company's stock worth $99,000 after acquiring an additional 361 shares during the period. Northwestern Mutual Wealth Management Co. lifted its holdings in shares of Donaldson by 389.1% during the 3rd quarter. Northwestern Mutual Wealth Management Co. now owns 1,389 shares of the industrial products company's stock worth $114,000 after acquiring an additional 1,105 shares during the period. Quarry LP lifted its holdings in shares of Donaldson by 23.4% during the 3rd quarter. Quarry LP now owns 1,671 shares of the industrial products company's stock worth $137,000 after acquiring an additional 317 shares during the period. Finally, EverSource Wealth Advisors LLC lifted its holdings in shares of Donaldson by 84.9% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 2,032 shares of the industrial products company's stock worth $141,000 after acquiring an additional 933 shares during the period. 82.81% of the stock is owned by institutional investors and hedge funds.

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.