Donaldson Company, Inc. $DCI Position Trimmed by Scharf Investments LLC

Key Points

• Scharf Investments LLC reduced its position in Donaldson Company by 3.0%, selling 23,878 shares and retaining approximately 760,079 shares.
• Several hedge funds have recently adjusted their positions in Donaldson, with Kingstone Capital Partners investing about $679 million in the second quarter, further indicating institutional interest in the company.
• Analysts hold a consensus rating of "Hold" for Donaldson's stock, with price targets ranging from $72.00 to $85.00, following varied ratings from firms like Morgan Stanley and Robert W. Baird.

Scharf Investments LLC reduced its position in shares of Donaldson Company, Inc. (NYSE:DCI - Free Report) by 3.0% in the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 760,079 shares of the industrial products company's stock after selling 23,878 shares during the period. Donaldson makes up 1.5% of Scharf Investments LLC's portfolio, making the stock its 26th biggest holding. Scharf Investments LLC owned about 0.65% of Donaldson worth $52,713,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also recently modified their holdings of the company. Kingstone Capital Partners Texas LLC bought a new position in shares of Donaldson during the second quarter valued at about $679,475,000. Kayne Anderson Rudnick Investment Management LLC raised its position in shares of Donaldson by 75.3% during the 1st quarter. Kayne Anderson Rudnick Investment Management LLC now owns 3,330,602 shares of the industrial products company's stock valued at $223,350,000 after purchasing an additional 1,430,120 shares during the period. Fiduciary Management Inc. WI increased its holdings in Donaldson by 13.1% in the 1st quarter. Fiduciary Management Inc. WI now owns 2,499,756 shares of the industrial products company's stock valued at $167,634,000 after acquiring an additional 290,477 shares during the last quarter. Dimensional Fund Advisors LP grew its stake in shares of Donaldson by 12.6% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,818,227 shares of the industrial products company's stock worth $121,926,000 after buying an additional 202,746 shares in the last quarter. Finally, Fuller & Thaler Asset Management Inc. boosted its stake in shares of Donaldson by 0.3% during the 1st quarter. Fuller & Thaler Asset Management Inc. now owns 1,598,281 shares of the industrial products company's stock worth $107,181,000 after purchasing an additional 4,041 shares during the period. 82.81% of the stock is owned by institutional investors.

Donaldson Trading Down 0.2%

NYSE:DCI traded down $0.16 on Monday, reaching $80.93. The stock had a trading volume of 535,796 shares, compared to its average volume of 814,561. The company has a market cap of $9.43 billion, a price-to-earnings ratio of 26.53, a P/E/G ratio of 1.92 and a beta of 1.00. Donaldson Company, Inc. has a 12-month low of $57.45 and a 12-month high of $83.31. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.93 and a quick ratio of 1.25. The firm's fifty day moving average is $75.66 and its two-hundred day moving average is $70.47.

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

Donaldson Dividend Announcement

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

Analysts Set New Price Targets

A number of analysts have recently weighed in on DCI shares. Morgan Stanley increased their price objective on shares of Donaldson from $69.00 to $72.00 and gave the stock an "underweight" rating in a research note on Tuesday, September 2nd. Wall Street Zen cut shares of Donaldson from a "buy" rating to a "hold" rating in a research report on Saturday, July 5th. Robert W. Baird lifted their price target on shares of Donaldson from $78.00 to $85.00 and gave the company an "outperform" rating in a research report on Friday, August 29th. Finally, Stifel Nicolaus lifted their price objective on shares of Donaldson from $69.00 to $84.00 and gave the company a "hold" rating in a report on Thursday, August 28th. One equities research analyst has rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat.com, the company has an average rating of "Hold" and an average target price of $80.33.

Insider Buying and Selling at Donaldson

In other Donaldson news, Director Trudy A. Rautio sold 31,900 shares of the company's stock in a transaction that occurred on Thursday, August 28th. The stock was sold at an average price of $79.96, for a total transaction of $2,550,724.00. Following the sale, the director owned 29,330 shares in the company, valued at $2,345,226.80. This represents a 52.10% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, President Guillermo Briseno sold 13,500 shares of Donaldson stock in a transaction on Wednesday, September 3rd. The stock was sold at an average price of $79.03, for a total transaction of $1,066,905.00. Following the completion of the transaction, the president directly owned 25,309 shares of the company's stock, valued at approximately $2,000,170.27. This represents a 34.79% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 63,900 shares of company stock worth $5,129,264 over the last quarter. 2.70% of the stock is owned by corporate insiders.

Donaldson Company Profile

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.