Donaldson (NYSE:DCI) Issues FY 2027 Earnings Guidance

Donaldson (NYSE:DCI) issued an update on its FY 2027 earnings guidance on Wednesday. The company provided earnings per share guidance of 4.220-4.380 for the period, compared to the consensus estimate of 4.400. The company issued revenue guidance of $4.1 billion-$4.3 billion, compared to the consensus revenue estimate of $4.2 billion.

Donaldson Trading Up 2.0%

Shares of NYSE DCI opened at $95.14 on Thursday. The business’s 50 day moving average price is $91.75 and its 200-day moving average price is $90.44. The company has a market cap of $11.03 billion, a price-to-earnings ratio of 25.58, a PEG ratio of 2.13 and a beta of 0.92. 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 fifty-two week low of $75.70 and a fifty-two week high of $112.84.

Donaldson (NYSE:DCI) last released its quarterly earnings data on Wednesday, August 26th. The industrial products company reported $1.15 earnings per share for the quarter, topping analysts’ consensus estimates of $1.13 by $0.02. Donaldson had a net margin of 11.52% and a return on equity of 29.17%. The company had revenue of $1.06 billion during the quarter, compared to analyst estimates of $1.04 billion. During the same period in the prior year, the firm earned $1.03 earnings per share. The firm’s revenue for the quarter was up 8.0% compared to the same quarter last year. Donaldson has set its FY 2027 guidance at 4.220-4.380 EPS. On average, sell-side analysts expect that Donaldson will post 3.96 earnings per share for the current year.

Donaldson Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, August 31st. Stockholders of record on Monday, August 17th will be paid a $0.32 dividend. The ex-dividend date is Monday, August 17th. This represents a $1.28 dividend on an annualized basis and a dividend yield of 1.3%. Donaldson’s dividend payout ratio is presently 34.41%.

Wall Street Analyst Weigh In

Several analysts have recently issued reports on DCI shares. Wall Street Zen upgraded shares of Donaldson from a “hold” rating to a “buy” rating in a research report on Sunday, August 9th. Weiss Ratings upgraded shares of Donaldson from a “buy (b-)” rating to a “buy (b)” rating in a research note on Thursday, August 20th. Wells Fargo & Company set a $91.00 target price on shares of Donaldson in a report on Thursday, June 4th. Robert W. Baird increased their target price on Donaldson from $95.00 to $105.00 and gave the company an “outperform” rating in a report on Wednesday, August 19th. Finally, Stifel Nicolaus cut their price target on Donaldson from $96.00 to $91.00 and set a “hold” rating on the stock in a research note on Thursday, June 4th. Three analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat, Donaldson presently has a consensus rating of “Moderate Buy” and a consensus target price of $99.50.

Key Headlines Impacting Donaldson

Here are the key news stories impacting Donaldson this week:

• Positive Sentiment: Quarterly earnings and revenue beat estimates. Donaldson reported adjusted earnings of $1.15 per share, ahead of the $1.12-$1.13 analyst consensus, while revenue reached $1.06 billion versus expectations of roughly $1.04 billion. Revenue increased 8% year over year, and quarterly EPS rose from $1.03 in the prior-year period. Donaldson Tops Q4 Earnings and Revenue Estimates
• Positive Sentiment: Fiscal 2026 ended with record results. GAAP net earnings increased to $453.8 million for the full year from $367.0 million in fiscal 2025, while full-year GAAP EPS rose to $3.85 from $3.05. The company also reported record fourth-quarter and full-year sales and earnings. Donaldson Reports Record Fourth Quarter and Full-Year 2026 Sales and Earnings
• Positive Sentiment: Profitability remains strong. Donaldson posted a 29.17% return on equity and an 11.52% net margin, supporting the market’s favorable reaction to the earnings release. Donaldson Quarterly Earnings Report
• Neutral Sentiment: Management provided fiscal 2027 guidance. Revenue is projected at $4.1 billion-$4.3 billion, broadly consistent with the $4.2 billion consensus estimate. Management discussed the results and outlook during the earnings call. Donaldson Q4 2026 Earnings Call Transcript
• Negative Sentiment: Fiscal 2027 EPS guidance trails expectations. Donaldson forecast EPS of $4.22-$4.38, below the $4.40 analyst consensus. The modest shortfall may temper enthusiasm despite the strong fiscal 2026 performance. Donaldson Key Metrics Versus Estimates

Institutional Trading of Donaldson

A number of hedge funds and other institutional investors have recently modified their holdings of DCI. Strive Financial Group LLC acquired a new position in shares of Donaldson in the 4th quarter valued at approximately $57,000. UMB Bank n.a. lifted its stake in Donaldson by 47.9% in the 4th quarter. UMB Bank n.a. now owns 1,115 shares of the industrial products company’s stock valued at $99,000 after purchasing an additional 361 shares during the last quarter. Northwestern Mutual Wealth Management Co. raised its stake in Donaldson by 389.1% in the 3rd quarter. Northwestern Mutual Wealth Management Co. now owns 1,389 shares of the industrial products company’s stock valued at $114,000 after acquiring an additional 1,105 shares during the period. Quarry LP grew its position in shares of Donaldson by 23.4% in the third quarter. Quarry LP now owns 1,671 shares of the industrial products company’s stock valued at $137,000 after purchasing an additional 317 shares during the last quarter. Finally, EverSource Wealth Advisors LLC increased its position in 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 buying an additional 933 shares during the period. Institutional investors and hedge funds own 82.81% of the company’s stock.

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.