Donaldson (NYSE:DCI) Updates FY 2026 Earnings Guidance

Donaldson (NYSE:DCI) updated its FY 2026 earnings guidance on Tuesday. The company provided EPS guidance of 3.940-4.010 for the period, compared to the consensus EPS 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.

Donaldson Stock Performance

DCI stock opened at $85.32 on Thursday. Donaldson has a twelve month low of $67.71 and a twelve month high of $112.84. The firm has a market cap of $9.88 billion, a price-to-earnings ratio of 22.93, a PEG ratio of 2.16 and a beta of 0.95. The business’s fifty day simple moving average is $85.82 and its two-hundred day simple moving average is $91.78. The company has a quick ratio of 1.46, a current ratio of 2.35 and a debt-to-equity ratio of 0.35.

Donaldson (NYSE:DCI) last issued its earnings results on Tuesday, June 2nd. The industrial products company reported $1.06 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.05 by $0.01. The firm had revenue of $995.10 million during the quarter, compared to analyst estimates of $973.65 million. Donaldson had a net margin of 11.52% and a return on equity of 29.17%. The business’s revenue was up 5.9% on a year-over-year basis. During the same period in the previous year, the firm earned $0.99 earnings per share. Donaldson has set its FY 2026 guidance at 3.940-4.010 EPS. Analysts predict that Donaldson will post 3.97 earnings per share for the current year.

Donaldson Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Monday, June 15th will be given a $0.32 dividend. This is a positive change from Donaldson’s previous quarterly dividend of $0.30. The ex-dividend date of this dividend is Monday, June 15th. This represents a $1.28 annualized dividend and a yield of 1.5%. Donaldson’s dividend payout ratio is presently 37.50%.

Wall Street Analysts Forecast Growth

A number of brokerages have recently commented on DCI. Wall Street Zen lowered shares of Donaldson from a “buy” rating to a “hold” rating in a research report on Saturday, March 7th. Morgan Stanley lowered their price target on Donaldson from $93.00 to $91.00 and set an “equal weight” rating for the company in a report on Monday, March 9th. UBS Group set a $96.00 price objective on Donaldson in a research note on Tuesday, February 24th. Robert W. Baird decreased their target price on Donaldson from $104.00 to $95.00 and set an “outperform” rating for the company in a research report on Monday, March 30th. Finally, Weiss Ratings cut Donaldson from a “buy (b-)” rating to a “hold (c+)” rating in a report on Wednesday, April 15th. Two research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat.com, Donaldson presently has an average rating of “Hold” and a consensus target price of $100.20.

Insider Transactions at Donaldson

In related news, Director James Owens sold 13,753 shares of the business’s stock in a transaction that occurred on 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 completion of the transaction, the director owned 22,565 shares of the company’s stock, valued at $2,013,023.65. The trade was a 37.87% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Insiders have sold 19,800 shares of company stock worth $1,765,184 over the last 90 days. Company insiders own 2.20% of the company’s stock.

More Donaldson News

Here are the key news stories impacting Donaldson this week:

• Positive Sentiment: Donaldson posted fiscal Q3 EPS of $1.06, edging past estimates, while revenue of $995.1 million also beat forecasts and rose 5.9% year over year. Donaldson Reports Record Third Quarter Fiscal 2026 Sales and Earnings
• Positive Sentiment: The company said it is seeing margin recovery and described the quarter’s issues as largely execution-related rather than a broader demand problem, which should reassure investors about the underlying business. DCI Q3 Earnings Call Highlights Margin Recovery, Facet Deal
• Positive Sentiment: Donaldson also raised its quarterly dividend by 6.7%, reinforcing confidence in cash generation and shareholder returns. Donaldson Rewards Shareholders With 6.7% Dividend Increase
• Neutral Sentiment: The company narrowed FY2026 EPS guidance to $3.94-$4.01, which is broadly in line with expectations but not a major upside surprise. DCI Q3 Earnings Call Highlights Margin Recovery, Facet Deal
• Neutral Sentiment: Donaldson’s acquisition of Facet adds expected Q4 sales and future annualized benefits, but investors are still waiting to see how quickly those synergies show up in results. Donaldson forecasts 3%-5% organic sales growth as Facet adds $25M-$30M in Q4 sales and $10M annualized benefits target in fiscal 2027
• Negative Sentiment: Despite the strong quarter, management’s guidance was only modestly above consensus on revenue and roughly in line on EPS, which may limit upside if investors were hoping for a bigger outlook raise. Press Release

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the stock. Invesco Ltd. raised its holdings in Donaldson by 1.6% in the fourth quarter. Invesco Ltd. now owns 1,355,944 shares of the industrial products company’s stock worth $120,218,000 after purchasing an additional 21,268 shares in the last quarter. Corient Private Wealth LLC boosted its holdings in shares of Donaldson by 294.3% in the 4th quarter. Corient Private Wealth LLC now owns 169,948 shares of the industrial products company’s stock valued at $15,068,000 after buying an additional 126,849 shares in the last quarter. Strive Financial Group LLC purchased a new position in shares of Donaldson in the 4th quarter worth approximately $57,000. Mercer Global Advisors Inc. ADV raised its stake in shares of Donaldson by 17.7% during the 4th quarter. Mercer Global Advisors Inc. ADV now owns 19,369 shares of the industrial products company’s stock worth $1,717,000 after acquiring an additional 2,917 shares in the last quarter. Finally, Wealthspire Retirement LLC bought a new position in shares of Donaldson during the 4th quarter worth approximately $209,000. 82.81% of the stock is owned by institutional investors.

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.