Donaldson (NYSE:DCI) Issues FY 2026 Earnings Guidance

Donaldson (NYSE:DCI) updated its FY 2026 earnings guidance on Thursday. The company provided earnings per share guidance of 3.930-4.010 for the period, compared to the consensus earnings per share estimate of 4.040. The company issued revenue guidance of $3.7 billion-$3.9 billion, compared to the consensus revenue estimate of $3.8 billion.

Wall Street Analysts Forecast Growth

A number of research firms have recently issued reports on DCI. Jefferies Financial Group upped their price target on Donaldson to $123.00 and gave the company a “buy” rating in a research report on Monday, February 2nd. Robert W. Baird reduced their target price on Donaldson from $110.00 to $104.00 and set an “outperform” rating for the company in a report on Friday. Morgan Stanley raised Donaldson from an “underweight” rating to an “equal weight” rating and increased their price objective for the stock from $72.00 to $84.00 in a research report on Monday, November 24th. Stifel Nicolaus boosted their target price on Donaldson from $90.00 to $96.00 and gave the stock a “hold” rating in a research report on Friday, December 5th. Finally, UBS Group set a $96.00 price target on shares of Donaldson in a research report on Tuesday. Three research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $100.60.

Donaldson Stock Performance

Shares of DCI stock opened at $92.84 on Friday. The company’s 50-day simple moving average is $100.00 and its 200-day simple moving average is $89.25. Donaldson has a one year low of $57.45 and a one year high of $112.84. The stock has a market capitalization of $10.71 billion, a price-to-earnings ratio of 29.01, a PEG ratio of 2.32 and a beta of 1.00. The company has a debt-to-equity ratio of 0.44, a quick ratio of 1.39 and a current ratio of 2.15.

Donaldson (NYSE:DCI) last announced its quarterly earnings results on Thursday, February 26th. The industrial products company reported $0.83 earnings per share for the quarter, missing analysts’ consensus estimates of $0.90 by ($0.07). Donaldson had a return on equity of 30.34% and a net margin of 10.09%.The company had revenue of $896.30 million for the quarter, compared to analyst estimates of $898.64 million. During the same quarter in the previous year, the company posted $0.83 earnings per share. The firm’s revenue for the quarter was up 3.0% compared to the same quarter last year. Donaldson has set its FY 2026 guidance at 3.930-4.010 EPS. Equities analysts anticipate that Donaldson will post 3.64 earnings per share for the current fiscal year.

Donaldson Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, February 27th. Investors of record on Thursday, February 12th were paid a dividend of $0.30 per share. The ex-dividend date of this dividend was Thursday, February 12th. This represents a $1.20 annualized dividend and a yield of 1.3%. Donaldson’s dividend payout ratio (DPR) is currently 37.38%.

Insiders Place Their Bets

In related news, Director Ajita G. Rajendra sold 19,800 shares of Donaldson stock in a transaction dated Friday, December 5th. The stock was sold at an average price of $92.04, for a total value of $1,822,392.00. Following the transaction, the director owned 43,993 shares of the company’s stock, valued at approximately $4,049,115.72. This trade represents a 31.04% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CFO Bradley J. Pogalz sold 566 shares of the stock in a transaction dated Tuesday, December 9th. The stock was sold at an average price of $91.57, for a total value of $51,828.62. Following the completion of the sale, the chief financial officer directly owned 434 shares of the company’s stock, valued at approximately $39,741.38. This represents a 56.60% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 2.20% of the stock is owned by insiders.

More Donaldson News

Here are the key news stories impacting Donaldson this week:

• Positive Sentiment: Q2 revenue grew ~3% year‑over‑year and management set FY‑2026 sales guidance that implies up to ~5% organic sales growth, giving investors some top‑line visibility. Donaldson’s Q2 Earnings Miss Estimates, Revenues Increase Y/Y
• Neutral Sentiment: Management will present at the Raymond James Institutional Investors Conference on March 4, giving investors an opportunity for direct Q&A and more color on demand and margins. Donaldson Company to Present at the Raymond James 47th Annual Institutional Investors Conference
• Neutral Sentiment: Robert W. Baird trimmed its price target from $110 to $104 but kept an Outperform rating — a slight analytical downgrade but still constructive relative to the market. Price target lowered by Robert W. Baird
• Negative Sentiment: Q2 EPS missed consensus (reported ~$0.78–0.83 vs. ~$0.90 expected) and margins compressed, driven by cost/inflation and weaker aftermarket demand — the primary catalyst for the selloff. Donaldson Company, Inc. Q2 2026 Earnings Call Transcript
• Negative Sentiment: Management trimmed EPS guidance for FY‑2026 (guidance band modestly below consensus), and commentary flagged softer demand after tariff front‑loading — investors reacted to the lowered profit outlook. Donaldson shares sink after revenue miss, lowered profit outlook
• Negative Sentiment: Recent acquisition (Facet Filtration) raised leverage (management flagged higher net debt/EBITDA near ~1.8–2.0x) and is expected to be accretive only later (FY‑2027), creating near‑term earnings pressure and valuation concerns. Rich Multiple And Weak Results Put Donaldson In The Penalty Box
• Negative Sentiment: Short interest rose meaningfully in February (≈25% increase month‑over‑month), signaling growing bearish positioning that can amplify downside on negative headlines. (Data summary from recent market reports.)

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. Fuller & Thaler Asset Management Inc. grew its holdings in Donaldson by 22.0% during the 4th quarter. Fuller & Thaler Asset Management Inc. now owns 2,109,595 shares of the industrial products company’s stock worth $187,037,000 after acquiring an additional 380,419 shares during the last quarter. Millennium Management LLC lifted its position in shares of Donaldson by 428.6% during the first quarter. Millennium Management LLC now owns 223,976 shares of the industrial products company’s stock worth $15,020,000 after purchasing an additional 181,602 shares in the last quarter. Tidal Investments LLC bought a new stake in shares of Donaldson during the third quarter valued at approximately $14,349,000. Danske Bank A S bought a new position in Donaldson in the 3rd quarter worth approximately $11,914,000. Finally, Quantinno Capital Management LP lifted its holdings in Donaldson by 137.7% during the 2nd quarter. Quantinno Capital Management LP now owns 246,419 shares of the industrial products company’s stock worth $17,089,000 after buying an additional 142,750 shares in the last quarter. 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.