DCI
Donaldson Company Inc
$89.39
▲ 0.3%Updated Today 12:11 PM ET
DCI at a glance — five pillars scored 0–100 from real filed financials.
Overall: Favorable · 64/100. A wider, greener shape means more pillars look healthy. Dividends scores 0 when a company pays none — that is a choice, not a flaw.
▲ Up 25.5% over the last 12 months
Market Cap
$10.33B
P/E
23.53x
Forward P/E (est.)
18.84x
ROE
28.1%
Revenue Growth
4.4%
EPS Growth
24.9%
Profit Margin
11.5%
FCF Yield
4.1%
Debt / Equity
0.46x
ROIC
17.0%
Interest Coverage
25.8x
Current Ratio
2.35x
Dividend Yield
1.4%
Implied Growth (rev. DCF)
5.5%
Rating Score
64/100
Donaldson Company Inc (DCI) is a large-cap company in the Machinery industry, part of the Industrials sector of the S&P 500, with a market value around $10.33B.
In its latest reported year it generated about $3.69B in revenue and $367.00M in net profit.
Our model rates DCI Favorable (64/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what DCI's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. DCI trades near $89.39, above its 50-day average ($85.67) and 200-day average ($89.29). Price above both averages, with the shorter one above the longer, is the textbook definition of an uptrend — momentum favours buyers.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 62 it is in neutral territory — neither stretched nor washed out.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.
Volatility — ATR. Average True Range is the typical daily move. DCI's is $1.92 (~2.1% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month DCI found buyers near $82.62 (support) and sellers near $90.10 (resistance); its 52-week range is $69.03–$112.84. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 0.1× the 20-day average — lighter than usual, so the move carries less conviction. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
4Y CAGR
6.6%
Revenue moved from $2.37B in 2017 to $3.69B in 2025, a 5.7% compound annual growth rate. The most recent year was roughly flat (4.4%) year over year. Slower, mature growth is common for established businesses.
Gross Margin
34.8%
Operating Margin
13.4%
Net Margin
9.9%
ROE
28.1%
Donaldson Company Inc keeps about 11.5% of each sales dollar as net profit, with a 34.8% gross margin and 13.4% operating margin. Return on equity is 28.1% and return on invested capital about 17.0%. Margins are moderate — typical of a competitive but profitable business.
Total Debt
$640.00M
Net Debt
$435.90M
Net Debt / EBITDA
0.88x
Debt / Equity
0.46x
Leverage: debt-to-equity is 0.5x, and operating profit covers interest about 25.8x, with a current ratio of 2.4x. That is a conservative balance sheet — a cushion in downturns. It carries roughly $640.00M of total debt against $204.10M of cash.
Operating CF
$418.80M
Free Cash Flow
$339.90M
FCF Margin
9.2%
In the latest year Donaldson Company Inc produced about $418.80M of operating cash flow and $339.90M of free cash flow after capital spending. That is a free-cash-flow yield of about 4.1% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.
P/E
23.53x
P/S
2.8x
P/B
5.77x
EV / EBITDA
18.09x
DCI trades at 23.5x trailing earnings (about 18.8x on estimated forward earnings), 2.8x sales, and 5.8x book value. Reverse-engineering today's price implies the market expects roughly 5.5% long-term free-cash-flow growth. That is a fairly typical valuation for a profitable company.
A two-stage discounted cash flow on real SEC-filed free cash flow — the intrinsic-value anchor professional analysts triangulate from.
DCF fair value / share
$51.62
Current price
$89.39
Starting FCF (latest 10-K)
$339.90M
Growth, years 1–5
4.4%
Fade to terminal, years 6–10
2.5%
Discount rate
9.0%
Cash flows grow at the stage-1 rate (trailing revenue growth, capped at 20%) for five years, fade to 2.5% by year 10, and continue at that rate forever (Gordon terminal value), all discounted at 9.0%. Small changes in assumptions move the result a lot — treat this as one reference point, not a target price. Educational only, not investment advice.
Where DCI sits versus its Industrials sector peers in the S&P 500.
Bands show the middle half (25th–75th percentile) of the 87 Industrials companies in the S&P 500 — the peer-relative anchor professional comps analysis uses. Context only — not investment advice.
How DCI stacks up against its Industrials peers — valuation, profitability, and growth versus the sector median.
In the Industrials sector (165 S&P 500 companies), DCI ranks #13 of 165 by our overall rating. It trades at a discount versus the sector on earnings (23.5x P/E vs. 32x median) with a higher return on equity (28.1% vs. 19.7%) and slower revenue growth (4.4% vs. 5.2%).
P/E vs sector
23.5x
median 32x
ROE vs sector
28.1%
median 19.7%
Growth vs sector
4.4%
median 5.2%
Sector rank
#13
of 165 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Industrials companies by sub-industry and size. Sector median is across all 165 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$0.00 – $0.00
vs. $89.39 today · expected CAGR -10% – 1%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $3.84B | $3.99B | $4.15B | $4.32B | $4.49B |
| Net income | $383.85M | $399.21M | $415.18M | $431.78M | $449.05M |
| EPS | $3.31 | $3.44 | $3.58 | $3.73 | $3.87 |
| Share price (low) | $46.36 | $48.22 | $50.15 | $52.15 | $54.24 |
| Share price (high) | $79.48 | $82.66 | $85.96 | $89.40 | $92.98 |
| CAGR (low–high) | -48% / -11% | -27% / -4% | -18% / -1% | -13% / 0% | -10% / 1% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
The case for DCI:
- Strong return on equity (28.1%) shows capital is put to work well.
- Healthy free-cash-flow yield (~4.1%) funds buybacks and dividends.
- A conservative balance sheet (debt/equity 0.5x) lowers risk.
- Our model's overall read is Favorable (64/100).
The case against DCI:
- Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the fundamentals screen favourably: Donaldson Company Inc is a large-cap industrials business growing at a mature pace, with modest profitability, and a sound balance sheet. It trades at 23.5x earnings, which our model scores Favorable (64/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
DCI — frequently asked questions
Is DCI a good stock to buy?
We don't give buy or sell advice. Our model rates Donaldson Company Inc Favorable (64/100) based on its growth, profitability, financial health, and valuation — use that as a research starting point and make your own decision.
What is DCI's rating on The Stocks School?
Donaldson Company Inc currently scores 64/100 (Favorable) on our transparent model, which weighs real fundamentals: growth, margins, returns on capital, balance-sheet strength, and valuation.
How our ratings work →Where does DCI's data come from?
Live price data plus real fundamentals and 5-year financials pulled directly from Donaldson Company Inc's SEC filings — refreshed automatically, not hand-entered.
How is the 5-year projection for DCI calculated?
It's a scenario model: it grows revenue at an assumed rate, applies a profit margin and a valuation multiple, and shows the resulting share-price range. The assumptions are yours to change — it's a tool for thinking, not a prediction.
Is this DCI analysis financial advice?
No. Everything on this page is educational research, not financial advice or a recommendation to buy or sell DCI. Always do your own research and consider a licensed professional.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.