Robert W. Baird Has Lowered Expectations for Donaldson (NYSE:DCI) Stock Price

Donaldson (NYSE:DCI) had its price objective cut by stock analysts at Robert W. Baird from $110.00 to $104.00 in a note issued to investors on Friday,Benzinga reports. The firm presently has an “outperform” rating on the industrial products company’s stock. Robert W. Baird’s price objective points to a potential upside of 12.02% from the stock’s previous close.

A number of other brokerages have also weighed in on DCI. Weiss Ratings restated a “buy (b)” rating on shares of Donaldson in a research note on Friday, January 9th. Jefferies Financial Group upped their price objective on shares of Donaldson to $123.00 and gave the stock a “buy” rating in a research report on Monday, February 2nd. Morgan Stanley upgraded shares of Donaldson from an “underweight” rating to an “equal weight” rating and lifted their target price for the company from $72.00 to $84.00 in a research report on Monday, November 24th. UBS Group set a $96.00 price target on shares of Donaldson in a research note on Tuesday. Finally, Stifel Nicolaus raised their price objective on shares of Donaldson from $90.00 to $96.00 and gave the company a “hold” rating in a research report on Friday, December 5th. Three investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $100.60.

Donaldson Stock Performance

Donaldson stock opened at $92.84 on Friday. Donaldson has a 1-year low of $57.45 and a 1-year high of $112.84. The company has a current ratio of 2.15, a quick ratio of 1.39 and a debt-to-equity ratio of 0.44. The firm has a market capitalization of $10.71 billion, a PE ratio of 29.01, a price-to-earnings-growth ratio of 2.34 and a beta of 1.00. The firm’s 50 day simple moving average is $100.00 and its 200 day simple moving average is $89.35.

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

Insider Buying and Selling at Donaldson

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

Institutional Investors Weigh In On Donaldson

Institutional investors have recently bought and sold shares of the stock. State Street Corp lifted its stake in Donaldson by 0.7% in the second quarter. State Street Corp now owns 5,221,808 shares of the industrial products company’s stock worth $362,132,000 after acquiring an additional 36,866 shares during the period. Geode Capital Management LLC lifted its position in shares of Donaldson by 0.6% in the 4th quarter. Geode Capital Management LLC now owns 2,846,214 shares of the industrial products company’s stock worth $252,386,000 after purchasing an additional 15,674 shares during the period. Morgan Stanley boosted its stake in shares of Donaldson by 1.9% during the 4th quarter. Morgan Stanley now owns 2,542,166 shares of the industrial products company’s stock valued at $225,389,000 after purchasing an additional 47,062 shares in the last quarter. Fuller & Thaler Asset Management Inc. boosted its stake in shares of 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 valued at $187,037,000 after purchasing an additional 380,419 shares in the last quarter. Finally, Dimensional Fund Advisors LP increased its position in shares of Donaldson by 0.8% during the fourth quarter. Dimensional Fund Advisors LP now owns 2,010,010 shares of the industrial products company’s stock valued at $178,224,000 after buying an additional 15,799 shares during the period. 82.81% of the stock is currently owned by hedge funds and other institutional investors.

Donaldson News Roundup

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.)

About Donaldson

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.