DONALDSON CO INC (DCI) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:DCI • US2576511099
107.29 USD
+3.88 (+3.75%)
At close: Feb 4, 2026
107.29 USD
0 (0%)
After Hours: 2/4/2026, 7:00:00 PM
Taking everything into account, DCI scores 6 out of 10 in our fundamental rating. DCI was compared to 132 industry peers in the Machinery industry. DCI scores excellent points on both the profitability and health parts. This is a solid base for a good stock. DCI is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year DCI was profitable.
- In the past year DCI had a positive cash flow from operations.
- Each year in the past 5 years DCI has been profitable.
- Each year in the past 5 years DCI had a positive operating cash flow.
1.2 Ratios
- DCI has a Return On Assets of 12.62%. This is amongst the best in the industry. DCI outperforms 90.15% of its industry peers.
- The Return On Equity of DCI (25.18%) is better than 93.94% of its industry peers.
- DCI's Return On Invested Capital of 18.75% is amongst the best of the industry. DCI outperforms 93.94% of its industry peers.
- DCI had an Average Return On Invested Capital over the past 3 years of 18.70%. This is significantly above the industry average of 10.37%.
- The 3 year average ROIC (18.70%) for DCI is below the current ROIC(18.75%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.62% | ||
| ROE | 25.18% | ||
| ROIC | 18.75% |
ROA(3y)13.16%
ROA(5y)12.85%
ROE(3y)26.74%
ROE(5y)26.96%
ROIC(3y)18.7%
ROIC(5y)17.86%
1.3 Margins
- With a decent Profit Margin value of 10.25%, DCI is doing good in the industry, outperforming 71.97% of the companies in the same industry.
- In the last couple of years the Profit Margin of DCI has remained more or less at the same level.
- Looking at the Operating Margin, with a value of 15.40%, DCI is in the better half of the industry, outperforming 71.21% of the companies in the same industry.
- DCI's Operating Margin has improved in the last couple of years.
- The Gross Margin of DCI (34.96%) is better than 63.64% of its industry peers.
- In the last couple of years the Gross Margin of DCI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.4% | ||
| PM (TTM) | 10.25% | ||
| GM | 34.96% |
OM growth 3Y4.36%
OM growth 5Y3.01%
PM growth 3Y-0.4%
PM growth 5Y-0.02%
GM growth 3Y2.72%
GM growth 5Y0.74%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), DCI is creating value.
- DCI has less shares outstanding than it did 1 year ago.
- DCI has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, DCI has a worse debt to assets ratio.
2.2 Solvency
- DCI has an Altman-Z score of 8.20. This indicates that DCI is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of DCI (8.20) is better than 90.15% of its industry peers.
- The Debt to FCF ratio of DCI is 1.69, which is an excellent value as it means it would take DCI, only 1.69 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 1.69, DCI belongs to the top of the industry, outperforming 81.82% of the companies in the same industry.
- A Debt/Equity ratio of 0.44 indicates that DCI is not too dependend on debt financing.
- With a Debt to Equity ratio value of 0.44, DCI perfoms like the industry average, outperforming 53.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 1.69 | ||
| Altman-Z | 8.2 |
ROIC/WACC1.96
WACC9.57%
2.3 Liquidity
- DCI has a Current Ratio of 2.15. This indicates that DCI is financially healthy and has no problem in meeting its short term obligations.
- DCI has a Current ratio (2.15) which is in line with its industry peers.
- DCI has a Quick Ratio of 1.39. This is a normal value and indicates that DCI is financially healthy and should not expect problems in meeting its short term obligations.
- The Quick ratio of DCI (1.39) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.15 | ||
| Quick Ratio | 1.39 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 8.29% over the past year.
- DCI shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.86% yearly.
- Looking at the last year, DCI shows a small growth in Revenue. The Revenue has grown by 2.37% in the last year.
- DCI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.41% yearly.
EPS 1Y (TTM)8.29%
EPS 3Y11.01%
EPS 5Y12.86%
EPS Q2Q%13.25%
Revenue 1Y (TTM)2.37%
Revenue growth 3Y3.73%
Revenue growth 5Y7.41%
Sales Q2Q%3.92%
3.2 Future
- DCI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.19% yearly.
- DCI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.30% yearly.
EPS Next Y11.05%
EPS Next 2Y10.3%
EPS Next 3Y9.91%
EPS Next 5Y8.19%
Revenue Next Year4.46%
Revenue Next 2Y4.59%
Revenue Next 3Y4.64%
Revenue Next 5Y4.3%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 28.31, which means the current valuation is very expensive for DCI.
- Compared to the rest of the industry, the Price/Earnings ratio of DCI is on the same level as its industry peers.
- When comparing the Price/Earnings ratio of DCI to the average of the S&P500 Index (28.25), we can say DCI is valued inline with the index average.
- With a Price/Forward Earnings ratio of 23.97, DCI is valued on the expensive side.
- The rest of the industry has a similar Price/Forward Earnings ratio as DCI.
- The average S&P500 Price/Forward Earnings ratio is at 27.50. DCI is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.31 | ||
| Fwd PE | 23.97 |
4.2 Price Multiples
- DCI's Enterprise Value to EBITDA ratio is in line with the industry average.
- DCI's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.82 | ||
| EV/EBITDA | 18.51 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The excellent profitability rating of DCI may justify a higher PE ratio.
PEG (NY)2.56
PEG (5Y)2.2
EPS Next 2Y10.3%
EPS Next 3Y9.91%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.16%, DCI has a reasonable but not impressive dividend return.
- DCI's Dividend Yield is a higher than the industry average which is at 1.01.
- DCI's Dividend Yield is slightly below the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
5.2 History
- The dividend of DCI has a limited annual growth rate of 5.89%.
- DCI has paid a dividend for at least 10 years, which is a reliable track record.
- DCI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)5.89%
Div Incr Years29
Div Non Decr Years34
5.3 Sustainability
- DCI pays out 35.14% of its income as dividend. This is a sustainable payout ratio.
- DCI's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP35.14%
EPS Next 2Y10.3%
EPS Next 3Y9.91%
107.29
+3.88 (+3.75%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)12-04 2025-12-04/bmo
Earnings (Next)02-25 2026-02-25
Inst Owners90.28%
Inst Owner Change-2.17%
Ins Owners0.51%
Ins Owner Change1.83%
Market Cap12.43B
Revenue(TTM)3.73B
Net Income(TTM)381.90M
Analysts70
Price Target98.15 (-8.52%)
Short Float %1.51%
Short Ratio2.33
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
Yearly Dividend1.12
Dividend Growth(5Y)5.89%
DP35.14%
Div Incr Years29
Div Non Decr Years34
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.56%
Min EPS beat(2)0.26%
Max EPS beat(2)0.85%
EPS beat(4)3
Avg EPS beat(4)0.39%
Min EPS beat(4)-3.03%
Max EPS beat(4)3.49%
EPS beat(8)7
Avg EPS beat(8)3.09%
EPS beat(12)10
Avg EPS beat(12)2.46%
EPS beat(16)10
Avg EPS beat(16)0.65%
Revenue beat(2)2
Avg Revenue beat(2)1.19%
Min Revenue beat(2)0.35%
Max Revenue beat(2)2.04%
Revenue beat(4)2
Avg Revenue beat(4)-0.77%
Min Revenue beat(4)-5.17%
Max Revenue beat(4)2.04%
Revenue beat(8)4
Avg Revenue beat(8)-0.61%
Revenue beat(12)4
Avg Revenue beat(12)-0.91%
Revenue beat(16)8
Avg Revenue beat(16)-0.21%
PT rev (1m)6.18%
PT rev (3m)20.55%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.96%
EPS NY rev (1m)0.15%
EPS NY rev (3m)0.84%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.28%
Revenue NY rev (1m)0.08%
Revenue NY rev (3m)0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.31 | ||
| Fwd PE | 23.97 | ||
| P/S | 3.34 | ||
| P/FCF | 30.82 | ||
| P/OCF | 26.37 | ||
| P/B | 8.19 | ||
| P/tB | 13.43 | ||
| EV/EBITDA | 18.51 |
EPS(TTM)3.79
EY3.53%
EPS(NY)4.48
Fwd EY4.17%
FCF(TTM)3.48
FCFY3.24%
OCF(TTM)4.07
OCFY3.79%
SpS32.17
BVpS13.09
TBVpS7.99
PEG (NY)2.56
PEG (5Y)2.2
Graham Number33.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.62% | ||
| ROE | 25.18% | ||
| ROCE | 24.71% | ||
| ROIC | 18.75% | ||
| ROICexc | 20.62% | ||
| ROICexgc | 28.62% | ||
| OM | 15.4% | ||
| PM (TTM) | 10.25% | ||
| GM | 34.96% | ||
| FCFM | 10.82% |
ROA(3y)13.16%
ROA(5y)12.85%
ROE(3y)26.74%
ROE(5y)26.96%
ROIC(3y)18.7%
ROIC(5y)17.86%
ROICexc(3y)20.62%
ROICexc(5y)19.83%
ROICexgc(3y)30.71%
ROICexgc(5y)28.28%
ROCE(3y)24.98%
ROCE(5y)23.85%
ROICexgc growth 3Y4.61%
ROICexgc growth 5Y6.47%
ROICexc growth 3Y2.95%
ROICexc growth 5Y5.14%
OM growth 3Y4.36%
OM growth 5Y3.01%
PM growth 3Y-0.4%
PM growth 5Y-0.02%
GM growth 3Y2.72%
GM growth 5Y0.74%
F-Score6
Asset Turnover1.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 1.69 | ||
| Debt/EBITDA | 1 | ||
| Cap/Depr | 69.28% | ||
| Cap/Sales | 1.83% | ||
| Interest Coverage | 24.53 | ||
| Cash Conversion | 70.1% | ||
| Profit Quality | 105.58% | ||
| Current Ratio | 2.15 | ||
| Quick Ratio | 1.39 | ||
| Altman-Z | 8.2 |
F-Score6
WACC9.57%
ROIC/WACC1.96
Cap/Depr(3y)98.22%
Cap/Depr(5y)89.55%
Cap/Sales(3y)2.66%
Cap/Sales(5y)2.53%
Profit Quality(3y)103.21%
Profit Quality(5y)95.88%
High Growth Momentum
Growth
EPS 1Y (TTM)8.29%
EPS 3Y11.01%
EPS 5Y12.86%
EPS Q2Q%13.25%
EPS Next Y11.05%
EPS Next 2Y10.3%
EPS Next 3Y9.91%
EPS Next 5Y8.19%
Revenue 1Y (TTM)2.37%
Revenue growth 3Y3.73%
Revenue growth 5Y7.41%
Sales Q2Q%3.92%
Revenue Next Year4.46%
Revenue Next 2Y4.59%
Revenue Next 3Y4.64%
Revenue Next 5Y4.3%
EBIT growth 1Y3.39%
EBIT growth 3Y8.25%
EBIT growth 5Y10.64%
EBIT Next Year26.43%
EBIT Next 3Y12.17%
EBIT Next 5Y9.33%
FCF growth 1Y-10.54%
FCF growth 3Y26.65%
FCF growth 5Y5.3%
OCF growth 1Y-16.48%
OCF growth 3Y18.33%
OCF growth 5Y1.59%
DONALDSON CO INC / DCI FAQ
What is the fundamental rating for DCI stock?
ChartMill assigns a fundamental rating of 6 / 10 to DCI.
What is the valuation status for DCI stock?
ChartMill assigns a valuation rating of 3 / 10 to DONALDSON CO INC (DCI). This can be considered as Overvalued.
Can you provide the profitability details for DONALDSON CO INC?
DONALDSON CO INC (DCI) has a profitability rating of 8 / 10.
What is the financial health of DONALDSON CO INC (DCI) stock?
The financial health rating of DONALDSON CO INC (DCI) is 7 / 10.
What is the earnings growth outlook for DONALDSON CO INC?
The Earnings per Share (EPS) of DONALDSON CO INC (DCI) is expected to grow by 11.05% in the next year.