DONALDSON CO INC (DCI) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:DCI • US2576511099
103.41 USD
+2.24 (+2.21%)
At close: Feb 3, 2026
103.41 USD
0 (0%)
After Hours: 2/3/2026, 8:09:57 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 gets an excellent profitability rating and is at the same time showing great financial health properties. While showing a medium growth rate, DCI is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
- In the past year DCI was profitable.
- DCI had a positive operating cash flow in the past year.
- DCI had positive earnings in each of the past 5 years.
- In the past 5 years DCI always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of DCI (12.62%) is better than 90.15% of its industry peers.
- Looking at the Return On Equity, with a value of 25.18%, DCI belongs to the top of the industry, outperforming 93.94% of the companies in the same industry.
- The Return On Invested Capital of DCI (18.75%) is better than 93.94% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for DCI 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
- DCI's Profit Margin of 10.25% is fine compared to the rest of the industry. DCI outperforms 71.97% of its industry peers.
- DCI's Profit Margin has been stable in the last couple of years.
- DCI has a better Operating Margin (15.40%) than 71.21% of its industry peers.
- DCI's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 34.96%, DCI is in the better half of the industry, outperforming 63.64% of the companies in the same industry.
- 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.
- The number of shares outstanding for DCI has been reduced compared to 1 year ago.
- Compared to 5 years ago, DCI has less shares outstanding
- DCI has a worse debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 8.20 indicates that DCI is not in any danger for bankruptcy at the moment.
- DCI has a better Altman-Z score (8.20) than 90.15% of its industry peers.
- DCI has a debt to FCF ratio of 1.69. This is a very positive value and a sign of high solvency as it would only need 1.69 years to pay back of all of its debts.
- With an excellent Debt to FCF ratio value of 1.69, DCI belongs to the best of the industry, outperforming 81.82% of the companies in the same industry.
- DCI has a Debt/Equity ratio of 0.44. This is a healthy value indicating a solid balance between debt and equity.
- 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's Current ratio of 2.15 is in line compared to the rest of the industry. DCI outperforms 56.82% of 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.
- DCI has a Quick ratio (1.39) which 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.
- The Earnings Per Share has been growing by 12.86% on average over the past years. This is quite good.
- The Revenue has been growing slightly by 2.37% in the past 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
- The Earnings Per Share is expected to grow by 8.19% on average over the next years. This is quite good.
- Based on estimates for the next years, DCI will show a small growth in Revenue. The Revenue will grow by 4.30% on average per year.
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 27.28, which means the current valuation is very expensive for DCI.
- DCI's Price/Earnings ratio is in line with the industry average.
- Compared to an average S&P500 Price/Earnings ratio of 28.18, DCI is valued at the same level.
- The Price/Forward Earnings ratio is 23.10, which indicates a rather expensive current valuation of DCI.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of DCI is on the same level as its industry peers.
- DCI is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 25.51, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.28 | ||
| Fwd PE | 23.1 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as DCI.
- DCI's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.71 | ||
| EV/EBITDA | 18.51 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates DCI does not grow enough to justify the current Price/Earnings ratio.
- The excellent profitability rating of DCI may justify a higher PE ratio.
PEG (NY)2.47
PEG (5Y)2.12
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.
- Compared to an average industry Dividend Yield of 1.01, DCI pays a bit more dividend than its industry peers.
- Compared to the average S&P500 Dividend Yield of 1.83, DCI is paying slightly less dividend.
| 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
- 35.14% of the earnings are spent on dividend by DCI. This is a low number and sustainable payout ratio.
- The dividend of DCI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP35.14%
EPS Next 2Y10.3%
EPS Next 3Y9.91%
103.41
+2.24 (+2.21%)
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 Cap11.98B
Revenue(TTM)3.73B
Net Income(TTM)381.90M
Analysts70
Price Target98.15 (-5.09%)
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 | 27.28 | ||
| Fwd PE | 23.1 | ||
| P/S | 3.21 | ||
| P/FCF | 29.71 | ||
| P/OCF | 25.41 | ||
| P/B | 7.9 | ||
| P/tB | 12.94 | ||
| EV/EBITDA | 18.51 |
EPS(TTM)3.79
EY3.67%
EPS(NY)4.48
Fwd EY4.33%
FCF(TTM)3.48
FCFY3.37%
OCF(TTM)4.07
OCFY3.93%
SpS32.17
BVpS13.09
TBVpS7.99
PEG (NY)2.47
PEG (5Y)2.12
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.