Ajita Rajendra, a director at Donaldson Company, Inc. (NYSE:DCI), executed a significant stock sale on December 5, 2023. Rajendra sold 19,800 shares at an average price of $92.04, amounting to a total value of $1,822,392.00. As a result of this transaction, Rajendra now directly holds 43,993 shares of the company, which are valued at approximately $4,049,115.72. This sale represents a notable decrease of 31.04% in Rajendra’s ownership position.
The details of the sale were disclosed in a document filed with the U.S. Securities and Exchange Commission (SEC), providing transparency in the company’s stock transactions.
Current Stock Performance and Financial Overview
On December 5, 2023, shares of Donaldson Company traded down by $0.46, closing at $91.98 during the trading session. The trading volume reached 358,701 shares, significantly lower than the average volume of 604,575 shares. Donaldson’s current market capitalization stands at $10.61 billion.
The company reported a price-to-earnings (P/E) ratio of 28.67, a price-to-earnings-growth (PEG) ratio of 2.29, and a beta of 0.99. Over the past twelve months, Donaldson’s stock has seen a low of $57.45 and a high of $95.00. The 50-day and 200-day simple moving averages are $85.15 and $77.54, respectively. Financial ratios indicate that Donaldson has a quick ratio of 1.39, a current ratio of 2.15, and a debt-to-equity ratio of 0.44.
Donaldson Company recently posted its earnings results on December 4, 2023. The firm reported earnings per share (EPS) of $0.94 for the quarter, exceeding analysts’ expectations of $0.93 by $0.01. The company achieved a net margin of 10.25% and a return on equity of 30.24%. Revenue for the quarter totaled $935.40 million, surpassing the consensus estimate of $922.68 million. This marks a year-over-year revenue increase of 3.9% compared to the same period last year, when the company reported an EPS of $0.83.
Looking ahead, Donaldson has set its guidance for fiscal year 2026 at 3.950-4.110 EPS. Analysts forecast an average EPS of 3.64 for the current fiscal year.
Institutional Trading Activity
Recent institutional trading activity has indicated a shift in investor sentiment regarding Donaldson Company. Focus Partners Wealth significantly increased its holdings by 314.0% during the first quarter, now owning 57,028 shares valued at $3,824,000. Other notable changes include Brandywine Global Investment Management LLC, which acquired a new stake valued at approximately $4,849,000, and Deutsche Bank AG, which raised its investment by 112.6%, now holding 27,570 shares worth around $1,849,000.
Additionally, T. Rowe Price Investment Management Inc. increased its holdings by 6.6%, now owning 668,399 shares valued at $44,823,000. Voya Investment Management LLC also raised its stake by 20.9%, owning 157,802 shares worth $10,582,000. Overall, institutional investors currently own 82.81% of Donaldson’s shares.
Analyst Ratings and Market Outlook
Equities research analysts have recently provided mixed reviews for Donaldson’s stock. Morgan Stanley upgraded the company from an “underweight” rating to an “equal weight” rating, raising their target price from $72.00 to $84.00 as of November 24, 2023. Meanwhile, Wall Street Zen upgraded Donaldson from a “hold” to a “buy” rating. Robert W. Baird set a target price of $100.00, while Stifel Nicolaus increased its target from $90.00 to $96.00, maintaining a “hold” rating.
As it stands, two analysts have rated Donaldson’s stock as a Buy, while two have given it a Hold rating. According to data from MarketBeat, the stock currently holds an average rating of “Moderate Buy” with a target price of $93.33.
Donaldson Company, Inc. continues to be a significant player in the industrial products sector, manufacturing filtration systems and replacement parts across three segments: Mobile Solutions, Industrial Solutions, and Life Sciences. The company’s resilience and adaptability in a competitive market will be pivotal as it navigates future growth opportunities.
