Donaldson (DCI) Upgraded at Zacks Investment Research

Donaldson (NYSE:DCI) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research report issued on Thursday. The firm presently has a $53.00 price target on the industrial products company’s stock. Zacks Investment Research‘s price objective would indicate a potential upside of 11.51% from the stock’s previous close.

According to Zacks, “Donaldson’s Engine Products segment has been showing great momentum, benefiting from strength in original equipment business, stabilization in market conditions and robust sales of replacement parts. A rebound in heavy duty truck production, past and new program wins and strong demand in the massive Chinese market are adding to Donaldson’s growth. Also, the company’s strategy of winning first-fit programs, aftermarket growth, constant geographic expansion and fostering innovative technology are likely to act as growth catalysts going forward. Donaldson is committed to achieve sustained improvement in operational efficiency through strategic restructuring actions and improved customer relations. However, the company’s operations remain vulnerable to weakness in the gas turbine market. Also, Donaldson’s gross margins are being compressed due to inflation, which is affecting the outlay on wages and raw materials.”

DCI has been the topic of a number of other reports. Edward Jones raised Donaldson from a “hold” rating to a “buy” rating in a research note on Wednesday, March 28th. TheStreet downgraded Donaldson from an “a-” rating to a “c+” rating in a research note on Tuesday, March 6th. Gabelli raised Donaldson from a “neutral” rating to a “buy” rating in a research note on Wednesday, March 7th. They noted that the move was a valuation call. Finally, Stifel Nicolaus dropped their price target on Donaldson from $53.00 to $51.00 and set a “hold” rating on the stock in a research note on Wednesday, March 7th. Four analysts have rated the stock with a hold rating and five have given a buy rating to the company’s stock. The stock presently has an average rating of “Buy” and an average price target of $51.60.

Donaldson traded down $0.07, reaching $47.53, during trading on Thursday, MarketBeat.com reports. 8,963 shares of the stock were exchanged, compared to its average volume of 377,255. Donaldson has a twelve month low of $42.59 and a twelve month high of $52.20. The company has a debt-to-equity ratio of 0.81, a quick ratio of 2.15 and a current ratio of 2.94. The company has a market cap of $6.19 billion, a P/E ratio of 28.09, a price-to-earnings-growth ratio of 2.09 and a beta of 1.15.

Donaldson (NYSE:DCI) last posted its quarterly earnings results on Tuesday, March 6th. The industrial products company reported $0.43 earnings per share for the quarter, missing analysts’ consensus estimates of $0.44 by ($0.01). Donaldson had a return on equity of 29.25% and a net margin of 5.29%. The firm had revenue of $664.70 million for the quarter, compared to analyst estimates of $630.53 million. During the same period last year, the company posted $0.35 earnings per share. The firm’s quarterly revenue was up 20.7% compared to the same quarter last year. equities analysts predict that Donaldson will post 1.98 earnings per share for the current year.

Institutional investors and hedge funds have recently modified their holdings of the business. Advisor Group Inc. increased its holdings in Donaldson by 91.3% during the 4th quarter. Advisor Group Inc. now owns 3,139 shares of the industrial products company’s stock worth $154,000 after purchasing an additional 1,498 shares in the last quarter. Fuller & Thaler Asset Management Inc. increased its holdings in Donaldson by 51.5% during the 4th quarter. Fuller & Thaler Asset Management Inc. now owns 3,235 shares of the industrial products company’s stock worth $158,000 after purchasing an additional 1,100 shares in the last quarter. Rockefeller Capital Management L.P. bought a new stake in Donaldson during the 1st quarter worth approximately $149,000. ETRADE Capital Management LLC bought a new stake in Donaldson during the 4th quarter worth approximately $202,000. Finally, BB&T Corp bought a new stake in Donaldson during the 4th quarter worth approximately $210,000. 77.35% of the stock is owned by hedge funds and other institutional investors.

Donaldson Company Profile

Donaldson Company, Inc manufactures and sells filtration systems and replacement parts worldwide. It operates through Engine Products and Industrial Products segments. The Engine Products segment offers replacement filters for air and liquid filtration applications, air filtration systems, liquid filtration systems for fuel, lube and hydraulic applications, and exhaust and emissions systems.

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