Professional
Added to YB: 2024-04-22
Pitch date: 2024-03-31
DCI [bullish]
Donaldson Company, Inc.
+25.42%
current return
Author Info
No bio for this author
Company Info
Donaldson Company, Inc. manufactures and sells filtration systems and replacement parts worldwide. The company operates through Mobile Solutions, Industrial Solutions, and Life Sciences segments.
Market Cap
$9.9B
Pitch Price
$72.65
Price Target
N/A
Dividend
1.40%
EV/EBITDA
14.67
P/E
28.06
EV/Sales
2.83
Sector
Machinery
Category
turnaround
Heartland Mid Cap Value Fund New Portfolio Holding: Donaldson Company, Inc.
DCI: Filtration mfr w/ century of experience. Typically trades at premium but facing margin pressure from life sciences investment & cyclical end market slowdown. Life sciences could lift earnings 10-15% if margins hit 15% in 2 yrs. Historically outperforms in weak industrial activity due to consumable rev base. Trading at parity, implying earnings pressure priced in while life sciences improvement could buffer profit risk.
Read full article (2 min)