Baird Raises Donaldson (DCI) PT to $78 After Solid FQ3 2025 Performance

On June 4, Baird analyst Robert Mason increased the price target on Donaldson Company Inc. (NYSE:DCI) to $78 from $76, while maintaining an Outperform rating on the shares. This adjustment comes after the company’s FQ3 2025 results, which indicated that FQ4 is tracking in line with expectations.

A close-up of a factory worker carefully installing a part on an air filtration system.

Donaldson Company’s sales increased by 1% year-over-year to $940 million in FQ3, while adjusted EPS rose by ~8% to $0.99 compared to the prior year. Mobile Solutions sales in particular were roughly flat at $583 million, while Industrial Solutions sales increased by 5% to $283 million. The Aerospace & Defense segment achieved record sales of $52 million, and Life Sciences sales grew by 1% to $74 million.

While Donaldson Company achieved record sales in FQ3 despite macroeconomic uncertainties, especially in the aerospace & defense segment, which reached an all-time high in sales, the company incurred a $62 million impairment charge related to intangible assets in its bioprocessing businesses. The gross margin also decreased by 1.1% due to higher manufacturing costs and footprint optimization initiatives.

Donaldson Company Inc. (NYSE:DCI) manufactures and sells filtration systems and replacement parts worldwide. The company operates through three segments: Mobile Solutions, Industrial Solutions, and Life Sciences.

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Disclosure: None. This article is originally published at Insider Monkey.