Here's Why Donaldson (DCI) is a Strong Value Stock
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Why Investors Should Pay Attention to This Value Stock
Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.
Donaldson (DCI)
Headquartered in Bloomington, MN, Donaldson Company, Inc is engaged in the manufacturing and selling of filtration systems and replacement parts across the world. It was founded in 1915.
DCI boasts a Value Style Score of B and VGM Score of B, and holds a Zacks Rank #3 (Hold) rating. Shares of Donaldson are trading at a forward earnings multiple of 18.3X, as well as a PEG Ratio of 1.8, a Price/Cash Flow ratio of 15.2X, and a Price/Sales ratio of 2.1X.
A company's earnings performance is important for value investors as well. For fiscal 2024, two analysts revised their earnings estimate higher in the last 60 days for DCI, while the Zacks Consensus Estimate has increased $0.04 to $3.20 per share. DCI also holds an average earnings surprise of 4.6%.
With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding DCI to their portfolios.
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Donaldson Company, Inc. (DCI) : Free Stock Analysis Report
