DCI (Donaldson Co) Interest Coverage: 23.89 (As of Apr. 2026) — 12% Above Median


DCI Donaldson Co Inc DCI
94 GF Score
Price $89.11
GF Value $81.11
Valuation Fairly Valued
! 1 Warning Sign
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What is Donaldson Co Interest Coverage?

Donaldson Co DCI +3.53% 94 Interest Coverage is 23.89 as of Apr. 2026, which is 12% above its 10-year median of 21.29. GuruFocus rates DCI with a GF Score™ of 94/100 and a GF Value™ of $81.11 (Fairly Valued). The stock has 1 warning sign investors should review. Among 2,329 Industrial Products companies, Donaldson Co ranks better than 56.38% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Donaldson Co's Operating Income for the three months ended in Apr. 2026 was $155 Mil. Donaldson Co's Interest Expense for the three months ended in Apr. 2026 was $-7 Mil. Donaldson Co's interest coverage for the quarter that ended in Apr. 2026 was 23.89. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Donaldson Co's Interest Coverage or its related term are showing as below:

DCI' s Interest Coverage Range Over the Past 10 Years
Min: 13.25   Med: 21.29   Max: 29.77
Current: 19.96


DCI's Interest Coverage is ranked better than
56.38% of 2329 companies
in the Industrial Products industry
Industry Median: 14.8 vs DCI: 19.96

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Donaldson Co  (NYSE:DCI) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Donaldson Co Interest Coverage Related Terms


Donaldson Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Donaldson Co's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

Donaldson Co Interest Coverage Chart

Donaldson Co Annual Data
Trend Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23 Jul24 Jul25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 29.59 29.77 25.01 25.43 23.03

Donaldson Co Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 26.00 21.54 19.72 15.42 23.89

DCI vs FLS, GTLS, WTS: Interest Coverage Comparison

For the Specialty Industrial Machinery subindustry, Donaldson Co's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Donaldson Co Interest Coverage vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Donaldson Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Donaldson Co's Interest Coverage falls into.


DCI
94GF Score
Donaldson Co Inc DCI
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Donaldson Co Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Donaldson Co's Interest Coverage for the fiscal year that ended in Jul. 2025 is calculated as

Here, for the fiscal year that ended in Jul. 2025, Donaldson Co's Interest Expense was $-24 Mil. Its Operating Income was $557 Mil. And its Long-Term Debt & Capital Lease Obligation was $630 Mil.

Interest Coverage=-1* Operating Income (A: Jul. 2025 )/Interest Expense (A: Jul. 2025 )
=-1*557.4/-24.2
=23.03

Donaldson Co's Interest Coverage for the quarter that ended in Apr. 2026 is calculated as

Here, for the three months ended in Apr. 2026, Donaldson Co's Interest Expense was $-7 Mil. Its Operating Income was $155 Mil. And its Long-Term Debt & Capital Lease Obligation was $592 Mil.

Interest Coverage=-1* Operating Income (Q: Apr. 2026 )/Interest Expense (Q: Apr. 2026 )
=-1*155.3/-6.5
=23.89

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 23.89 mean?
Donaldson Co (DCI) has a Interest Coverage of 23.89 as of Apr. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Donaldson Co and its competitors. This is 12% above median its historical median of 21.29. Over the past decade, Donaldson Co's Interest Coverage has ranged from 13.25 to 29.77. According to the industry distribution chart, Donaldson Co ranks #1016 out of 2329 companies in the Industrial Products industry, placing it in the top 43.6%.
Is Donaldson Co's Interest Coverage too high?
Donaldson Co's current Interest Coverage of 23.89 is 12% above median its 10-year median of 21.29. Over the past 10 years, this metric has ranged from a low of 13.25 to a high of 29.77. The Industrial Products industry median Interest Coverage is 14.80. Donaldson Co's value of 23.89 is 61.4% above this industry median. Based on the distribution chart, Donaldson Co ranks #1016 out of 2329 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Donaldson Co has a GF Score™ of 94/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Donaldson Co's Interest Coverage compare to FLS and GTLS?
According to the Industrial Products industry distribution chart, Donaldson Co ranks #1016 out of 2329 companies for Interest Coverage. This puts Donaldson Co in the upper half of its industry. The industry median Interest Coverage is 14.80. Donaldson Co's value of 23.89 is 61.4% above this benchmark. Historically, Donaldson Co's own Interest Coverage has ranged from 13.25 to 29.77 over the past decade. While the company's 10-year median is 21.29 vs. the industry median of 14.80, Donaldson Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for an Industrial Products company?
The median Interest Coverage among Industrial Products companies is 14.80, based on 2,329 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Donaldson Co's current Interest Coverage of 23.89 is 61.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Donaldson Co and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Donaldson Co's current Interest Coverage is 23.89, which is 12% above median its own 10-year median of 21.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Donaldson Co stock overvalued right now?
Based on GuruFocus' analysis, Donaldson Co (DCI) is currently considered Fairly Valued. The stock's GF Value™ is $81.11, compared to a current price of $89.11 — trading 9.9% above its estimated fair value. The current Interest Coverage is 23.89, which is 12% above median its 10-year median of 21.29 and 61.4% above the Industrial Products industry median of 14.80. Donaldson Co's overall GF Score™ is 94/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Donaldson Co (DCI), the current Interest Coverage is 23.89 as of Apr. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Donaldson Co (DCI) Overvalued in 2026?

Based on GuruFocus' analysis, Donaldson Co stock appears to be overvalued. The current stock price of $89.11 is trading 9.9% above its estimated GF Value™ of $81.11. GuruFocus considers Donaldson Co to be Fairly Valued.

Key valuation signals for DCI:

  • Interest Coverage: 23.89 (12% above median its 10-year median of 21.29)
  • GF Value™: $81.11 vs. price of $89.11 (9.9% above fair value)
  • GF Score™: 94/100 with 1 warning sign
  • Industry Position: 61.4% above the Industrial Products median (#1016 of 2329)

No single metric tells the full story. See the DCI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Donaldson Co Business Description

Other Exchanges DNZ:Germany
Address 1400 West 94th Street, Minneapolis, MN, USA, 55431
Donaldson is a leading manufacturer of filtration systems and replacement parts, including air filtration systems, liquid filtration systems, and dust, fume, and mist collectors. The company serves a diverse range of end markets, including construction, mining, agriculture, truck, and industrial. Its business is organized into three segments: mobile solutions, industrial solutions, and life sciences. Donaldson generated approximately $3.7 billion in revenue in its fiscal 2025.
94GF Score

Get the complete analysis for DCI

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$89.11
Price
$81.11
GF Value