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Donaldson Co (Donaldson Co) Peter Lynch Fair Value : $23.75 (As of Apr. 26, 2024)


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What is Donaldson Co Peter Lynch Fair Value?

Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year. Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years. If 5-Year Growth Rate is greater than 25% a year, we use 25. If 5-Year Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Here, as of today, Donaldson Co's PEG is 1. Donaldson Co's 5-Year TTM EBITDA Growth Rate is 7.66. Donaldson Co's EPS without NRI for the trailing twelve months (TTM) ended in Jan. 2024 was $3.10. Therefore, the Peter Lynch Fair Value for today is $23.75.

As of today (2024-04-26), Donaldson Co's share price is $72.27. Donaldson Co's Peter Lynch fair value is $23.75. Therefore, Donaldson Co's Price to Peter Lynch Fair Value Ratio for today is 3.04.


The historical rank and industry rank for Donaldson Co's Peter Lynch Fair Value or its related term are showing as below:

DCI' s Price-to-Peter-Lynch-Fair-Value Range Over the Past 10 Years
Min: 1.35   Med: 2.97   Max: 5.86
Current: 3.04


During the past 13 years, the highest Price to Peter Lynch Fair Value Ratio of Donaldson Co was 5.86. The lowest was 1.35. And the median was 2.97.


DCI's Price-to-Peter-Lynch-Fair-Value is ranked worse than
83.55% of 997 companies
in the Industrial Products industry
Industry Median: 1.3 vs DCI: 3.04

Note: Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart.


Donaldson Co Peter Lynch Fair Value Historical Data

The historical data trend for Donaldson Co's Peter Lynch Fair Value 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.

* Premium members only.

Donaldson Co Peter Lynch Fair Value Chart

Donaldson Co Annual Data
Trend Jul14 Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23
Peter Lynch Fair Value
Get a 7-Day Free Trial Premium Member Only Premium Member Only 16.31 16.80 - - 17.43

Donaldson Co Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
Peter Lynch Fair Value 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 - 15.90 17.43 20.03 23.75

Competitive Comparison of Donaldson Co's Peter Lynch Fair Value

For the Specialty Industrial Machinery subindustry, Donaldson Co's Price-to-Peter-Lynch-Fair-Value, along with its competitors' market caps and Price-to-Peter-Lynch-Fair-Value 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's Price-to-Peter-Lynch-Fair-Value Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Donaldson Co's Price-to-Peter-Lynch-Fair-Value distribution charts can be found below:

* The bar in red indicates where Donaldson Co's Price-to-Peter-Lynch-Fair-Value falls into.



Donaldson Co Peter Lynch Fair Value Calculation

Donaldson Co's Peter Lynch Fair Value for today is calculated as

Peter Lynch Fair Value=PEG Ratio*5-Year TTM EBITDA Growth Rate***EPS without NRI (TTM)
=1* 7.66 *3.1
=23.75

Donaldson Co's EPS without NRI for the trailing twelve months (TTM) ended in Jan. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $3.10.


* 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.

** Please be aware that the 5-Year TTM EBITDA Growth Rate is calculated based on TTM data over the last 5 years. For quarterly reported companies, the TTM data adds up the quarterly data reported by the company within the most recent 12 months. For companies that report semi-annually, annually, or do not have enough quarterly data, GuruFocus uses the annual data as the TTM data.

If 5-Year Earnings Growth Rate is greater than 25% a year, we use 25.

If 5-Year Earnings Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Please note that we use the 5-year average growth rate of EBITDA per share as the growth rate for non-bank companies, as EBITDA growth is subject to less manipulations than net earnings per share. For banks, we use the 5-year average growth rate of Book Value per share as the growth rate. The reason is that EBITDA is not applicable to Banks and Book value is a relative important measurement for Banks. In the calculation, PEG=1 because Peter Lynch thinks that the fair P/E ratio of the growth stock is equal to its earnings growth rate.


Donaldson Co  (NYSE:DCI) Peter Lynch Fair Value Explanation

Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year.

Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years.

Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart. In Peter Lynch chart, a fixed P/E ratio of 15 is used to draw the Earnings Line. Therefore the value reached has a P/E ratio of 15. But in Peter Lynch Fair Value calculation, P/E equals to the growth rate of EBITDA per share over the past 5 years, which is 7.66 instead of 15 in this case.

Donaldson Co's Price to Peter Lynch Fair Value Ratio for today is calculated as

Price to Peter Lynch Fair Value=Share Price/Peter Lynch Fair Value
=72.27/23.75
=3.04

* 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.


Donaldson Co Peter Lynch Fair Value Related Terms

Thank you for viewing the detailed overview of Donaldson Co's Peter Lynch Fair Value provided by GuruFocus.com. Please click on the following links to see related term pages.


Donaldson Co (Donaldson Co) Business Description

Traded in Other Exchanges
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 $3.4 billion in revenue and $480 million in operating income in its fiscal 2023.
Executives
Willard D Oberton director 2001 THEURER BLVD, WINONA MN 55987
Ajita G Rajendra director A. O. SMITH WATER PRODUCTS COMPANY, 500 LINDAHL PARKWAY, ASHLAND CITY TN 37015
Guillermo Briseno officer: President PO BOX 1299, MINNEAPOLIS MN 55440
James Owens director 1200 WILLOW LAKE BOULEVARD, P.O. BOX 64683, ST. PAUL MN 55164-0683
Douglas A. Milroy director PO BOX 1299, MINNEAPOLIS MN 55440
Amy C Becker officer: Vice President P.O. BOX 1299, MINNEAPOLIS MN 55440-1299
Scott J. Robinson officer: Senior Vice President P.O. BOX 1299, MINNEAPOLIS MN 55440-1299
Christopher M. Hilger director PO BOX 1299, MINNEAPOLIS MN 55440
Thomas R Scalf officer: Senior Vice President P.O. BOX 1299, MINNEAPOLIS MN 55440-1299
Andrew C Dahlgren officer: President PO BOX 1299, MINNEAPOLIS MN 55440
Wim Vermeersch officer: Vice President P.O. BOX 1299, MINNEAPOLIS MN 55440-1299
Tod E. Carpenter director, officer: Chairman, President and CEO P.O. BOX 1299, MINNEAPOLIS MN 55440-1299
Jeffrey E Spethmann officer: Senior Vice President P.O. BOX 1299, MINNEAPOLIS MN 55440-1299
Sheila G. Kramer officer: Vice President P.O. BOX 1299, MINNEAPOLIS MN 55440-1299
Richard Brent Lewis officer: Senior Vice President PO BOX 1299, MINNEAPOLIS MN 55440