DCI (Donaldson Co) Financial Strength: 6 (As of Jul. 2026) — 14% Below Median

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DCI Donaldson Co Inc DCI
93 GF Score
Price $91.03
GF Value $84.00
Valuation Fairly Valued
! 3 Warning Signs
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What is Donaldson Co Financial Strength?

Donaldson Co DCI +0.47% 93 Financial Strength is 6 as of Jul. 2026, which is 14% below its 10-year median of 7.00. GuruFocus rates DCI with a GF Score™ of 93/100 and a GF Value™ of $84.00 (Fairly Valued). The stock has 3 warning signs investors should review.

Donaldson Co has the Financial Strength Rank of 6.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Donaldson Co's Interest Coverage for the quarter that ended in Jul. 2026 was 12.01. Donaldson Co's debt to revenue ratio for the quarter that ended in Jul. 2026 was 0.31. As of today, Donaldson Co's Altman Z-Score is 4.60.


Donaldson Co  (NYSE:DCI) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Donaldson Co has the Financial Strength Rank of 6.


Donaldson Co Financial Strength Related Terms


DCI vs RRX, GNRC, FLS: Financial Strength Comparison

For the Specialty Industrial Machinery subindustry, Donaldson Co's Financial Strength, along with its competitors' market caps and Financial Strength 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 Financial Strength vs Industrial Products Industry

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

* The bar in red indicates where Donaldson Co's Financial Strength falls into.


DCI
93GF Score
Donaldson Co Inc DCI
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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Donaldson Co Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

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

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:

Donaldson Co's Interest Expense for the months ended in Jul. 2026 was $-15 Mil. Its Operating Income for the months ended in Jul. 2026 was $177 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jul. 2026 was $1,280 Mil.

Donaldson Co's Interest Coverage for the quarter that ended in Jul. 2026 is

Interest Coverage=-1*Operating Income (Q: Jul. 2026 )/Interest Expense (Q: Jul. 2026 )
=-1*176.6/-14.7
=12.01

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Donaldson Co's Debt to Revenue Ratio for the quarter that ended in Jul. 2026 is

Debt to Revenue Ratio=Total Debt (Q: Jul. 2026 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(44.8 + 1280) / 4235.2
=0.31

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Donaldson Co has a Z-score of 4.60, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 4.6 is strong.

* 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.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 6 mean?
Donaldson Co (DCI) has a Financial Strength of 6 as of Jul. 2026. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Donaldson Co and its competitors. This is 14% below median its historical median of 7.00. Over the past decade, Donaldson Co's Financial Strength has ranged from 6.00 to 8.00.
Is Donaldson Co's Financial Strength too high?
Donaldson Co's current Financial Strength of 6 is 14% below median its 10-year median of 7.00. Over the past 10 years, this metric has ranged from a low of 6.00 to a high of 8.00. Overall, Donaldson Co has a GF Score™ of 93/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Donaldson Co's Financial Strength compare to RRX and GNRC?
Donaldson Co's Financial Strength of 6 can be compared against companies in the Industrial Products industry. Historically, Donaldson Co's own Financial Strength has ranged from 6.00 to 8.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for an Industrial Products company?
A good Financial Strength depends on the Industrial Products industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Donaldson Co and its competitors. Donaldson Co's current Financial Strength is 6, which is 14% below median its own 10-year median of 7.00. 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 $84.00, compared to a current price of $91.03 — trading 8.4% above its estimated fair value. The current Financial Strength is 6, which is 14% below median its 10-year median of 7.00. Donaldson Co's overall GF Score™ is 93/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For Donaldson Co (DCI), the current Financial Strength is 6 as of Jul. 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 $91.03 is trading 8.4% above its estimated GF Value™ of $84.00. GuruFocus considers Donaldson Co to be Fairly Valued.

Key valuation signals for DCI:

  • Financial Strength: 6 (14% below median its 10-year median of 7.00)
  • GF Value™: $84.00 vs. price of $91.03 (8.4% above fair value)
  • GF Score™: 93/100 with 3 warning signs

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.
93GF Score

Get the complete analysis for DCI

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

$91.03
Price
$84.00
GF Value