Donaldson (DCI) Competitors

Xylem (NYSE:XYL) and Donaldson (NYSE:DCI) are both business services companies, but which is the superior business? We will contrast the two businesses based on the strength of their community ranking, institutional ownership, analyst recommendations, earnings, valuation, profitability, risk, dividends and media sentiment.

Does the media prefer XYL or DCI?

In the previous week, Donaldson had 2 more articles in the media than Xylem. MarketBeat recorded 9 mentions for Donaldson and 7 mentions for Xylem. Donaldson's average media sentiment score of 1.05 beat Xylem's score of 0.71 indicating that Donaldson is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Xylem	3 Very Positive mention(s)	0 Positive mention(s)	4 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Donaldson	7 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has better earnings and valuation, XYL or DCI?

Xylem has higher revenue and earnings than Donaldson. Donaldson is trading at a lower price-to-earnings ratio than Xylem, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Xylem	$8.42B	3.38	$609M	$3.42	34.25
Donaldson	$3.64B	2.23	$414M	$3.44	19.77

Do analysts prefer XYL or DCI?

Xylem presently has a consensus price target of $152.20, suggesting a potential upside of 29.93%. Donaldson has a consensus price target of $74.00, suggesting a potential upside of 8.79%. Given Xylem's stronger consensus rating and higher probable upside, research analysts clearly believe Xylem is more favorable than Donaldson.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Xylem	0 Sell rating(s)	4 Hold rating(s)	8 Buy rating(s)	0 Strong Buy rating(s)	2.67
Donaldson	1 Sell rating(s)	2 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.00

Is XYL or DCI a better dividend stock?

Xylem pays an annual dividend of $1.44 per share and has a dividend yield of 1.2%. Donaldson pays an annual dividend of $1.08 per share and has a dividend yield of 1.6%. Xylem pays out 42.1% of its earnings in the form of a dividend. Donaldson pays out 31.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Xylem has raised its dividend for 12 consecutive years and Donaldson has raised its dividend for 38 consecutive years. Donaldson is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Which has more volatility & risk, XYL or DCI?

Xylem has a beta of 1.05, meaning that its share price is 5% more volatile than the S&P 500. Comparatively, Donaldson has a beta of 1.04, meaning that its share price is 4% more volatile than the S&P 500.

Does the MarketBeat Community favor XYL or DCI?

Xylem received 52 more outperform votes than Donaldson when rated by MarketBeat users. However, 64.71% of users gave Donaldson an outperform vote while only 63.19% of users gave Xylem an outperform vote.

Company	Underperform	Outperform
Xylem	Outperform Votes 527 63.19%	Underperform Votes 307 36.81%
Donaldson	Outperform Votes 475 64.71%	Underperform Votes 259 35.29%

Is XYL or DCI more profitable?

Donaldson has a net margin of 11.56% compared to Xylem's net margin of 9.85%. Donaldson's return on equity of 29.07% beat Xylem's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Xylem	9.85%	9.61%	6.22%
Donaldson	11.56%	29.07%	14.76%

Do insiders and institutionals believe in XYL or DCI?

88.0% of Xylem shares are owned by institutional investors. Comparatively, 82.8% of Donaldson shares are owned by institutional investors. 0.3% of Xylem shares are owned by company insiders. Comparatively, 2.7% of Donaldson shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

Donaldson beats Xylem on 11 of the 21 factors compared between the two stocks.