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 institutional ownership, media sentiment, risk, profitability, analyst recommendations, valuation, earnings, dividends and community ranking.

Does the MarketBeat Community prefer XYL or DCI?

Xylem received 50 more outperform votes than Donaldson when rated by MarketBeat users. However, 64.95% of users gave Donaldson an outperform vote while only 63.25% of users gave Xylem an outperform vote.

Company	Underperform	Outperform
Xylem	Outperform Votes 530 63.25%	Underperform Votes 308 36.75%
Donaldson	Outperform Votes 480 64.95%	Underperform Votes 259 35.05%

Do analysts recommend XYL or DCI?

Xylem presently has a consensus price target of $149.90, suggesting a potential upside of 17.74%. Donaldson has a consensus price target of $74.00, suggesting a potential upside of 7.52%. Given Xylem's stronger consensus rating and higher probable upside, equities 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)	7 Buy rating(s)	0 Strong Buy rating(s)	2.64
Donaldson	1 Sell rating(s)	2 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.00

Which has more risk and volatility, XYL or DCI?

Xylem has a beta of 1.07, meaning that its stock price is 7% more volatile than the S&P 500. Comparatively, Donaldson has a beta of 1.06, meaning that its stock price is 6% more volatile than the S&P 500.

Which has higher 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	$8.56B	3.61	$890M	$3.66	34.79
Donaldson	$3.59B	2.29	$414M	$3.44	20.01

Is XYL or DCI more profitable?

Donaldson has a net margin of 11.56% compared to Xylem's net margin of 10.40%. Donaldson's return on equity of 29.07% beat Xylem's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Xylem	10.40%	9.96%	6.48%
Donaldson	11.56%	29.07%	14.76%

Does the media prefer XYL or DCI?

In the previous week, Xylem had 9 more articles in the media than Donaldson. MarketBeat recorded 17 mentions for Xylem and 8 mentions for Donaldson. Donaldson's average media sentiment score of 1.34 beat Xylem's score of 1.26 indicating that Donaldson is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Xylem	12 Very Positive mention(s)	2 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	1 Very Negative mention(s)	Positive
Donaldson	6 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Is XYL or DCI a better dividend stock?

Xylem pays an annual dividend of $1.60 per share and has a dividend yield of 1.3%. Donaldson pays an annual dividend of $1.08 per share and has a dividend yield of 1.6%. Xylem pays out 43.7% 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. 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.

Do institutionals & insiders hold more shares of 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 insiders. Comparatively, 2.7% of Donaldson shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Xylem beats Donaldson on 12 of the 21 factors compared between the two stocks.