LONG $DCI – Strong Buy Signal (Score 6.0/10) – Post-EarningsDonaldson Company, Inc.BATS:DCIshortermtraderIdea: LONG (BUY) Entry: $93.40 **Stop Loss (SL):** $86.70 Take Profit (TP): $108.00 **Risk/Reward Ratio (R/R):** ~1 : 1.7 *(Risk = $6.70 / Reward = $14.60)* 🔍 SIGNAL OVERVIEW Our proprietary software has generated a BUY signal for DCI with an average score of 6.0, indicating a moderately strong bullish setup. This signal combines technical, fundamental, and sentiment factors. 📊 FUNDAMENTAL RATIONALE (Record results, strong outlook) Donaldson delivered a record Q2 fiscal 2026 with sales of $896M (+3% YoY)** and reaffirmed **fiscal 2026 guidance for record revenue (~$3.8B) , record operating margin, and adjusted EPS of $3.93-$4.01 (midpoint **$3.97**), up from $3.68 in fiscal 2025. Q3 2026 (ended April 2026) continued the momentum: Revenue: $995.10M, up 5.85% YoY Net income: $118.10M Key growth drivers: Life Sciences segment grew 16.2% in Q2 Mobile Solutions Aftermarket and Industrial Filtration Solutions showed strength High backlogs and strong order intake across all segments Acquisition catalyst: The company announced the acquisition of Facet, the largest in company history, expanding its fuel and fluid filtration capabilities in Aerospace & Defense and Power Generation. 📊 ANALYST CONSENSUS MetricData Consensus RatingHold / Moderate Buy Average PT$96.8 - $97.83 Highest PT$123.00 Lowest PT$79.00 - $91.00 Analysts5 - 8 Rating breakdown: 2 Strong Buy, 0 Buy, 5 Hold, 1 Sell My TP of **$108** sits above the average PT but below the $123 high-end target, reflecting confidence in continued execution and the Facet acquisition catalyst. 📊 TECHNICAL RATIONALE Entry at $93.40** positions us above the **50-day MA (~$85.62) and near the 200-day MA (~$91.34) The stock has been consolidating and showing post-earnings strength with Q3 results The **SL at $86.70** is placed below the 200-day MA ($91.34) and key support levels, allowing room for a healthy pullback The TP at $108 targets a move above the current 52-week high range, representing a ~15.6% upside from entry ⚠️ RISK MANAGEMENT Risk per trade: Do not risk more than 1-2% of your total capital. Scaling out: If the stock hits $97-$98 (the average PT zone), consider trimming 50% of the position to lock in profits and letting the rest run toward $108. 🧠 CONCLUSION DCI is delivering record sales and EPS with a strong backlog supporting the second half of the year. The Facet acquisition adds a margin-accretive growth vector. Our 6.0 buy signal, combined with solid fundamentals and analyst backing, makes the entry at $93.40 offer an attractive risk/reward setup. Active follow-up required. Good luck to those who hop on! 🍀 ⚠️ DISCLAIMER IMPORTANT: This is NOT financial advice. This post represents my personal opinion and analysis for educational and informational purposes only. The buy signal referenced is from proprietary software and does not guarantee results. Trading stocks involves substantial risk of loss, including the potential loss of your entire invested capital. Past performance does not guarantee future results. You are solely responsible for your own trading decisions. Always conduct your own due diligence (DYOR) and consult with a licensed financial advisor before making any investment decisions. I am not liable for any gains or losses incurred from acting on this idea. #DCI #Donaldson #PostEarnings #BuySignal #Breakout #Trading #Stocks #Finance #Filtration