01:46 PM EDT, 06/05/2024 (MT Newswires) -- Donaldson's (DCI) solid operating trajectory and earnings potential are counterbalanced by continued macro volatility and an uncertain profit inflection timeline for its life sciences segment, Oppenheimer said in a report Wednesday.

The brokerage lifted its forecast for Donaldson's fiscal 2024 earnings per share to $3.38 from $3.30 following the company's forecast-beating fiscal Q3 results. The company expects fiscal 2024 EPS of $3.33 to $3.39.

For fiscal 2025, Oppenheimer now projects EPS of $3.70, up from its previous forecast of $3.65.

Oppenheimer said the company's stock price seems to fairly match its strong business path and intermediate-term earnings outlook with ongoing global market instability.

"While confident in Donaldson's competitive position and intrigued by bioprocessing potential, macro volatility and the uncertain timeline for Life Sciences growth/margin inflection keep us patient," the brokerage said.

Oppenheimer has a perform rating on the stock, but hasn't set any price target.

"We seek confidence in accelerating/sustainable Life Sciences traction and/or further pullback in valuation to move off the sidelines," the brokerage added.

Shares of the company rose more than 2% in recent trading.

Price: 74.85, Change: +1.73, Percent Change: +2.37