UPDATE: Jefferies Color on Donaldson Company PT Increase

Jefferies, which raised its PT on shares of Donaldson Company, Inc. DCI, is providing some color on the stock. “Q3 EPS of $0.79 was $0.06 above consensus,” Jefferies writes. “With capacity utilization back to pre-recession levels, and raw materials escalating, incremental margins have deteriorated, but this is being more than offset by better volumes and slightly more favorable taxes. “We are raising 2011E EPS $0.15 to $2.80, 2012E EPS $0.20 to $3.20 and our price target $4 to $71. We reiterate our Buy rating.” Donaldson Company closed Friday at $60.27.