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Atmus enters data center filtration with Koch Filter buy, outperforms Donaldson in growth and valuation

Analyst Insights
28 May 2026
Seeking Alpha
View Source
Neutral
pluang ai news

Atmus Filtration Technologies acquired Koch Filter, entering the data center filtration market with strong early results, showing 21.9% EBITDA margins in its first quarter post-acquisition. Meanwhile, Donaldson Company faced a 420 basis point drop in industrial margins year-over-year, cut its guidance, and paid a high price for Facet with no expected earnings boost until 2027. Atmus trades at a lower forward PE of 16.64x compared to Donaldson's 21.03x, despite being the faster-growing and better-performing company. Applying midpoint PE valuations suggests Atmus has an 11% upside potential, supporting a Buy rating, while Donaldson shows a 10% downside, supporting a Sell rating.

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