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3M (MMM) Ascends While Market Falls: Some Facts to Note
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3M (MMM - Free Report) closed the latest trading day at $131.61, indicating a +0.16% change from the previous session's end. The stock exceeded the S&P 500, which registered a loss of 0.6% for the day. Elsewhere, the Dow lost 0.39%, while the tech-heavy Nasdaq lost 1.12%.
Heading into today, shares of the maker of Post-it notes, industrial coatings and ceramics had gained 3.67% over the past month, outpacing the Conglomerates sector's loss of 7.6% and the S&P 500's gain of 3.15% in that time.
Investors will be eagerly watching for the performance of 3M in its upcoming earnings disclosure. In that report, analysts expect 3M to post earnings of $1.92 per share. This would mark a year-over-year decline of 28.36%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.09 billion, down 26.78% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $7.20 per share and revenue of $24.71 billion, indicating changes of -22.08% and -24.4%, respectively, compared to the previous year.
It is also important to note the recent changes to analyst estimates for 3M. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.21% upward. 3M is currently sporting a Zacks Rank of #3 (Hold).
Looking at valuation, 3M is presently trading at a Forward P/E ratio of 18.25. This denotes a discount relative to the industry's average Forward P/E of 18.35.
We can additionally observe that MMM currently boasts a PEG ratio of 2.43. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Diversified Operations industry had an average PEG ratio of 2.08 as trading concluded yesterday.
The Diversified Operations industry is part of the Conglomerates sector. This industry currently has a Zacks Industry Rank of 69, which puts it in the top 28% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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3M (MMM) Ascends While Market Falls: Some Facts to Note
3M (MMM - Free Report) closed the latest trading day at $131.61, indicating a +0.16% change from the previous session's end. The stock exceeded the S&P 500, which registered a loss of 0.6% for the day. Elsewhere, the Dow lost 0.39%, while the tech-heavy Nasdaq lost 1.12%.
Heading into today, shares of the maker of Post-it notes, industrial coatings and ceramics had gained 3.67% over the past month, outpacing the Conglomerates sector's loss of 7.6% and the S&P 500's gain of 3.15% in that time.
Investors will be eagerly watching for the performance of 3M in its upcoming earnings disclosure. In that report, analysts expect 3M to post earnings of $1.92 per share. This would mark a year-over-year decline of 28.36%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.09 billion, down 26.78% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $7.20 per share and revenue of $24.71 billion, indicating changes of -22.08% and -24.4%, respectively, compared to the previous year.
It is also important to note the recent changes to analyst estimates for 3M. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.21% upward. 3M is currently sporting a Zacks Rank of #3 (Hold).
Looking at valuation, 3M is presently trading at a Forward P/E ratio of 18.25. This denotes a discount relative to the industry's average Forward P/E of 18.35.
We can additionally observe that MMM currently boasts a PEG ratio of 2.43. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Diversified Operations industry had an average PEG ratio of 2.08 as trading concluded yesterday.
The Diversified Operations industry is part of the Conglomerates sector. This industry currently has a Zacks Industry Rank of 69, which puts it in the top 28% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.