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3M (MMM - Free Report) ended the recent trading session at $130.09, demonstrating a +1.27% swing from the preceding day's closing price. This move outpaced the S&P 500's daily gain of 0.45%. Elsewhere, the Dow lost 0.23%, while the tech-heavy Nasdaq added 0.84%.
Shares of the maker of Post-it notes, industrial coatings and ceramics witnessed a gain of 4.13% over the previous month, beating the performance of the Conglomerates sector with its loss of 8.65% and the S&P 500's gain of 2.54%.
The investment community will be paying close attention to the earnings performance of 3M in its upcoming release. The company is expected to report EPS of $1.91, down 28.73% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $6.09 billion, indicating a 26.78% downward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $7.22 per share and revenue of $24.37 billion, indicating changes of -21.86% and -25.44%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for 3M. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.22% higher. At present, 3M boasts a Zacks Rank of #3 (Hold).
Investors should also note 3M's current valuation metrics, including its Forward P/E ratio of 17.8. This expresses a discount compared to the average Forward P/E of 18.43 of its industry.
One should further note that MMM currently holds a PEG ratio of 2.37. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Diversified Operations industry was having an average PEG ratio of 1.7.
The Diversified Operations industry is part of the Conglomerates sector. At present, this industry carries a Zacks Industry Rank of 38, placing it within the top 16% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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3M (MMM) Laps the Stock Market: Here's Why
3M (MMM - Free Report) ended the recent trading session at $130.09, demonstrating a +1.27% swing from the preceding day's closing price. This move outpaced the S&P 500's daily gain of 0.45%. Elsewhere, the Dow lost 0.23%, while the tech-heavy Nasdaq added 0.84%.
Shares of the maker of Post-it notes, industrial coatings and ceramics witnessed a gain of 4.13% over the previous month, beating the performance of the Conglomerates sector with its loss of 8.65% and the S&P 500's gain of 2.54%.
The investment community will be paying close attention to the earnings performance of 3M in its upcoming release. The company is expected to report EPS of $1.91, down 28.73% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $6.09 billion, indicating a 26.78% downward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $7.22 per share and revenue of $24.37 billion, indicating changes of -21.86% and -25.44%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for 3M. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.22% higher. At present, 3M boasts a Zacks Rank of #3 (Hold).
Investors should also note 3M's current valuation metrics, including its Forward P/E ratio of 17.8. This expresses a discount compared to the average Forward P/E of 18.43 of its industry.
One should further note that MMM currently holds a PEG ratio of 2.37. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Diversified Operations industry was having an average PEG ratio of 1.7.
The Diversified Operations industry is part of the Conglomerates sector. At present, this industry carries a Zacks Industry Rank of 38, placing it within the top 16% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.