3M Company logged a 1.9% change during today's afternoon session, and is now trading at a price of $98.89 per share.
3M Company returned losses of -21.0% last year, with its stock price reaching a high of $130.02 and a low of $85.35. Over the same period, the stock underperformed the S&P 500 index by -37.0%. As of April 2023, the company's 50-day average price was $92.24. 3M Company provides diversified technology services in the United States and internationally. Based in Saint Paul, MN, the large-cap Health Care company has 92,000 full time employees. 3M Company has offered a 6.2% dividend yield over the last 12 months.
Shareholders Are Confronted With a Declining EPS Growth Trend:
| 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | |
|---|---|---|---|---|---|---|
| Revenue (MM) | $32,765 | $32,136 | $32,184 | $35,355 | $34,229 | $33,054 |
| Gross Margins | 22% | 19% | 22% | 21% | 19% | -9% |
| Operating Margins | 22% | 19% | 22% | 21% | 19% | 19% |
| Net Margins | 16% | 14% | 17% | 17% | 17% | 0% |
| Net Income (MM) | $5,363 | $4,529 | $5,458 | $5,929 | $5,791 | $16 |
| Net Interest Expense (MM) | $350 | $448 | $529 | $488 | $462 | $488 |
| Depreciation & Amort. (MM) | $1,488 | $1,593 | $1,911 | $1,915 | $1,831 | $1,825 |
| Earnings Per Share | $8.89 | $7.72 | $9.36 | $10.12 | $10.18 | -$2.81 |
| Diluted Shares (MM) | 602 | 585 | 582 | 585 | 568 | 527 |
| Free Cash Flow (MM) | $4,862 | $5,371 | $6,612 | $5,851 | $3,842 | $4,444 |
| Capital Expenditures (MM) | $1,577 | $1,699 | $1,501 | $1,603 | $1,749 | $1,793 |
| Net Current Assets (MM) | -$12,943 | -$21,562 | -$19,431 | -$16,552 | -$16,997 | -$25,269 |
| Long Term Debt (MM) | $14,156 | $19,359 | $18,783 | $16,056 | $14,001 | $12,954 |
| Net Debt / EBITDA | 1.44 | 1.86 | 1.65 | 1.26 | 1.34 | 1.43 |
3M Company does not have a meaningful trailing P/E ratio since its earnings per share are currently in the red. Based on its EPS guidance of $9.78, the company has a forward P/E ratio of 9.4. In comparison, the average P/E ratio for the Health Care sector is 24.45. Furthermore, 3M Company is likely overvalued compared to the book value of its equity, since its P/B ratio of 11.69 is higher than the sector average of 4.16.
Overview of 3M Company's Market Factors:
3M Company has a very low short interest because 1.9% of the company's shares are sold short. Institutions own 67.4% of the company's shares, and the insider ownership rate stands at 0.12%, suggesting a small amount of insider investors. The largest shareholder is Vanguard Group Inc, whose 9% stake in the company is worth $4,848,695,452.
