3M Reports Q4 Earnings Beat but Stock Falls Amid Market Weakness
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 21 2025
0mins
Should l Buy MMM?
Source: Fool
3M Co's stock fell 5.01% as it hit a 5-day low, reflecting broader market trends with the Nasdaq-100 down 1.73% and S&P 500 down 1.47%.
Despite reporting a Q4 adjusted EPS of $1.83, which exceeded expectations, the stock declined due to sector rotation amid overall market weakness. The company also reported a slight revenue miss, which contributed to investor caution despite the positive earnings report.
The decline in stock price, despite the earnings beat, highlights the challenges 3M faces in a competitive environment. The company's future outlook remains cautiously optimistic, projecting 4% sales growth for 2026, but current market conditions may continue to impact investor sentiment.
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Analyst Views on MMM
Wall Street analysts forecast MMM stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for MMM is 152.00 USD with a low forecast of 100.00 USD and a high forecast of 184.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
11 Analyst Rating
6 Buy
3 Hold
2 Sell
Moderate Buy
Current: 165.080
Low
100.00
Averages
152.00
High
184.00
Current: 165.080
Low
100.00
Averages
152.00
High
184.00
About MMM
3M Company is a diversified technology company. The Company is a manufacturer and marketer of a variety of products and services. The Company’s segments include Safety and Industrial; Transportation and Electronics, and Consumer. Its Safety and Industrial segment includes industrial abrasives and finishing for metalworking applications; autobody repair solutions; industrial specialty products, such as personal hygiene products, masking, and packaging materials, and others. Its Transportation and Electronics segment includes advanced ceramic solutions; attachment/bonding, films, sound and temperature management for transportation vehicles; premium large format graphic films for advertising and fleet signage. Its Consumer segment includes cleaning products for the home; consumer air quality products, and picture hanging accessories. Its brands include 3M Cubitron II abrasives, Scotch-Brite, Filtrete, Command, Scotchgard, Meguiar’s, Nexcare, Post-it and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- New Dividend Declarations: Ford (F) declared a dividend of $0.15 per share, Capital One Financial (COF) at $0.80, and PepsiCo (PEP) at $1.4225, providing these companies with stable cash flow and appealing to income-focused investors.
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- ETF Investment Opportunities: Investors should consider dividend-focused ETFs like VIG and SCHD, as their performance will be influenced by market volatility while offering diversified investment options.
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- Audit and Nominating Committees: Mitchill has also been appointed to the Audit Committee and the Nominating and Governance Committee, leveraging his financial expertise to provide strategic guidance and ensure compliance and transparency.
- Extensive Financial Background: As CFO of RTX, Mitchill brings over 25 years of financial management experience, having held multiple executive roles at United Technologies, which strengthens his strategic leadership on complex business issues.
- Leadership Endorsement: 3M CEO William Brown stated that Mitchill's deep financial knowledge and broad business experience will add significant value to the board, shareholders, and customers, reflecting the company's commitment to future growth.
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