MMM 3M Company - Fundamental Analysis
At a glance
Key valuation, profitability, growth, and risk metrics.
AI Analysis
Powered by advanced machine learning algorithms
Key Strengths
Key Risks
Performance Snowflake
Multi-dimensional analysis across 5 key categories
While forward valuation is in line with sector averages, the current P/E and P/B multiples appear stretched relative to MMM’s growth profile, especially when compared to HON (P/E 21.02) and PCAR (P/E 18.74), which exhibit stronger or more stable fundamentals.
- Forward P/E of 21.21 is reasonable given sector average P/E of 26.79
- Price/Sales of 3.65 is in line with conglomerate peers
- Current P/E of 26.73 is high for a company with only 3.5% revenue growth
- Price/Book of 19.24 is extremely elevated, suggesting asset-light model or overvaluation
Near-term growth trajectory is negative, with both revenue and earnings trending down, while price momentum (1Y +29.7%) appears disconnected from fundamentals, increasing risk of multiple contraction if growth doesn't rebound.
- Analyst target implies upside, suggesting expectations for margin stabilization
- Long-term innovation pipeline in safety and industrial segments may support future growth
- YoY and Q/Q earnings declines of -37.5% and -39.2% indicate weakening demand or cost pressures
- No earnings beats in last 4 quarters erodes confidence in guidance accuracy
Despite strong long-term returns (3Y: +72.8%) and high historical margins, MMM has consistently failed to beat earnings estimates over the past six years, undermining investor confidence in management execution.
- Historical profitability strong with consistent ROA (7.97%) and high ROE (72.92%)
- Five-year stock return of +39.8% reflects resilience and dividend reinvestment benefits
- Zero earnings beats in last 25 quarters indicates chronic underperformance vs expectations
- Recent earnings surprises flat at 0.0%, signaling lack of positive catalysts
While liquidity metrics are healthy, the elevated Debt/Equity ratio—higher than HON (2.15) and DE (2.67)—raises concerns about financial flexibility, particularly in a downturn or rising interest rate environment.
- Current ratio of 1.84 indicates adequate short-term liquidity
- Quick ratio of 1.03 suggests ability to meet immediate obligations without inventory
- Debt/Equity ratio of 2.82 is well above peer average of 1.76, increasing leverage risk
- Lack of cash/debt data limits visibility into refinancing risk and liquidity runway
The dividend appears sustainable given the current payout ratio and operating margins, though lack of visibility into free cash flow and a history of dividend growth tempers full confidence in long-term policy durability.
- Dividend yield of 1.74% is modest but above DE (1.4%) and PCAR (1.6%)
- Payout ratio of 46.09% is conservative, indicating strong coverage and sustainability
- No data on dividend growth history limits assessment of policy consistency
- Dividend could be at risk if earnings continue to decline and leverage remains high
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for MMM and closest competitors.
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
MMM
3M Company
Primary
|
+39.8% | +72.8% | +29.7% | +11.0% | +9.7% | +2.1% |
|
TT
Trane Technologies plc
Peer
|
+193.4% | +145.3% | +2.9% | -2.1% | -1.0% | -3.8% |
|
WM
Waste Management, Inc.
Peer
|
+85.7% | +39.5% | -4.3% | -8.3% | -2.1% | +3.6% |
|
NOC
Northrop Grumman Corporation
Peer
|
+93.9% | +17.1% | +13.5% | +19.0% | -8.4% | -1.9% |
|
JCI
Johnson Controls International plc
Peer
|
+189.6% | +89.8% | +41.2% | +21.7% | +7.1% | -2.9% |
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Valuation Metrics
Key valuation ratios and pricing indicators
Profitability
Profit margins and return metrics
Growth
Revenue and earnings growth rates
Financial Health
Balance sheet strength and liquidity metrics
Quarterly Earnings History
EPS performance vs analyst estimates
Industrials Sector Comparison
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
MMM
3M Company
|
NEUTRAL | $90.64B | 26.73 | 72.9% | 13.7% | $167.58 | |
|
TT
Trane Technologies plc
|
BULLISH | $92.72B | 31.95 | 37.2% | 13.9% | $418.16 | |
|
WM
Waste Management, Inc.
|
NEUTRAL | $84.27B | 32.89 | 29.3% | 10.3% | $209.17 | |
|
NOC
Northrop Grumman Corporation
|
BULLISH | $79.64B | 20.08 | 26.2% | 9.8% | $558.0 | |
|
JCI
Johnson Controls International plc
|
NEUTRAL | $78.66B | 44.97 | 11.4% | 13.9% | $118.72 |
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2025-10-29 | MURPHY MARK W | Chief Technology Officer | Sale | 19,061 | $3,174,589 |
| 2025-10-29 | MURPHY MARK W | Chief Technology Officer | Option Exercise | 19,061 | $2,724,579 |
| 2025-10-24 | FITTERLING JAMES R | Director | Stock Award | 269 | $46,250 |
| 2025-10-01 | BANOVETZ JOHN PATRICK | Officer | Stock Award | 142 | - |
| 2025-10-01 | RHODES KEVIN H | Officer | Stock Award | 203 | - |
| 2025-10-01 | MAHESHWARI ANURAG | Chief Financial Officer | Stock Award | 10,944 | - |
| 2025-08-07 | GORALSKI CHRISTIAN T JR | President | Sale | 6,165 | $925,860 |
| 2025-08-07 | GORALSKI CHRISTIAN T JR | President | Option Exercise | 6,650 | $865,431 |
| 2025-08-05 | REINSETH THERESA E | Officer | Sale | 3,477 | $523,741 |
| 2025-07-23 | FITTERLING JAMES R | Director | Stock Award | 305 | $46,250 |
| 2025-07-01 | BAUER WENDY A | Officer | Option Exercise | 7,951 | $1,222,943 |
| 2025-05-23 | BANOVETZ JOHN PATRICK | Officer | Sale | 7,759 | $1,151,237 |
| 2025-05-23 | BANOVETZ JOHN PATRICK | Officer | Option Exercise | 7,759 | $1,009,756 |
| 2025-05-20 | RHODES KEVIN H | Officer | Sale | 7,976 | $1,228,464 |
| 2025-05-20 | RHODES KEVIN H | Officer | Option Exercise | 7,976 | $1,037,997 |
Wall Street Analysts
Professional analyst ratings and price targets