A Closer Look at 13 Analyst Recommendations For 3M

Providing a diverse range of perspectives from bullish to bearish, 13 analysts have published ratings on 3M MMM in the last three months.

The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.

Insights from analysts' 12-month price targets are revealed, presenting an average target of $127.62, a high estimate of $150.00, and a low estimate of $95.00. Surpassing the previous average price target of $105.56, the current average has increased by 20.9%.

Interpreting Analyst Ratings: A Closer Look

The standing of 3M among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to 3M. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of 3M compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for 3M's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

To gain a panoramic view of 3M's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on 3M analyst ratings.

Delving into 3M's Background

3M, a multinational conglomerate founded in 1902, sells tens of thousands of products ranging from sponges to respirators. The firm is well known for its extensive research and development capabilities, and it is a pioneer in inventing new use cases for its proprietary technologies. 3M is organized across three business segments: safety and industrial (representing around 44% of revenue), transportation and electronics (36%), and consumer (20%). The firm recently spun off its healthcare business, now known as Solventum. Nearly half of 3M's revenue comes from outside the Americas.

Key Indicators: 3M's Financial Health

Market Capitalization Analysis: The company's market capitalization is above the industry average, indicating that it is relatively larger in size compared to peers. This may suggest a higher level of investor confidence and market recognition.

Revenue Challenges: 3M's revenue growth over 3 months faced difficulties. As of 30 June, 2024, the company experienced a decline of approximately -0.45%. This indicates a decrease in top-line earnings. When compared to others in the Industrials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: 3M's net margin excels beyond industry benchmarks, reaching 18.31%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 26.08%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): 3M's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.32% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: 3M's debt-to-equity ratio surpasses industry norms, standing at 3.5. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

Analyst Ratings: Simplified

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

This article was generated by Benzinga's automated content engine and reviewed by an editor.