3M Co (MMM) Expected to Post Earnings of $2.27 Per Share

Wall Street analysts expect that 3M Co (NYSE:MMM) will announce earnings per share (EPS) of $2.27 for the current quarter, according to Zacks. Three analysts have issued estimates for 3M’s earnings. The highest EPS estimate is $2.30 and the lowest is $2.23. 3M posted earnings of $2.10 per share during the same quarter last year, which would suggest a positive year over year growth rate of 8.1%. The company is expected to announce its next quarterly earnings results before the market opens on Tuesday, January 29th.

On average, analysts expect that 3M will report full-year earnings of $9.94 per share for the current year, with EPS estimates ranging from $9.90 to $9.98. For the next financial year, analysts expect that the company will post earnings of $10.77 per share, with EPS estimates ranging from $10.55 to $11.03. Zacks’ earnings per share calculations are a mean average based on a survey of sell-side research analysts that cover 3M.

3M (NYSE:MMM) last released its quarterly earnings results on Tuesday, October 23rd. The conglomerate reported $2.58 earnings per share for the quarter, missing analysts’ consensus estimates of $2.70 by ($0.12). 3M had a net margin of 13.79% and a return on equity of 54.60%. The firm had revenue of $8.15 billion during the quarter, compared to the consensus estimate of $8.41 billion. During the same quarter in the prior year, the business posted $2.33 earnings per share. The firm’s quarterly revenue was down .2% on a year-over-year basis.

A number of analysts recently commented on MMM shares. Barclays lowered their target price on shares of 3M from $201.00 to $195.00 and set an “underweight” rating for the company in a research note on Wednesday, October 24th. Zacks Investment Research cut shares of 3M from a “hold” rating to a “sell” rating in a research note on Tuesday, September 25th. Deutsche Bank set a $206.00 target price on shares of 3M and gave the stock a “hold” rating in a research note on Wednesday, October 24th. Gordon Haskett started coverage on shares of 3M in a research note on Friday, October 12th. They issued a “buy” rating for the company. Finally, Credit Suisse Group lowered their target price on shares of 3M from $228.00 to $222.00 and set an “outperform” rating for the company in a research note on Wednesday, October 24th. Two research analysts have rated the stock with a sell rating, eight have assigned a hold rating, six have issued a buy rating and one has assigned a strong buy rating to the company’s stock. The stock presently has an average rating of “Hold” and an average target price of $224.30.

MMM stock traded down $3.60 during trading on Thursday, reaching $192.26. The company had a trading volume of 147,740 shares, compared to its average volume of 2,195,158. The stock has a market capitalization of $114.05 billion, a PE ratio of 20.97, a price-to-earnings-growth ratio of 1.79 and a beta of 1.14. The company has a quick ratio of 1.36, a current ratio of 1.97 and a debt-to-equity ratio of 1.31. 3M has a twelve month low of $176.87 and a twelve month high of $259.77.

3M announced that its Board of Directors has approved a stock repurchase plan on Tuesday, November 13th that allows the company to buyback $10.00 billion in shares. This buyback authorization allows the conglomerate to purchase up to 8.7% of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s management believes its stock is undervalued.

In other 3M news, Director Gregory R. Page acquired 1,000 shares of the firm’s stock in a transaction on Friday, October 26th. The stock was acquired at an average cost of $184.50 per share, for a total transaction of $184,500.00. Following the purchase, the director now owns 1,500 shares in the company, valued at approximately $276,750. The purchase was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Insiders own 0.72% of the company’s stock.

A number of hedge funds and other institutional investors have recently made changes to their positions in MMM. Fundsmith Equity Fund L.P. purchased a new position in shares of 3M during the 2nd quarter valued at approximately $668,488,000. Rehmann Capital Advisory Group increased its holdings in shares of 3M by 14,237.6% during the 3rd quarter. Rehmann Capital Advisory Group now owns 939,688 shares of the conglomerate’s stock valued at $8,941,033,000 after purchasing an additional 933,134 shares in the last quarter. Bank of New York Mellon Corp increased its holdings in shares of 3M by 8.7% during the 2nd quarter. Bank of New York Mellon Corp now owns 6,727,135 shares of the conglomerate’s stock valued at $1,323,362,000 after purchasing an additional 537,325 shares in the last quarter. Morgan Stanley increased its holdings in shares of 3M by 17.3% during the 2nd quarter. Morgan Stanley now owns 3,612,642 shares of the conglomerate’s stock valued at $710,678,000 after purchasing an additional 534,001 shares in the last quarter. Finally, Cornerstone Wealth Management LLC increased its holdings in shares of 3M by 45.6% during the 3rd quarter. Cornerstone Wealth Management LLC now owns 1,209,939 shares of the conglomerate’s stock valued at $5,584,000 after purchasing an additional 378,791 shares in the last quarter. Institutional investors and hedge funds own 66.16% of the company’s stock.

3M Company Profile

3M Company operates as a diversified technology company worldwide. The company's Industrial segment offers tapes; coated, non-woven, and bonded abrasives; adhesives; ceramics; sealants; specialty materials; purification products; closure systems for personal hygiene products; acoustic systems products; automotive components; and abrasion-resistant films, and paint finishing and detailing products.

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