We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
3M (MMM) Gains But Lags Market: What You Should Know
Read MoreHide Full Article
3M (MMM - Free Report) closed the most recent trading day at $129.51, moving +0.12% from the previous trading session. This move lagged the S&P 500's daily gain of 0.4%. Elsewhere, the Dow gained 0.33%, while the tech-heavy Nasdaq lost 1.1%.
Coming into today, shares of the maker of Post-it notes, industrial coatings and ceramics had gained 5.7% in the past month. In that same time, the Conglomerates sector gained 3.28%, while the S&P 500 lost 0.01%.
3M will be looking to display strength as it nears its next earnings release, which is expected to be January 24, 2023. The company is expected to report EPS of $2.36, up 2.16% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.05 billion, down 6.51% from the year-ago period.
It is also important to note the recent changes to analyst estimates for 3M. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.11% lower. 3M is currently sporting a Zacks Rank of #4 (Sell).
Digging into valuation, 3M currently has a Forward P/E ratio of 12.59. This represents a discount compared to its industry's average Forward P/E of 13.23.
It is also worth noting that MMM currently has a PEG ratio of 1.33. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Diversified Operations industry currently had an average PEG ratio of 1.71 as of yesterday's close.
The Diversified Operations industry is part of the Conglomerates sector. This industry currently has a Zacks Industry Rank of 207, which puts it in the bottom 18% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
3M (MMM) Gains But Lags Market: What You Should Know
3M (MMM - Free Report) closed the most recent trading day at $129.51, moving +0.12% from the previous trading session. This move lagged the S&P 500's daily gain of 0.4%. Elsewhere, the Dow gained 0.33%, while the tech-heavy Nasdaq lost 1.1%.
Coming into today, shares of the maker of Post-it notes, industrial coatings and ceramics had gained 5.7% in the past month. In that same time, the Conglomerates sector gained 3.28%, while the S&P 500 lost 0.01%.
3M will be looking to display strength as it nears its next earnings release, which is expected to be January 24, 2023. The company is expected to report EPS of $2.36, up 2.16% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.05 billion, down 6.51% from the year-ago period.
It is also important to note the recent changes to analyst estimates for 3M. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.11% lower. 3M is currently sporting a Zacks Rank of #4 (Sell).
Digging into valuation, 3M currently has a Forward P/E ratio of 12.59. This represents a discount compared to its industry's average Forward P/E of 13.23.
It is also worth noting that MMM currently has a PEG ratio of 1.33. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Diversified Operations industry currently had an average PEG ratio of 1.71 as of yesterday's close.
The Diversified Operations industry is part of the Conglomerates sector. This industry currently has a Zacks Industry Rank of 207, which puts it in the bottom 18% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.