3M (MMM - Free Report) closed the most recent trading day at $192.17, moving -0.02% from the previous trading session. This change was narrower than the S&P 500's 0.53% loss on the day. Elsewhere, the Dow lost 0.36%, while the tech-heavy Nasdaq lost 0.94%.
Heading into today, shares of the maker of Post-it notes, industrial coatings and ceramics had lost 4.91% over the past month, lagging the Conglomerates sector's gain of 2.75% and the S&P 500's loss of 1.47% in that time.
Investors will be hoping for strength from MMM as it approaches its next earnings release, which is expected to be January 29, 2019. The company is expected to report EPS of $2.28, up 8.57% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $7.97 billion, down 0.22% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for MMM. These recent revisions tend to reflect the evolving nature of short-term business trends. 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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.15% lower within the past month. MMM is currently a Zacks Rank #3 (Hold).
In terms of valuation, MMM is currently trading at a Forward P/E ratio of 17.81. This valuation marks a premium compared to its industry's average Forward P/E of 14.51.
We can also see that MMM currently has a PEG ratio of 1.75. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Diversified Operations stocks are, on average, holding a PEG ratio of 1.66 based on yesterday's closing prices.
The Diversified Operations industry is part of the Conglomerates sector. This group has a Zacks Industry Rank of 102, putting it in the top 40% 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.