- Oops!Something went wrong.Please try again later.
In the latest trading session, 3M (MMM) closed at $172.65, marking a -0.53% move from the previous day. This change was narrower than the S&P 500's daily loss of 1.89%. Meanwhile, the Dow lost 1.3%, and the Nasdaq, a tech-heavy index, lost 0.17%.
Heading into today, shares of the maker of Post-it notes, industrial coatings and ceramics had lost 0.8% over the past month, outpacing the Conglomerates sector's loss of 1.14% and the S&P 500's loss of 1.79% in that time.
Investors will be hoping for strength from 3M as it approaches its next earnings release, which is expected to be January 25, 2022. In that report, analysts expect 3M to post earnings of $2.03 per share. This would mark a year-over-year decline of 14.71%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.6 billion, up 0.25% from the year-ago period.
It is also important to note the recent changes to analyst estimates for 3M. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.38% higher. 3M currently has a Zacks Rank of #3 (Hold).
Investors should also note 3M's current valuation metrics, including its Forward P/E ratio of 16.47. This valuation marks a discount compared to its industry's average Forward P/E of 17.34.
Investors should also note that MMM has a PEG ratio of 1.73 right now. 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 1.27 based on yesterday's closing prices.
The Diversified Operations industry is part of the Conglomerates sector. This group has a Zacks Industry Rank of 180, putting it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
3M Company (MMM) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research