3M CO (MMM.DE) Stock Fundamental Analysis
Europe - FRA:MMM - US88579Y1010 - Common Stock
141.16 EUR
-0.9 (-0.63%)
Taking everything into account, MMM scores 5 out of 10 in our fundamental rating. MMM was compared to 17 industry peers in the Industrial Conglomerates industry. While MMM belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. MMM has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year MMM was profitable.
MMM had a positive operating cash flow in the past year.
Of the past 5 years MMM 4 years were profitable.
MMM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MMM has a better Return On Assets (9.04%) than 93.75% of its industry peers.
MMM has a Return On Equity of 73.49%. This is amongst the best in the industry. MMM outperforms 100.00% of its industry peers.
MMM's Return On Invested Capital of 14.75% is amongst the best of the industry. MMM outperforms 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MMM is above the industry average of 6.93%.
The 3 year average ROIC (11.12%) for MMM is below the current ROIC(14.75%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.04% | ||
| ROE | 73.49% | ||
| ROIC | 14.75% |
ROA(3y)3.02%
ROA(5y)6.63%
ROE(3y)0.78%
ROE(5y)16.81%
ROIC(3y)11.12%
ROIC(5y)12.9%
1.3 Margins
MMM has a better Profit Margin (13.70%) than 75.00% of its industry peers.
MMM's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 20.59%, MMM belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Operating Margin of MMM has remained more or less at the same level.
MMM's Gross Margin of 40.98% is in line compared to the rest of the industry. MMM outperforms 56.25% of its industry peers.
In the last couple of years the Gross Margin of MMM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.59% | ||
| PM (TTM) | 13.7% | ||
| GM | 40.98% |
OM growth 3Y-1.29%
OM growth 5Y0.76%
PM growth 3Y0.46%
PM growth 5Y3.85%
GM growth 3Y-4.12%
GM growth 5Y-2.49%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), MMM is creating value.
Compared to 1 year ago, MMM has less shares outstanding
MMM has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, MMM has a worse debt to assets ratio.
2.2 Solvency
MMM has an Altman-Z score of 4.34. This indicates that MMM is financially healthy and has little risk of bankruptcy at the moment.
MMM has a Altman-Z score of 4.34. This is amongst the best in the industry. MMM outperforms 100.00% of its industry peers.
The Debt to FCF ratio of MMM is 8.16, which is on the high side as it means it would take MMM, 8.16 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 8.16, MMM is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
MMM has a Debt/Equity ratio of 2.56. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of MMM (2.56) is worse than 81.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.56 | ||
| Debt/FCF | 8.16 | ||
| Altman-Z | 4.34 |
ROIC/WACC1.89
WACC7.8%
2.3 Liquidity
MMM has a Current Ratio of 1.84. This is a normal value and indicates that MMM is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of MMM (1.84) is better than 81.25% of its industry peers.
MMM has a Quick Ratio of 1.40. This is a normal value and indicates that MMM is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.40, MMM is doing good in the industry, outperforming 68.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.84 | ||
| Quick Ratio | 1.4 |
3. Growth
3.1 Past
The earnings per share for MMM have decreased by -9.29% in the last year.
MMM shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.72% yearly.
Looking at the last year, MMM shows a small growth in Revenue. The Revenue has grown by 1.05% in the last year.
The Revenue has been decreasing by -5.22% on average over the past years.
EPS 1Y (TTM)-9.29%
EPS 3Y-7.61%
EPS 5Y-2.72%
EPS Q2Q%10.61%
Revenue 1Y (TTM)1.05%
Revenue growth 3Y-11.42%
Revenue growth 5Y-5.22%
Sales Q2Q%4.12%
3.2 Future
MMM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.80% yearly.
MMM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.73% yearly.
EPS Next Y1.8%
EPS Next 2Y4.58%
EPS Next 3Y5.84%
EPS Next 5Y4.8%
Revenue Next Year2.8%
Revenue Next 2Y3.02%
Revenue Next 3Y2.96%
Revenue Next 5Y3.73%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 20.64, which indicates a rather expensive current valuation of MMM.
The rest of the industry has a similar Price/Earnings ratio as MMM.
Compared to an average S&P500 Price/Earnings ratio of 26.06, MMM is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 18.70, the valuation of MMM can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MMM is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 32.73. MMM is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.64 | ||
| Fwd PE | 18.7 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MMM is on the same level as its industry peers.
MMM's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. MMM is more expensive than 62.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 56.3 | ||
| EV/EBITDA | 14.86 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates MMM does not grow enough to justify the current Price/Earnings ratio.
MMM has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)11.49
PEG (5Y)N/A
EPS Next 2Y4.58%
EPS Next 3Y5.84%
5. Dividend
5.1 Amount
MMM has a Yearly Dividend Yield of 1.78%. Purely for dividend investing, there may be better candidates out there.
MMM's Dividend Yield is slightly below the industry average, which is at 12.43.
MMM's Dividend Yield is slightly below the S&P500 average, which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
5.2 History
The dividend of MMM decreases each year by -8.82%.
Dividend Growth(5Y)-8.82%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
45.66% of the earnings are spent on dividend by MMM. This is a bit on the high side, but may be sustainable.
DP45.66%
EPS Next 2Y4.58%
EPS Next 3Y5.84%
FRA:MMM (11/7/2025, 7:00:00 PM)
141.16
-0.9 (-0.63%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryIndustrial Conglomerates
Earnings (Last)
Earnings (Next)
Inst Owners75.88%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap75.19B
Revenue(TTM)24.82B
Net Income(TTM)3.40B
Analysts75.83
Price Target148.18 (4.97%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
Yearly Dividend3.14
Dividend Growth(5Y)-8.82%
DP45.66%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.34%
Min EPS beat(2)4.49%
Max EPS beat(2)6.18%
EPS beat(4)4
Avg EPS beat(4)4.05%
Min EPS beat(4)0.09%
Max EPS beat(4)6.18%
EPS beat(8)8
Avg EPS beat(8)6.14%
EPS beat(12)11
Avg EPS beat(12)8.83%
EPS beat(16)15
Avg EPS beat(16)8.58%
Revenue beat(2)1
Avg Revenue beat(2)-0.09%
Min Revenue beat(2)-0.28%
Max Revenue beat(2)0.1%
Revenue beat(4)1
Avg Revenue beat(4)-0.32%
Min Revenue beat(4)-0.6%
Max Revenue beat(4)0.1%
Revenue beat(8)3
Avg Revenue beat(8)-0.2%
Revenue beat(12)4
Avg Revenue beat(12)-10.1%
Revenue beat(16)5
Avg Revenue beat(16)-7.71%
PT rev (1m)6.56%
PT rev (3m)9.23%
EPS NQ rev (1m)-1.32%
EPS NQ rev (3m)-1.37%
EPS NY rev (1m)1.7%
EPS NY rev (3m)4.74%
Revenue NQ rev (1m)0.21%
Revenue NQ rev (3m)0.16%
Revenue NY rev (1m)0.32%
Revenue NY rev (3m)0.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.64 | ||
| Fwd PE | 18.7 | ||
| P/S | 3.5 | ||
| P/FCF | 56.3 | ||
| P/OCF | 34.81 | ||
| P/B | 18.78 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.86 |
EPS(TTM)6.84
EY4.85%
EPS(NY)7.55
Fwd EY5.35%
FCF(TTM)2.51
FCFY1.78%
OCF(TTM)4.06
OCFY2.87%
SpS40.32
BVpS7.52
TBVpS-4.73
PEG (NY)11.49
PEG (5Y)N/A
Graham Number34.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.04% | ||
| ROE | 73.49% | ||
| ROCE | 17.7% | ||
| ROIC | 14.75% | ||
| ROICexc | 17.98% | ||
| ROICexgc | 26.38% | ||
| OM | 20.59% | ||
| PM (TTM) | 13.7% | ||
| GM | 40.98% | ||
| FCFM | 6.22% |
ROA(3y)3.02%
ROA(5y)6.63%
ROE(3y)0.78%
ROE(5y)16.81%
ROIC(3y)11.12%
ROIC(5y)12.9%
ROICexc(3y)13.89%
ROICexc(5y)15.46%
ROICexgc(3y)26.14%
ROICexgc(5y)32.17%
ROCE(3y)13.54%
ROCE(5y)15.6%
ROICexgc growth 3Y-10.19%
ROICexgc growth 5Y-4.14%
ROICexc growth 3Y2.14%
ROICexc growth 5Y4.95%
OM growth 3Y-1.29%
OM growth 5Y0.76%
PM growth 3Y0.46%
PM growth 5Y3.85%
GM growth 3Y-4.12%
GM growth 5Y-2.49%
F-Score5
Asset Turnover0.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.56 | ||
| Debt/FCF | 8.16 | ||
| Debt/EBITDA | 1.88 | ||
| Cap/Depr | 79.42% | ||
| Cap/Sales | 3.84% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 39.56% | ||
| Profit Quality | 45.4% | ||
| Current Ratio | 1.84 | ||
| Quick Ratio | 1.4 | ||
| Altman-Z | 4.34 |
F-Score5
WACC7.8%
ROIC/WACC1.89
Cap/Depr(3y)87.82%
Cap/Depr(5y)85.14%
Cap/Sales(3y)5.49%
Cap/Sales(5y)5.14%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-9.29%
EPS 3Y-7.61%
EPS 5Y-2.72%
EPS Q2Q%10.61%
EPS Next Y1.8%
EPS Next 2Y4.58%
EPS Next 3Y5.84%
EPS Next 5Y4.8%
Revenue 1Y (TTM)1.05%
Revenue growth 3Y-11.42%
Revenue growth 5Y-5.22%
Sales Q2Q%4.12%
Revenue Next Year2.8%
Revenue Next 2Y3.02%
Revenue Next 3Y2.96%
Revenue Next 5Y3.73%
EBIT growth 1Y3.92%
EBIT growth 3Y-12.56%
EBIT growth 5Y-4.5%
EBIT Next Year34.71%
EBIT Next 3Y14.99%
EBIT Next 5Y10.56%
FCF growth 1Y-68.18%
FCF growth 3Y-52.23%
FCF growth 5Y-34.69%
OCF growth 1Y-62.26%
OCF growth 3Y-37.51%
OCF growth 5Y-23.78%
3M CO / MMM.DE FAQ
What is the ChartMill fundamental rating of 3M CO (MMM.DE) stock?
ChartMill assigns a fundamental rating of 5 / 10 to MMM.DE.
Can you provide the valuation status for 3M CO?
ChartMill assigns a valuation rating of 3 / 10 to 3M CO (MMM.DE). This can be considered as Overvalued.
Can you provide the profitability details for 3M CO?
3M CO (MMM.DE) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for MMM stock?
The Price/Earnings (PE) ratio for 3M CO (MMM.DE) is 20.64 and the Price/Book (PB) ratio is 18.78.
Can you provide the dividend sustainability for MMM stock?
The dividend rating of 3M CO (MMM.DE) is 2 / 10 and the dividend payout ratio is 45.66%.