3M CO (MMM.DE) Stock Fundamental Analysis
Europe - FRA:MMM - US88579Y1010 - Common Stock
130.34 EUR
+0.2 (+0.15%)
Taking everything into account, MMM scores 5 out of 10 in our fundamental rating. MMM was compared to 16 industry peers in the Industrial Conglomerates industry. MMM has an excellent profitability rating, but there are some minor concerns on its financial health. MMM is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year MMM was profitable.
In the past year MMM has reported a negative cash flow from operations.
MMM had positive earnings in 4 of the past 5 years.
In the past 5 years MMM always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 10.37%, MMM belongs to the top of the industry, outperforming 93.75% of the companies in the same industry.
The Return On Equity of MMM (91.82%) is better than 100.00% of its industry peers.
MMM has a better Return On Invested Capital (13.42%) than 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MMM is significantly above the industry average of 6.11%.
The 3 year average ROIC (11.12%) for MMM is below the current ROIC(13.42%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.37% | ||
| ROE | 91.82% | ||
| ROIC | 13.42% |
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's Profit Margin of 16.01% is amongst the best of the industry. MMM outperforms 87.50% of its industry peers.
In the last couple of years the Profit Margin of MMM has grown nicely.
MMM has a better Operating Margin (19.75%) than 93.75% of its industry peers.
MMM's Operating Margin has been stable in the last couple of years.
The Gross Margin of MMM (41.11%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of MMM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.75% | ||
| PM (TTM) | 16.01% | ||
| GM | 41.11% |
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) just above the Cost of Capital (WACC), MMM is creating some value.
The number of shares outstanding for MMM has been reduced compared to 1 year ago.
Compared to 5 years ago, MMM has less shares outstanding
Compared to 1 year ago, MMM has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.07 indicates that MMM is not in any danger for bankruptcy at the moment.
The Altman-Z score of MMM (4.07) is better than 100.00% of its industry peers.
A Debt/Equity ratio of 2.91 is on the high side and indicates that MMM has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.91, MMM is doing worse than 81.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.91 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 4.07 |
ROIC/WACC1.75
WACC7.66%
2.3 Liquidity
MMM has a Current Ratio of 1.72. This is a normal value and indicates that MMM is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.72, MMM belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
A Quick Ratio of 1.20 indicates that MMM should not have too much problems paying its short term obligations.
MMM has a Quick ratio (1.20) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.72 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
MMM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -18.26%.
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 very negative growth in Revenue. The Revenue has decreased by -13.97% in the last year.
MMM shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -5.22% yearly.
EPS 1Y (TTM)-18.26%
EPS 3Y-7.61%
EPS 5Y-2.72%
EPS Q2Q%11.92%
Revenue 1Y (TTM)-13.97%
Revenue growth 3Y-11.42%
Revenue growth 5Y-5.22%
Sales Q2Q%2.31%
3.2 Future
MMM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.70% yearly.
The Revenue is expected to grow by 3.73% on average over the next years.
EPS Next Y0.09%
EPS Next 2Y3.81%
EPS Next 3Y5.57%
EPS Next 5Y4.7%
Revenue Next Year2.47%
Revenue Next 2Y2.68%
Revenue Next 3Y2.81%
Revenue Next 5Y3.73%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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 19.72, which indicates a rather expensive current valuation of MMM.
MMM's Price/Earnings ratio is a bit cheaper when compared to the industry. MMM is cheaper than 62.50% of the companies in the same industry.
MMM's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.40.
Based on the Price/Forward Earnings ratio of 17.66, the valuation of MMM can be described as rather expensive.
Based on the Price/Forward Earnings ratio, MMM is valued a bit cheaper than 68.75% of the companies in the same industry.
MMM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.72 | ||
| Fwd PE | 17.66 |
4.2 Price Multiples
MMM's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.69 |
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.
The excellent profitability rating of MMM may justify a higher PE ratio.
PEG (NY)213.42
PEG (5Y)N/A
EPS Next 2Y3.81%
EPS Next 3Y5.57%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.91%, MMM has a reasonable but not impressive dividend return.
MMM's Dividend Yield is slightly below the industry average, which is at 13.17.
MMM's Dividend Yield is comparable with the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.91% |
5.2 History
The dividend of MMM decreases each year by -8.81%.
Dividend Growth(5Y)-8.81%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
39.27% of the earnings are spent on dividend by MMM. This is a low number and sustainable payout ratio.
DP39.27%
EPS Next 2Y3.81%
EPS Next 3Y5.57%
FRA:MMM (10/17/2025, 7:00:00 PM)
130.34
+0.2 (+0.15%)
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 Cap69.42B
Analysts75
Price Target139.05 (6.68%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.91% |
Yearly Dividend3.14
Dividend Growth(5Y)-8.81%
DP39.27%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.8%
Min EPS beat(2)5.42%
Max EPS beat(2)6.18%
EPS beat(4)4
Avg EPS beat(4)3.66%
Min EPS beat(4)0.09%
Max EPS beat(4)6.18%
EPS beat(8)8
Avg EPS beat(8)7.24%
EPS beat(12)11
Avg EPS beat(12)8.66%
EPS beat(16)15
Avg EPS beat(16)8.93%
Revenue beat(2)0
Avg Revenue beat(2)-0.44%
Min Revenue beat(2)-0.6%
Max Revenue beat(2)-0.28%
Revenue beat(4)0
Avg Revenue beat(4)-0.55%
Min Revenue beat(4)-0.8%
Max Revenue beat(4)-0.28%
Revenue beat(8)2
Avg Revenue beat(8)-0.27%
Revenue beat(12)4
Avg Revenue beat(12)0.18%
Revenue beat(16)6
Avg Revenue beat(16)0.26%
PT rev (1m)0.29%
PT rev (3m)3.25%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.19%
EPS NY rev (1m)0.02%
EPS NY rev (3m)3.02%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.54%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)1.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.72 | ||
| Fwd PE | 17.66 | ||
| P/S | 3.29 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 18.85 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.69 |
EPS(TTM)6.61
EY5.07%
EPS(NY)7.38
Fwd EY5.66%
FCF(TTM)-3.2
FCFYN/A
OCF(TTM)-1.61
OCFYN/A
SpS39.65
BVpS6.91
TBVpS-5.33
PEG (NY)213.42
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.37% | ||
| ROE | 91.82% | ||
| ROCE | 16.1% | ||
| ROIC | 13.42% | ||
| ROICexc | 15.59% | ||
| ROICexgc | 22.04% | ||
| OM | 19.75% | ||
| PM (TTM) | 16.01% | ||
| GM | 41.11% | ||
| FCFM | N/A |
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%
ROICexcg growth 3Y-10.19%
ROICexcg 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-Score4
Asset Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.91 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.05 | ||
| Cap/Depr | 80.94% | ||
| Cap/Sales | 3.99% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.72 | ||
| Quick Ratio | 1.2 | ||
| Altman-Z | 4.07 |
F-Score4
WACC7.66%
ROIC/WACC1.75
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)-18.26%
EPS 3Y-7.61%
EPS 5Y-2.72%
EPS Q2Q%11.92%
EPS Next Y0.09%
EPS Next 2Y3.81%
EPS Next 3Y5.57%
EPS Next 5Y4.7%
Revenue 1Y (TTM)-13.97%
Revenue growth 3Y-11.42%
Revenue growth 5Y-5.22%
Sales Q2Q%2.31%
Revenue Next Year2.47%
Revenue Next 2Y2.68%
Revenue Next 3Y2.81%
Revenue Next 5Y3.73%
EBIT growth 1Y-11.39%
EBIT growth 3Y-12.56%
EBIT growth 5Y-4.5%
EBIT Next Year34.71%
EBIT Next 3Y14.99%
EBIT Next 5Y9.76%
FCF growth 1Y-144.62%
FCF growth 3Y-52.23%
FCF growth 5Y-34.69%
OCF growth 1Y-116.06%
OCF growth 3Y-37.51%
OCF growth 5Y-23.78%