3M CO (MMM.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:MMM - US88579Y1010 - Common Stock
143.98 EUR
-2.3 (-1.57%)
Overall MMM gets a fundamental rating of 5 out of 10. We evaluated MMM against 16 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
MMM had positive earnings in the past year.
In the past year MMM had a positive cash flow from operations.
MMM had positive earnings in 4 of the past 5 years.
Each year in the past 5 years MMM had a positive operating cash flow.
1.2 Ratios
MMM has a Return On Assets of 9.04%. This is amongst the best in the industry. MMM outperforms 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.
The Return On Invested Capital of MMM (14.75%) is better than 100.00% of its industry peers.
MMM had an Average Return On Invested Capital over the past 3 years of 11.12%. This is above the industry average of 6.44%.
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
Looking at the Profit Margin, with a value of 13.70%, MMM is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
In the last couple of years the Profit Margin of MMM has grown nicely.
Looking at the Operating Margin, with a value of 20.59%, MMM belongs to the top of the industry, outperforming 93.75% 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 50.00% 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so MMM is creating value.
MMM has less shares outstanding than it did 1 year ago.
MMM has less shares outstanding than it did 5 years ago.
The debt/assets ratio for MMM is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.38 indicates that MMM is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 4.38, MMM belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
MMM has a debt to FCF ratio of 8.16. This is a slightly negative value and a sign of low solvency as MMM would need 8.16 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 8.16, MMM is doing good in the industry, outperforming 68.75% of the companies in the same industry.
A Debt/Equity ratio of 2.56 is on the high side and indicates that MMM has dependencies on debt financing.
MMM has a Debt to Equity ratio of 2.56. This is amonst the worse of the industry: MMM underperforms 81.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.56 | ||
| Debt/FCF | 8.16 | ||
| Altman-Z | 4.38 |
ROIC/WACC1.88
WACC7.84%
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.
MMM has a Current ratio of 1.84. This is amongst the best in the industry. MMM outperforms 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.
MMM has a Quick ratio of 1.40. This is in the better half of the industry: MMM outperforms 68.75% of its industry peers.
| 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.
Measured over the past years, MMM shows a decrease in Revenue. The Revenue has been decreasing by -5.22% on average per year.
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
Based on estimates for the next years, MMM will show a small growth in Earnings Per Share. The EPS will grow by 4.80% on average per year.
The Revenue is expected to grow by 3.73% on average over the next years.
EPS Next Y1.72%
EPS Next 2Y4.61%
EPS Next 3Y5.87%
EPS Next 5Y4.8%
Revenue Next Year2.79%
Revenue Next 2Y3.02%
Revenue Next 3Y3%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 21.20, which indicates a rather expensive current valuation of MMM.
The rest of the industry has a similar Price/Earnings ratio as MMM.
When comparing the Price/Earnings ratio of MMM to the average of the S&P500 Index (26.34), we can say MMM is valued inline with the index average.
A Price/Forward Earnings ratio of 19.20 indicates a rather expensive valuation of MMM.
The rest of the industry has a similar Price/Forward Earnings ratio as MMM.
The average S&P500 Price/Forward Earnings ratio is at 23.56. MMM is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.2 | ||
| Fwd PE | 19.2 |
4.2 Price Multiples
MMM's Enterprise Value to EBITDA ratio is in line with the industry average.
MMM's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 57.69 | ||
| EV/EBITDA | 15.2 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of MMM may justify a higher PE ratio.
PEG (NY)12.31
PEG (5Y)N/A
EPS Next 2Y4.61%
EPS Next 3Y5.87%
5. Dividend
5.1 Amount
MMM has a Yearly Dividend Yield of 1.73%.
Compared to an average industry Dividend Yield of 3.68, MMM is paying slightly less dividend.
MMM's Dividend Yield is slightly below the S&P500 average, which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.73% |
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 2Y4.61%
EPS Next 3Y5.87%
FRA:MMM (12/5/2025, 7:00:00 PM)
143.98
-2.3 (-1.57%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryIndustrial Conglomerates
Earnings (Last)
Earnings (Next)
Inst Owners74.26%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap76.49B
Revenue(TTM)24.82B
Net Income(TTM)3.40B
Analysts75.83
Price Target150.37 (4.44%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.73% |
Yearly Dividend3.12
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)0.68%
PT rev (3m)8.45%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.23%
EPS NY rev (1m)-0.07%
EPS NY rev (3m)1.65%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.21%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.2 | ||
| Fwd PE | 19.2 | ||
| P/S | 3.59 | ||
| P/FCF | 57.69 | ||
| P/OCF | 35.67 | ||
| P/B | 19.25 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.2 |
EPS(TTM)6.79
EY4.72%
EPS(NY)7.5
Fwd EY5.21%
FCF(TTM)2.5
FCFY1.73%
OCF(TTM)4.04
OCFY2.8%
SpS40.13
BVpS7.48
TBVpS-4.71
PEG (NY)12.31
PEG (5Y)N/A
Graham Number33.81
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 | 4.38 |
F-Score5
WACC7.84%
ROIC/WACC1.88
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 Y1.72%
EPS Next 2Y4.61%
EPS Next 3Y5.87%
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 Year2.79%
Revenue Next 2Y3.02%
Revenue Next 3Y3%
Revenue Next 5Y3.73%
EBIT growth 1Y3.92%
EBIT growth 3Y-12.56%
EBIT growth 5Y-4.5%
EBIT Next Year35.75%
EBIT Next 3Y14.67%
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 21.2 and the Price/Book (PB) ratio is 19.25.
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%.