3M CO (MMM) Stock Fundamental Analysis
USA - NYSE:MMM - US88579Y1010 - Common Stock
165.685 USD
-1.9 (-1.13%)
Taking everything into account, MMM scores 6 out of 10 in our fundamental rating. MMM was compared to 7 industry peers in the Industrial Conglomerates industry. MMM gets an excellent profitability rating and is at the same time showing great financial health properties. MMM has a valuation in line with the averages, but 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 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 100.00% of its industry peers.
Looking at the Return On Equity, with a value of 73.49%, MMM belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 14.75%, MMM belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
MMM had an Average Return On Invested Capital over the past 3 years of 11.12%. This is above the industry average of 7.93%.
The last Return On Invested Capital (14.75%) for MMM is above the 3 year average (11.12%), which is a sign of increasing profitability.
| 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
With an excellent Profit Margin value of 13.70%, MMM belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
MMM's Profit Margin has improved in the last couple of years.
MMM has a better Operating Margin (20.59%) than 100.00% of its industry peers.
In the last couple of years the Operating Margin of MMM has remained more or less at the same level.
The Gross Margin of MMM (40.98%) is better than 100.00% 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.
Compared to 1 year ago, MMM has less shares outstanding
Compared to 5 years ago, MMM has less shares outstanding
The debt/assets ratio for MMM is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.39 indicates that MMM is not in any danger for bankruptcy at the moment.
MMM has a Altman-Z score of 4.39. This is amongst the best in the industry. MMM outperforms 100.00% of its industry peers.
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.
The Debt to FCF ratio of MMM (8.16) is better than 85.71% of its industry peers.
A Debt/Equity ratio of 2.56 is on the high side and indicates that MMM has dependencies on debt financing.
With a Debt to Equity ratio value of 2.56, MMM perfoms like the industry average, outperforming 57.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.56 | ||
| Debt/FCF | 8.16 | ||
| Altman-Z | 4.39 |
ROIC/WACC1.86
WACC7.95%
2.3 Liquidity
A Current Ratio of 1.84 indicates that MMM should not have too much problems paying its short term obligations.
MMM's Current ratio of 1.84 is amongst the best of the industry. MMM outperforms 85.71% of its industry peers.
A Quick Ratio of 1.40 indicates that MMM should not have too much problems paying its short term obligations.
The Quick ratio of MMM (1.40) is better than 71.43% 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.
MMM shows a small growth in Revenue. In the last year, the Revenue has grown by 1.05%.
MMM shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -5.22% yearly.
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.
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
With a Price/Earnings ratio of 20.95, MMM is valued on the expensive side.
Based on the Price/Earnings ratio, MMM is valued cheaper than 85.71% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.89, MMM is valued at the same level.
Based on the Price/Forward Earnings ratio of 18.98, the valuation of MMM can be described as rather expensive.
MMM's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of MMM to the average of the S&P500 Index (34.59), we can say MMM is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.95 | ||
| Fwd PE | 18.98 |
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 cheaper when compared to the industry. MMM is cheaper than 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 57.16 | ||
| EV/EBITDA | 15.23 |
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)11.66
PEG (5Y)N/A
EPS Next 2Y4.58%
EPS Next 3Y5.84%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.71%, MMM has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 5.82, MMM pays a bit more dividend than its industry peers.
Compared to the average S&P500 Dividend Yield of 2.44, MMM is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.71% |
5.2 History
The dividend of MMM decreases each year by -8.82%.
MMM has been paying a dividend for at least 10 years, so it has a reliable track record.
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%
NYSE:MMM (11/17/2025, 3:31:05 PM)
165.685
-1.9 (-1.13%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryIndustrial Conglomerates
Earnings (Last)
Earnings (Next)
Inst Owners75.88%
Inst Owner Change-4.73%
Ins Owners0.03%
Ins Owner Change0.69%
Market Cap88.25B
Revenue(TTM)24.82B
Net Income(TTM)3.40B
Analysts75.83
Price Target173.04 (4.44%)
Short Float %1.35%
Short Ratio2.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.71% |
Yearly Dividend3.63
Dividend Growth(5Y)-8.82%
DP45.66%
Div Incr Years0
Div Non Decr Years0
Ex-Date
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)6.7%
PT rev (3m)6.74%
EPS NQ rev (1m)-1.67%
EPS NQ rev (3m)-1.23%
EPS NY rev (1m)1.7%
EPS NY rev (3m)4.74%
Revenue NQ rev (1m)0.13%
Revenue NQ rev (3m)0.21%
Revenue NY rev (1m)0.32%
Revenue NY rev (3m)0.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.95 | ||
| Fwd PE | 18.98 | ||
| P/S | 3.55 | ||
| P/FCF | 57.16 | ||
| P/OCF | 35.34 | ||
| P/B | 19.07 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.23 |
EPS(TTM)7.91
EY4.77%
EPS(NY)8.73
Fwd EY5.27%
FCF(TTM)2.9
FCFY1.75%
OCF(TTM)4.69
OCFY2.83%
SpS46.61
BVpS8.69
TBVpS-5.47
PEG (NY)11.66
PEG (5Y)N/A
Graham Number39.32
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 | 4.39 |
F-Score5
WACC7.95%
ROIC/WACC1.86
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 FAQ
What is the ChartMill fundamental rating of 3M CO (MMM) stock?
ChartMill assigns a fundamental rating of 6 / 10 to MMM.
Can you provide the valuation status for 3M CO?
ChartMill assigns a valuation rating of 4 / 10 to 3M CO (MMM). This can be considered as Fairly Valued.
Can you provide the profitability details for 3M CO?
3M CO (MMM) 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) is 20.95 and the Price/Book (PB) ratio is 19.07.
Can you provide the dividend sustainability for MMM stock?
The dividend rating of 3M CO (MMM) is 3 / 10 and the dividend payout ratio is 45.66%.