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Jan 28, 2020
3M (MMM, $167.64) misses Q4 earnings expectations

3M (MMM, $167.64) misses Q4 earnings expectations

3M Co. reported fourth quarter earnings that fell short of analysts’ expectations.

The conglomerate’s adjusted earnings for the quarter came in at $1.95 per share, compared to the Street estimate of $2.10 per share. The figure was also -15.6% lower than the year-ago level.

Revenue fell -1.9% year-over-year to $8.1 billion in the quarter, in line with analysts' estimates. 

Industrial and safety sales declined -4.8% from the same quarter a year ago; and transportation and electronics revenues fell - 6.2% year-over-year for the quarter. But health care revenues surged + 25.4%

Looking ahead, 3M expects full-year 2020 organic, local-currency sales growth to be in the range of flat to +2%, and reported earnings of between $9.30 and $9.75 per share.

Related Ticker: MMM

Contributor

Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.


MMM's RSI Indicator recovers from oversold territory

The RSI Indicator for MMM moved out of oversold territory on September 15, 2026. This could be a sign that the stock is shifting from a downward trend to an upward trend. Traders may want to buy the stock or call options. The A.I.dvisor looked at 28 similar instances when the indicator left oversold territory. In 21 of the 28 cases the stock moved higher. This puts the odds of a move higher at 75%.

Price Prediction Chart

Technical Analysis (Indicators)

Bullish Trend Analysis

The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 2 days, which means it's wise to expect a price bounce in the near future.

Following a +1.08% 3-day Advance, the price is estimated to grow further. Considering data from situations where MMM advanced for three days, in 174 of 301 cases, the price rose further within the following month. The odds of a continued upward trend are 58%.

Bearish Trend Analysis

The Momentum Indicator moved below the 0 level on October 01, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on MMM as a result. In 43 of 83 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 52%.

The Moving Average Convergence Divergence Histogram (MACD) for MMM turned negative on October 02, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 44 similar instances when the indicator turned negative. In 25 of the 44 cases the stock turned lower in the days that followed. This puts the odds of success at 57%.

MMM moved below its 50-day moving average on September 01, 2026 date and that indicates a change from an upward trend to a downward trend.

The 10-day moving average for MMM crossed bearishly below the 50-day moving average on September 10, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 10 of 18 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 56%.

Following a 3-day decline, the stock is projected to fall further. Considering past instances where MMM declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 50%.

The Aroon Indicator for MMM entered a downward trend on September 23, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.

Fundamental Analysis (Ratings)

The Tickeron PE Growth Rating for this company is 14 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.

The Tickeron SMR rating for this company is 15 (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.

The Tickeron Price Growth Rating for this company is 48 (best 1 - 100 worst), indicating steady price growth. MMM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron Profit vs. Risk Rating rating for this company is 66 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 82, placing this stock slightly better than average.

The Tickeron Seasonality Score of 75 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.

The Tickeron Valuation Rating of 89 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: MMM's P/B Ratio (29.586) is very high in comparison to the industry average of (5.977). P/E Ratio (30.103) is within average values for comparable stocks, (53.565). Projected Growth (PEG Ratio) (1.590) is also within normal values, averaging (0.772). Dividend Yield (0.018) settles around the average of (0.019) among similar stocks. P/S Ratio (3.442) is also within normal values, averaging (2.059).

Notable companies

The most notable companies in this group are 3M Company (NYSE:MMM), Honeywell International (NASDAQ:HON).

Industry description

Industrial Conglomerates specialize in numerous types of products, most of which comprise industrial goods, while some also go towards meeting household needs. Honeywell (makes engineering services and aerospace systems), United Technologies Corporation(manufactures aircraft engines, aerospace systems, HVAC, elevators and escalators, fire and security, building systems, and industrial products, among others), 3M (over 60,000 products under several world-renowned brands, including adhesives, abrasives, laminates, passive fire protection, personal protective equipment, window films, paint protection films, dental and orthodontic products, electrical & electronic connecting and insulating materials, medical products, car-care products, electronic circuits, healthcare software and optical films).

Market Cap

The average market capitalization across the Industrial Conglomerates Industry is 6.62B. The market cap for tickers in the group ranges from 62.16K to 156.47B. HTHIF holds the highest valuation in this group at 156.47B. The lowest valued company is FSTF at 62.16K.

High and low price notable news

The average weekly price growth across all stocks in the Industrial Conglomerates Industry was 1%. For the same Industry, the average monthly price growth was -7%, and the average quarterly price growth was -1%. AIAI experienced the highest price growth at 15%, while NXAT experienced the biggest fall at -29%.

Volume

The average weekly volume growth across all stocks in the Industrial Conglomerates Industry was -20%. For the same stocks of the Industry, the average monthly volume growth was -74% and the average quarterly volume growth was -60%

Fundamental Analysis Ratings

The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows

Valuation Rating: 40
P/E Growth Rating: 59
Price Growth Rating: 59
SMR Rating: 73
Profit Risk Rating: 82
Seasonality Score: 18 (-100 ... +100)
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published General Information

General Information

an industrial conglomerate which manufactures and distributes consumer products such as papers, electronic gadgets and medical supplies

Industry IndustrialConglomerates

Industry
Industrial Conglomerates
Address
3M Center
Phone
+1 651 733-1110
Employees
60500
Web
https://www.3m.com
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