3M Co. shares got a rating downgrade by RBC Capital Markets.
RBC Capital Markets analyst Deane Dray lowered his rating on 3M to sector perform, from a prior rating of outperform. He also slashed his price target on the stock by 15% to $176 per share.
According to Dray, 3M’s reputation of a "defensive, high-quality industrial" is getting eroded.
3M's first quarter earnings had declined -10.8% year-over-year, and its total revenue had fallen -5%. The company had lowered its full-year earnings outlook to a range of $9.25 to $9.75 per share, down from a prior forecast of $10.45 to $10.90 per share. It had also cut its organic sales growth forecast to a range of -1% to +2% from a previous projection of 1% to 4%.