3M Valuation
| MMM Stock | USD 146.54 1.56 1.08% |
At this time, the firm appears to be undervalued. 3M Company owns a latest Real Value of $156.7 per share. The recent price of the firm is $146.54. Our model approximates the value of 3M Company from evaluating the firm fundamentals such as Shares Owned By Insiders of 0.31 %, return on asset of 0.0593, and Shares Outstanding of 542.9 M as well as inspecting its technical indicators and probability of bankruptcy. Key fundamental drivers impacting 3M's valuation include:
Price Book 20.4866 | Enterprise Value | Enterprise Value Ebitda 11.4798 | Price Sales 3.2139 | Forward PE 18.5529 |
Undervalued
Today
Please note that 3M's price fluctuation is very steady at this time. Calculation of the real value of 3M Company is based on 3 months time horizon. Increasing 3M's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the 3M stock is determined by what a typical buyer is willing to pay for full or partial control of 3M Company. Since 3M is currently traded on the exchange, buyers and sellers on that exchange determine the market value of 3M Stock. However, 3M's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 146.54 | Real 156.7 | Target 146.24 | Hype 146.45 | Naive 146.52 |
The intrinsic value of 3M's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence 3M's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of 3M Company helps investors to forecast how 3M stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of 3M more accurately as focusing exclusively on 3M's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use 3M's intrinsic value based on its ongoing forecasts of 3M's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against 3M's closest peers.
3M Cash |
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3M Valuation Trend
Knowing 3M's actual value is paramount for traders when making sound investment determinations. Using both 3M's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
3M Revenue by Product
3M Total Value Analysis
3M Company is now expected to have company total value of 84.91 B with market capitalization of 78.98 B, debt of 13.66 B, and cash on hands of 3.65 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the 3M fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
84.91 B | 78.98 B | 13.66 B | 3.65 B |
3M Investor Information
About 69.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 2.62. 3M Company recorded earning per share (EPS) of 7.26. The entity last dividend was issued on the 14th of February 2025. The firm had 1196:1000 split on the 1st of April 2024. 3M Company may be sliding down financialy. It has an above-average probability of going through some form of financial hardship next quarter.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Total Cash From Operating Activities | 1.7 B | 1.8 B |
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3M Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. 3M has an asset utilization ratio of 61.64 percent. This suggests that the Company is making $0.62 for each dollar of assets. An increasing asset utilization means that 3M Company is more efficient with each dollar of assets it utilizes for everyday operations.3M Ownership Allocation
3M Company secures a total of 542.9 Million outstanding shares. Over half of 3M's outstanding shares are owned by institutions. These institutions are typically referred to as corporate investors that acquire positions in a given instrument to benefit from reduced trade commissions. Please note that on February 11, 2025, Representative Josh Gottheimer of US Congress acquired under $15k worth of 3M Company's common stock.3M Profitability Analysis
The company reported the last year's revenue of 24.57 B. Total Income to common stockholders was 4.19 B with profit before taxes, overhead, and interest of 10.16 B.3M Past Distributions to stockholders
About 3M Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of 3M Company. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of 3M Company based exclusively on its fundamental and basic technical indicators. By analyzing 3M's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of 3M's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of 3M. We calculate exposure to 3M's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of 3M's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 10.1 B | 11 B | |
| Pretax Profit Margin | 0.20 | 0.14 | |
| Operating Profit Margin | 0.20 | 0.20 | |
| Net Profit Margin | 0.17 | 0.10 | |
| Gross Profit Margin | 0.41 | 0.37 |
3M Quarterly Retained Earnings |
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A single share of 3M represents a small ownership stake in the entity. As a stockholder of 3M, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
3M Dividends Analysis For Valuation
As of the 25th of February 2025, Dividend Payout Ratio is likely to grow to 0.53, though Dividends Paid is likely to grow to (1.9 B). . At this time, 3M's Earnings Yield is very stable compared to the past year. As of the 25th of February 2025, Price Earnings Ratio is likely to grow to 17.11, while Retained Earnings are likely to drop about 23.2 B.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | -2 B | -1.9 B | |
| Dividend Yield | 0.03 | 0.03 | |
| Dividend Payout Ratio | 0.47 | 0.53 | |
| Dividend Paid And Capex Coverage Ratio | 0.58 | 0.55 |
There are various types of dividends 3M can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of 3M shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from 3M Company directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When 3M pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of 3M by the value of the dividends paid out.
3M Growth Indicators
Investing in growth stocks can be very risky. If the company such as 3M does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 552.4 M | |
| Quarterly Earnings Growth Y O Y | -0.217 | |
| Forward Price Earnings | 18.5529 |
3M Current Valuation Indicators
3M's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final 3M's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as 3M, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use 3M's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes 3M's worth.When determining whether 3M Company is a strong investment it is important to analyze 3M's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact 3M's future performance. For an informed investment choice regarding 3M Stock, refer to the following important reports: Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in 3M Company. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in population. You can also try the Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.
Is Industrial Conglomerates space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of 3M. If investors know 3M will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about 3M listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.22) | Dividend Share 3.61 | Earnings Share 7.26 | Revenue Per Share | Quarterly Revenue Growth 0.001 |
The market value of 3M Company is measured differently than its book value, which is the value of 3M that is recorded on the company's balance sheet. Investors also form their own opinion of 3M's value that differs from its market value or its book value, called intrinsic value, which is 3M's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because 3M's market value can be influenced by many factors that don't directly affect 3M's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between 3M's value and its price as these two are different measures arrived at by different means. Investors typically determine if 3M is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, 3M's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.