3M Co (NYSE:MMM) reported better-than-expected earnings for the first quarter of 2025 on Tuesday, driven by organic growth and margin expansion, but warned that new tariffs could shave as much as $0.40 off its full-year profit. The industrial conglomerate, known for products ranging from adhesives to safety equipment, said adjusted earnings per share rose 10% year-over-year to $1.88, while total revenue came in at $6.0 billion, down 1% from the same period last year.
3M maintains its 2025 forecast for earnings of $7.60 to $7.90 a share, but includes a tariff impact of 20 cents to 40 cents.
3M (MMM -0.24%) has manufacturing facilities around the world, which gives it flexibility despite rising trade barriers.
3M is going to report the company's Q1 results. Wall Street still expects subdued revenue growth, whereas 3M's restructuring should benefit profitability. 3M's expensive PFAS and earplug lawsuit settlements weigh significantly on the company's cash flow. As MMM stock has risen, the valuation now stands unattractive. I estimate 28% downside to a fair value of $94.4.
As MMM gears up to report first-quarter earnings, let us find out how the expectations stack up and whether it is the right time to buy, hold or sell the stock.
Given the tumultuous events in April, it's easy to forget that 3M (MMM -5.11%) stock is actually up on the year; at least, it is at the time of writing! That's due to an impressive first-quarter performance of 13.8%, according to data provided by S&P Global Market Intelligence.
3M (MMM 0.13%) stock has had a wild ride. After years of litigation surrounding its multi-decade production of PFAS -- deemed "forever" chemicals that wreak havoc on the health of both exposed humans and ecosystems -- shares finally found a bottom last year.
3M's (MMM -1.49%) CEO Bill Brown recently gave a presentation at the JPMorgan Industrial Conference, and his remarks contained some mixed news for investors. However, on balance, they were positive for long-term investors.
3M Company (NYSE:MMM ) JPMorgan 2025 Industrials Conference March 11, 2025 8:15 AM ET Company Participants Anurag Maheshwari - CFO Bill Brown - CFO Conference Call Participants Steve Tusa - JPMorgan Steve Tusa All right. Moving along here, we have 3M, CFO, Anurag Maheshwari; as well as CEO, Bill Brown.
At a glance, it's understandable that 3M's (MMM -4.93%) recent investor day didn't produce a significant move in the stock price. The industrial conglomerate's three-year targets were solid enough but not sufficiently inspiring to encourage investors to significantly upgrade medium-term expectations.
Dividend Kings are an elite group of companies. These are stocks that pay a dividend, but have increased the payout for 50 years or more.
The market for 3M NYSE: MMM stock is on fire, with shares rising by 7% in the final week of February and 65% in the preceding 12 months, and there is more upside ahead. The strong technical indicators point to a move to $175, possibly higher by midyear.