3M CO (1MMM.MI) Stock Fundamental Analysis
BIT:1MMM - Euronext Milan - US88579Y1010 - Common Stock - Currency: EUR
Taking everything into account, 1MMM scores 4 out of 10 in our fundamental rating. 1MMM was compared to 15 industry peers in the Industrial Conglomerates industry. 1MMM scores excellent on profitability, but there are some minor concerns on its financial health. 1MMM has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year 1MMM was profitable.
1MMM had a negative operating cash flow in the past year.
Of the past 5 years 1MMM 4 years were profitable.
1MMM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 10.37%, 1MMM belongs to the top of the industry, outperforming 86.67% of the companies in the same industry.
1MMM has a Return On Equity of 91.82%. This is amongst the best in the industry. 1MMM outperforms 93.33% of its industry peers.
With an excellent Return On Invested Capital value of 13.42%, 1MMM belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1MMM is above the industry average of 6.33%.
The 3 year average ROIC (11.12%) for 1MMM is below the current ROIC(13.42%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.37% | ||
| ROE | 91.82% | ||
| ROIC | 13.42% |
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
Looking at the Profit Margin, with a value of 16.01%, 1MMM is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
In the last couple of years the Profit Margin of 1MMM has grown nicely.
1MMM has a Operating Margin of 19.75%. This is amongst the best in the industry. 1MMM outperforms 86.67% of its industry peers.
1MMM's Operating Margin has been stable in the last couple of years.
1MMM has a worse Gross Margin (41.11%) than 60.00% of its industry peers.
In the last couple of years the Gross Margin of 1MMM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.75% | ||
| PM (TTM) | 16.01% | ||
| GM | 41.11% |
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), 1MMM is creating some value.
The number of shares outstanding for 1MMM has been reduced compared to 1 year ago.
Compared to 5 years ago, 1MMM has less shares outstanding
The debt/assets ratio for 1MMM is higher compared to a year ago.
2.2 Solvency
1MMM has an Altman-Z score of 4.11. This indicates that 1MMM is financially healthy and has little risk of bankruptcy at the moment.
1MMM's Altman-Z score of 4.11 is amongst the best of the industry. 1MMM outperforms 100.00% of its industry peers.
A Debt/Equity ratio of 2.91 is on the high side and indicates that 1MMM has dependencies on debt financing.
1MMM has a worse Debt to Equity ratio (2.91) than 93.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.91 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 4.11 |
ROIC/WACC1.7
WACC7.9%
2.3 Liquidity
1MMM has a Current Ratio of 1.72. This is a normal value and indicates that 1MMM is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Current ratio value of 1.72, 1MMM is doing good in the industry, outperforming 73.33% of the companies in the same industry.
1MMM has a Quick Ratio of 1.20. This is a normal value and indicates that 1MMM is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of 1MMM (1.20) is worse than 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.72 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
1MMM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -18.26%.
Measured over the past years, 1MMM shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.72% on average per year.
Looking at the last year, 1MMM shows a very negative growth in Revenue. The Revenue has decreased by -13.97% in the last year.
1MMM shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -5.22% yearly.
EPS 1Y (TTM)-18.26%
EPS 3Y-7.61%
EPS 5Y-2.72%
EPS Q2Q%11.92%
Revenue 1Y (TTM)-13.97%
Revenue growth 3Y-11.42%
Revenue growth 5Y-5.22%
Sales Q2Q%2.31%
3.2 Future
Based on estimates for the next years, 1MMM will show a small growth in Earnings Per Share. The EPS will grow by 4.70% on average per year.
Based on estimates for the next years, 1MMM will show a small growth in Revenue. The Revenue will grow by 3.50% on average per year.
EPS Next Y-2.81%
EPS Next 2Y2.85%
EPS Next 3Y5.18%
EPS Next 5Y4.7%
Revenue Next Year2.47%
Revenue Next 2Y2.63%
Revenue Next 3Y2.72%
Revenue Next 5Y3.5%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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 20.24, 1MMM is valued on the expensive side.
1MMM's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 26.76, 1MMM is valued a bit cheaper.
1MMM is valuated rather expensively with a Price/Forward Earnings ratio of 18.47.
1MMM's Price/Forward Earnings is on the same level as the industry average.
1MMM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 34.91, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.24 | ||
| Fwd PE | 18.47 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1MMM indicates a slightly more expensive valuation: 1MMM is more expensive than 60.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 15.06 |
4.3 Compensation for Growth
1MMM has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y2.85%
EPS Next 3Y5.18%
5. Dividend
5.1 Amount
1MMM has a Yearly Dividend Yield of 1.96%.
Compared to an average industry Dividend Yield of 13.74, 1MMM is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.36, 1MMM has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.96% |
5.2 History
The dividend of 1MMM decreases each year by -8.81%.
Dividend Growth(5Y)-8.81%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1MMM pays out 39.27% of its income as dividend. This is a sustainable payout ratio.
DP39.27%
EPS Next 2Y2.85%
EPS Next 3Y5.18%
BIT:1MMM (8/12/2025, 7:00:00 PM)
133.8
+4.06 (+3.13%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryIndustrial Conglomerates
Earnings (Last)
Earnings (Next)
Inst Owners73.84%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap71.27B
Analysts75.65
Price Target134.86 (0.79%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.96% |
Yearly Dividend3.18
Dividend Growth(5Y)-8.81%
DP39.27%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.8%
Min EPS beat(2)5.42%
Max EPS beat(2)6.18%
EPS beat(4)4
Avg EPS beat(4)3.66%
Min EPS beat(4)0.09%
Max EPS beat(4)6.18%
EPS beat(8)8
Avg EPS beat(8)7.24%
EPS beat(12)11
Avg EPS beat(12)8.66%
EPS beat(16)15
Avg EPS beat(16)8.93%
Revenue beat(2)0
Avg Revenue beat(2)-0.44%
Min Revenue beat(2)-0.6%
Max Revenue beat(2)-0.28%
Revenue beat(4)0
Avg Revenue beat(4)-0.55%
Min Revenue beat(4)-0.8%
Max Revenue beat(4)-0.28%
Revenue beat(8)3
Avg Revenue beat(8)0.18%
Revenue beat(12)5
Avg Revenue beat(12)0.83%
Revenue beat(16)7
Avg Revenue beat(16)0.75%
PT rev (1m)9.22%
PT rev (3m)9.22%
EPS NQ rev (1m)-2.7%
EPS NQ rev (3m)-2.7%
EPS NY rev (1m)-0.97%
EPS NY rev (3m)-0.97%
Revenue NQ rev (1m)2.28%
Revenue NQ rev (3m)2.28%
Revenue NY rev (1m)1.15%
Revenue NY rev (3m)1.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.24 | ||
| Fwd PE | 18.47 | ||
| P/S | 3.38 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 19.35 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.06 |
EPS(TTM)6.61
EY4.94%
EPS(NY)7.24
Fwd EY5.41%
FCF(TTM)-3.2
FCFYN/A
OCF(TTM)-1.61
OCFYN/A
SpS39.64
BVpS6.91
TBVpS-5.33
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.37% | ||
| ROE | 91.82% | ||
| ROCE | 16.1% | ||
| ROIC | 13.42% | ||
| ROICexc | 15.59% | ||
| ROICexgc | 22.04% | ||
| OM | 19.75% | ||
| PM (TTM) | 16.01% | ||
| GM | 41.11% | ||
| FCFM | N/A |
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%
ROICexcg growth 3Y-10.19%
ROICexcg 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-Score4
Asset Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.91 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.05 | ||
| Cap/Depr | 80.94% | ||
| Cap/Sales | 3.99% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.72 | ||
| Quick Ratio | 1.2 | ||
| Altman-Z | 4.11 |
F-Score4
WACC7.9%
ROIC/WACC1.7
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)-18.26%
EPS 3Y-7.61%
EPS 5Y-2.72%
EPS Q2Q%11.92%
EPS Next Y-2.81%
EPS Next 2Y2.85%
EPS Next 3Y5.18%
EPS Next 5Y4.7%
Revenue 1Y (TTM)-13.97%
Revenue growth 3Y-11.42%
Revenue growth 5Y-5.22%
Sales Q2Q%2.31%
Revenue Next Year2.47%
Revenue Next 2Y2.63%
Revenue Next 3Y2.72%
Revenue Next 5Y3.5%
EBIT growth 1Y-11.39%
EBIT growth 3Y-12.56%
EBIT growth 5Y-4.5%
EBIT Next Year31.55%
EBIT Next 3Y14.58%
EBIT Next 5Y9.76%
FCF growth 1Y-144.62%
FCF growth 3Y-52.23%
FCF growth 5Y-34.69%
OCF growth 1Y-116.06%
OCF growth 3Y-37.51%
OCF growth 5Y-23.78%