3M: This will leave you speechless!
3M – the dividend yield is top
The dividend yield measures the relationship between the dividend and the current share price and is usually expressed as a percentage. Based on the share price level, the current dividend yield for 3m is 4.94 percent, which is 1.93 percent above the mean (3.01) for this stock. 3m therefore gets a “buy” rating from our analysts for this dividend policy.
How do analysts rate 3M?
There are 0 buy, 9 hold, and 4 sell ratings from analysts for 3m from the last twelve months, averaging a “hold” rating. There are no analyst updates on 3m from the last month. The average price target for this stock based on analyst opinions is $135.08. Based on the last closing price (USD 129.04), the stock could thus rise by 4.68 percent, which corresponds to a “hold” recommendation. From an analyst’s perspective, 3m shares thus receive an overall “hold” recommendation.
Price evaluation using the RSI
On the basis of the Relative Strength Index, the 3m share is a Hold stock. The index measures the upward and downward movements of different time periods (RSI7 for seven days, RSI25 for 25 days) and assigns them a ratio between 0 and 100. For the 3m share, this results in a value for the RSI7 of 63.73, which entails a “hold” recommendation, and a value for the RSI25 of 30.48, which entails a “hold” rating for this period. This results in an overall “Hold” ranking at the Relative Strength Indicator level.
Pricing Returns by Industry
3m posted a performance of -33.32 percent over the past 12 months. Similar stocks in the “industrial conglomerates” sector have risen an average of 58.27 percent, giving 3m an underperformance of -91.59 percent on an industry comparison. The “Industrials” sector had a median return of 62.38 percent over the past year. 3m was 95.7 percent below that average. The underperformance in both the industry and sector comparisons results in a “Sell” rating in this category.
3M: What moves investors?
In addition to analyses from banking houses, the yardstick for sentiment around stocks is the long-term mood among investors and users on the Internet. The number of posts over a longer period of time and the change in sentiment give a good long-term picture of sentiment. We analyzed 3m’s stock for these two factors. The number of posts or discussion intensity showed medium activity, from which we believe a “hold” rating can be generated. The rate of change in sentiment for 3m shows a change to the negative. This corresponds to a “sell” rating. To this extent, we give 3m’s stock a “Sell” rating with respect to the long-term sentiment picture.
Share currently fundamentally undervalued
Currently, the price-earnings ratio (P/E ratio) is 16.8, which means that for every euro of 3m’s earnings, the stock market pays 16.8 euros. This is 65 percent less than is paid for comparable stocks in the sector. In the “industrial conglomerates” sector, the average value is currently 48.01. For this reason, the stock is undervalued and is therefore rated “buy” based on the P/E ratio.
What to expect from investor sentiment
The discussions around 3m on social media platforms give a clear signal on the assessments and sentiments around the stock. Currently, overall negative opinions are piling up in the comments and opinions over the past two weeks. In addition, predominantly negative topics were raised around the value in recent days. This leads our editorial team to the conclusion that the company should be classified as a “sell”. Finally, a trading signal can also be determined at this level in the past period. The picture results in 1 Buy signal. This result ultimately leads to a rating as a “Buy” share. In summary, the editorial team is thus of the opinion that the share of 3m is appropriately valued with “Hold” in relation to investor sentiment.