3 Reasons To Buy 3M

3M Company (MMM) announced its third quarter results, reporting sales growth of 5.6 % year over year to $7.9 billion. Growth in the industrial segment was the primary reason for this increment in total sales. Going forward, 3M Company expects to grow this segment with its contracts from U.S. military services. The company also expects to grow its healthcare segment in Asia Pacific and Latin America.

3M Company acquired Ceradyne last year, which became part of 3M Company's industrial business segment. Ceradyne is a wholly owned subsidiary of 3M Company that manufactures advanced ceramic products, used in automobiles, oil and gas, and defense devices. In the defense sector, these ceramic products are used for making various accessories like helmets and body armor. Read more.

3M Window Film Expands Manufacturing in Asia-Pacific Region

3M Company has completed significant investments in the Asia-Pacific region with the scale-up of world-class manufacturing facilities in China and Singapore to support the growing window film business. The two locations will allow 3M to continue to meet customer needs, both in the region and worldwide, and to satisfy the growing demand for its automotive, residential and commercial window films. These new state of the art facilities are in addition to expanded capital investments made in their U.S. factories for clean coating and converting.

“3M’s investments in these new production sites are important to serve the growing needs and demand in the Asia-Pacific region. In addition to the plant investments, we continue to make substantial investments in research and development. The quality and quantity of exciting new products and technologies being developed in our labs is at an all time high and reinforces 3M’s strong commitment to innovation,” said Tim Thornton. Read more.

3M Delivers Record Third-Quarter Results

3M (MMM) today reported third-quarter earnings of $1.78 per share, an increase of 7.9 percent versus the third quarter of 2012. Sales grew 5.6 percent year-on-year to $7.9 billion. Organic local-currency sales grew 5.8 percent, acquisitions added 1.5 percent to sales and currency impacts reduced sales by 1.7 percent year-on-year.

Operating income was $1.7 billion and operating income margins for the quarter were 22.0 percent. Third-quarter net income was $1.2 billion and free cash flow was $0.7 billion.
The company paid $431 million in cash dividends to shareholders and repurchased $1.54 billion of its own shares during the quarter.

Organic local-currency sales growth was 8.1 percent in Safety and Graphics, 6.8 percent in Health Care, 6.2 percent in Industrial, 4.2 percent in Consumer and 3.8 in Electronics and Energy. Read more.

3M's Growth Accelerates With Recovery In Electronics Market And European Improvement

3M‘s (MMM) third quarter sales growth accelerated to 6% year-over-year from 2% year-over-year growth in the first half, on recovery in the electronics market and continued improvement in sales from Europe. In the first half of this year, the company’s growth from developing markets was tempered by a weak electronics market and very low growth from Europe, the Middle-East and Africa (EMEA). However, in the third quarter, as the electronics market recovered especially in the Asia-Pacific region and organic sales from EMEA rose by over 4%, 3M’s double-digit organic sales growth from developing markets wasn’t tempered much. Overall, the company’s top line rose by 6% annually to $7.9 billion and its earnings rose by 8% annually to $1.78 per share, with margins remaining above 20% in the third quarter.

Looking ahead, with only a quarter remaining in the year and business performing as per expectations, 3M narrowed its guidance for 2013. The company now forecasts its 2013 organic sales. MMM.

3M: Already Highly Valued, General Electric And Siemens Might Be Better Deals

3M (MMM) is a diversified company with a wide-ranging product portfolio: From dental products to medical products and electronic circuits, the company produces nearly everything the consumer- and industrial base could need.

The conglomerate has been doing well over the last years as the economy rebounded and confidence in the economic future returned. Now 3M appears to be overvalued compared to its peers and to its free cash flow prospects. 3M.

3M: High Time to Take Profits

3M is currently trading near its 52-week high; however, forecasts of slower organic growth and increasing pressure on margins do not warrant a P/E multiple of 18.7x

Company Introduction

The 3M Company (MMM), originally known as the Minnesota Mining & Manufacturing Company, is an industrial conglomerate with products and businesses as diverse as the markets it operates in. The company prides itself on being a “Global Innovation Company”, claiming that it introduces new technologies and products to millions of consumers worldwide.

3M generated 65% of its income from outside the US in 2012, with the Asian market contributing the largest share. However, Latin America and Canada have been its fastest-growing markets over the last five years, with a CAGR* of 8.6%. Read more

NEW LED Lamps by 3M

3M Company (MMM - Analyst Report) recently introduced the industry’s first Light-Emitting Diodes (LED) lamps that are approved for enclosed fixtures in commercial applications.

3M LED Advanced Light was cultivated from 3M's multilayer optical film, adhesives and heat management technologies. 3M is a leader in light and heat management solutions with an expertise in optical science and manufactures the LED A19 lamps in the U.S. The 3M LED Advanced Light for commercial applications with  advanced heat management is ideal for enclosed fixtures such as ceiling, mount fixtures and residential usage and the product line includes spotlights, flood lights and accent lights. Read more