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3M Co. shares outperform S&P 500 and Dow Jones amid lower trading volume

Published 11/04/2023, 06:02 AM
© Pavlo Gonchar / SOPA Images/Sipa via Reuters Connect
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On the heels of a market uptick that saw the S&P 500 and Dow Jones indices rise 0.94% and 0.66% respectively, 3M Co. (NYSE:MMM)'s shares stood out with a more pronounced growth of 1.68% to $93.86 on Friday. This marks the second consecutive day of significant growth for the multinational conglomerate.

Despite this positive performance, 3M's shares are still $40.05 short of their highest point in the past year, which was reached on November 14th. The company's recent surge outpaced competitors such as Johnson & Johnson, Honeywell International (NASDAQ:HON), and General Electric (NYSE:GE), which posted gains of 0.73%, 1.37%, and 1.06% respectively.

However, alongside this upward trend, there was a notable shortfall in trading volume. Only 2.7 million shares changed hands on Friday, falling short by 1.1 million from the company's typical trading volume. This discrepancy suggests that while the company's shares are performing well, they are doing so amid a less active trading climate.

InvestingPro Insights

In light of recent trends, InvestingPro provides some valuable insights into 3M Co.'s performance. According to InvestingPro data, 3M Co. holds a market capitalization of 51.84B USD, indicating its substantial presence in the market. However, the company's P/E ratio stands at -7.06, suggesting that it has not been profitable over the last twelve months. This is further confirmed by the company's negative revenue growth of -5.8% in the last twelve months as of Q3 2023.

InvestingPro Tips shed additional light on this scenario. Despite the declining revenue, 3M Co. has managed to maintain consistent dividend payments for 53 consecutive years, demonstrating its commitment to shareholder returns. Additionally, although the company has been operating with a moderate level of debt, it is still considered a prominent player in the Industrial Conglomerates industry.

For those interested in a more comprehensive analysis, InvestingPro offers a multitude of additional tips and real-time data metrics for 3M Co. and other companies.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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