Industrial conglomerate 3M (NYSE:MMM) will be announcing earnings results this Friday morning. Here’s what investors should know.
3M beat analysts’ revenue expectations by 1.5% last quarter, reporting revenues of $5.78 billion, down 3.9% year on year. It was a strong quarter for the company, with a solid beat of analysts’ adjusted operating income estimates and an impressive beat of analysts’ EBITDA estimates.
Is 3M a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting 3M’s revenue to decline 2.4% year on year to $6.10 billion, a deceleration from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $2.01 per share.
Heading into earnings, analysts covering the company have grown increasingly bearish with revenue estimates seeing 5 downward revisions over the last 30 days (we track 9 analysts). 3M has missed Wall Street’s revenue estimates four times over the last two years.
Looking at 3M’s peers in the industrial machinery segment, only Worthington has reported results so far. It beat analysts’ revenue estimates by 5.6% and delivered flat year-on-year revenue. The stock traded up 1.8% on the results.
Read our full analysis of Worthington’s earnings results here.There has been positive sentiment among investors in the industrial machinery segment, with share prices up 7% on average over the last month. 3M is up 10.5% during the same time and is heading into earnings with an average analyst price target of $154.55 (compared to the current share price of $157.10).
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