You have decided 𝟑𝐌 (Minnesota Mining and Manufacturing Company), so here we go - better late than never. 😄
𝐙𝐮𝐦 𝐔𝐧𝐭𝐞𝐫𝐧𝐞𝐡𝐦𝐞𝐧:
Founded in 1902, 3M is a global multi-technology corporation headquartered in Saint Paul, Minnesota in the United States. The company manufactures adhesive products, among other things. Most of all, you probably know the company through its Post-it and Scotch brands.
In total, the company produces more than 55,000 different products based on 47 technology platforms and has nearly 26,000 items and around 112,000 patents. 3M has increased its dividend every single year for 61 years!
Of course, that's really awesome! A real dividend king!
True, 3M has many industrial products that are used in automotive manufacturing, for example. But it also has many non-cyclical household products that keep demand constant. As a result, the stock remains relatively stable. Even in previous crises, the stock always came out very well and was spared major declines. The stock has a very large market presence and is listed in the Dow Jones 30 Index. Furthermore, the company has a market capitalization of around USD 98.8 billion.
𝐃𝐚𝐬 𝐔𝐧𝐭𝐞𝐫𝐧𝐞𝐡𝐦𝐞𝐧 𝐢𝐬𝐭 𝐢𝐧 𝐟𝐨𝐥𝐠𝐞𝐧𝐝𝐞 𝐒𝐞𝐠𝐦𝐞𝐧𝐭𝐞 𝐮𝐧𝐭𝐞𝐫𝐭𝐞𝐢𝐥𝐭:
Industrial, Protective Products, Health Care, Electronics and Energy, Consumer, and Products Unclassifiable.
Scotch, Post-it, and Command brands will probably mean the most to you.
𝐑𝐢𝐬𝐢𝐤𝐞𝐧:
- The leverage ratio is increasing: since 2013, the company has been borrowing more and more and the equity ratio has more than halved (to 27%, which is very low). Nevertheless, it has to be said that the interest burden is keeping within limits.
After the financial crisis, 3M issued stock for several years, among other things. Ultimately, this severely diluted the shares of existing shareholders. This is something to keep in mind.
The business is exposed to political risks as it operates in more than 70 countries. The U.S. could have a negative impact here, for example.
Exchange rates and fluctuations affect the business
Changing consumer behavior of people - a more sustainable lifestyle will also affect the Group
Profit depends heavily on raw material prices for products.
Price pressure is high due to competition
2020 sales increased from $32.136 billion (2019) to $32.184 billion, an increase of "only" $48 million. This means that sales are actually down compared to 2018.
𝐂𝐡𝐚𝐧𝐜𝐞𝐧 𝐮𝐧𝐝 𝐒𝐭ä𝐫𝐤𝐞𝐧:
- The company regularly repurchases shares - a share repurchase program for an indefinite term has been in place since 2018.
The company operates profitably.
the company's success depends, due to its broad diversification, on the entire market - i.e. the global economy. It has an incredibly wide range of products
Even though sales have barely grown, earnings per share have increased and the dividend has been raised. Net margins have also increased.
3M has been taking a steady line on environmental protection since 1990 and wants to take on quite a bit of responsibility here.
3M has a good reputation
3M is well diversified
More markets can be developed
They act quite flexible -> for example, the company was very important in the production of Corona masks in 2020.
Dividends are very high - the group is a very solid dividend stock and an interesting candidate for anyone driving a dividend strategy. Dividend growth has been around 5% per annum over the last five years.
𝐅𝐚𝐤𝐭𝐞𝐧:
Approx. 94,000 employees
Sales growth (5Y): 1.23%
Number of shares: 576,250,000
WKN: 851745
P/E RATIO: 16.36
KUV: 2.69
Dividend payments for 106 years
Here you can find the quarterly figures: Q4 2021 https://investors.3m.com/news/news-details/2022/3M-Reports-Fourth-Quarter-and-Full-Year-2021-Results/default.aspx
𝐊𝐨𝐧𝐤𝐮𝐫𝐫𝐞𝐧𝐳:
I can't say too much about this one. The group is so diversified that you cannot directly, counter any company. Substitute products are possible in principle, but this will then also not be for all 3M products at the same time.
𝐅𝐚𝐳𝐢𝐭:
I think it depends a lot on the strategy you take with your portfolio here and since I'm not big on dividends, it's a little hard for me to judge this company. The dividend is stable, high and even increasing regularly and there are also no signs that the dividend might be discontinued or that the trend might change. Even though the share price hasn't looked so great lately, the share itself, seen in the overall chart, is making a nice annual return, even without a dividend. But whether this will continue, of course, we do not know.
For those who are more focused on growth, the stock is probably only of limited use. It is a nice stock to get some stability into the portfolio.
𝐙𝐮𝐫 𝐑𝐞𝐜𝐡𝐞𝐫𝐜𝐡𝐞:
https://m.aktiencheck.de/3m-aktie/
https://www.alleaktien.de/quantitativ/aktie/US88579Y1010/851745/MMM/3M-Aktie
https://www.google.com/finance/quote/MMM:ETR?sa=X&ved=2ahUKEwjE79rZ9vT1AhXFQvEDHVmCB40Q3ecFegQIChAe
https://www.deraktionaer.de/aktien/kurse/3m-us88579y1010.html
