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3M Co (MMM) Stock by the Numbers

Thursday, January 06, 2022 02:20 PM | InvestorsObserver Analysts

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3M Co (MMM) Stock by the Numbers

3M Co (MMM) receives a strong valuation score of 63 from InvestorsObserver analysis. Our proprietary scoring system considers the overall health of the company by looking at the stock's price, earnings, and growth rate to determine if it represents a good value. MMM holds a better value than 63% of stocks at its current price. Investors who are focused on long-term growth through buy-and-hold investing will find the Valuation Rank especially relevant when allocating their assets.

Valuation Rank - 63
MMM gets a 63 Valuation Rank today. Find out what this means to you and get the rest of the rankings on MMM!

Metrics Analysis

MMM has a trailing twelve month Price to Earnings (PE) ratio of 17.8 which places it around the histroical average of roughly 15. MMM is currently trading at a average value due to investors paying around what the stock is worth in relation to its earnings. MMM's trailing-12-month earnings per share (EPS) of 10.11 does justify its share price in the market. Trailing PE ratios do not factor in the company's projected growth rate, thus, some firms will have high PE ratios caused by high growth recruiting more investors even if the underlying company has produced low earnings so far. MMM currently has a 12-month-forward-PE-to-Growth (PEG) ratio of 1.78. The market is currently overvaluing MMM in relation to its projected growth due to the PEG ratio being above the fair market value of 1. MMM's PEG comes from its forward price to earnings ratio being divided by its growth rate. Because PEG ratios include more fundamentals of a company's overall health with additional focus on the future, they are one of the most used valuation metrics by analysts.

Summary

MMM's valuation metrics are weak at its current price due to a overvalued PEG ratio due to strong growth. MMM's PE and PEG are worse than the market average resulting in a below average valuation score. Click Here to get the full Report on 3M Co (MMM) stock.

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