FMP
Jun 7, 2024 4:48 PM - Davit Kirakosyan
3M (NYSE:MMM) shares rose around 2% intra-day today after BofA Securities analysts upgraded the company to Buy from Neutral, increasing their price target to $120 from $105.
The upgrade is based on their belief that the new CEO will successfully refocus the company on growth and operational efficiency. The analysts noted that the timing of the management change is advantageous, as 3M has been dealing with significant litigation issues related to PFAS and Combat Arms, exiting PFAS manufacturing, and spinning off its Healthcare business. Concerns about a potential dividend cut have also been resolved.
With major litigation settlements largely behind the company and reduced uncertainty about remaining lawsuits, the analysts expect investors to shift their attention to 3M's improving operations, potential cyclical leverage, and attractive valuation, even when accounting for future legal liabilities. The new price target of $120.00 is based on a 10x 2025 EV/EBITDA, which is a discount compared to the 16x average for its peer group.
Jan 16, 2024 4:18 PM - Samuel Abdelshahid
In the hustle and bustle of the trading world, having a trustworthy laptop is like having a reliable partner by your side. Making well-informed decisions and staying ahead of market trends become second nature with the right device. However, the quest for a budget-friendly trading laptop t...
Jan 21, 2024 4:00 AM - Parth Sanghvi
Introduction: In the world of financial analysis, a profound grasp of essential profitability metrics is vital. This blog delves into three pivotal metrics—ROE (Return on Equity), ROA (Return on Assets), and Net Profit Margin—offering clear insights without unnecessary complexity. Exploring RO...
May 14, 2024 11:41 AM - Sanzhi Kobzhan
A stock's target price, also known as its fair value, is an indication of what a share can cost based on the company’s forecasted financial statements. It is important to know a stock's fair value to find undervalued stocks with great growth potential. Let's consider how investment analysts calculat...