Nomura Securities Maintains a 'Reduce' on 3M (MMM); Organic Growth Guidance Reduced
Tweet Send to a FriendGet Alerts MMM Hot Sheet
Price: $110.27 -0.13%
Rating Summary:
3 Buy, 8 Hold, 1 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 11 | Down: 18 | New: 13
Rating Summary:
3 Buy, 8 Hold, 1 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 11 | Down: 18 | New: 13
Trade MMM Now!
Nomura Securities maintains a 'Reduce' on 3M (NYSE: MMM) price target of $88.00.
Analyst, Shannon O'Callaghan, said, "3M’s core volumes were flat in 2Q12, but margins were up 130 bps y/y driven by price/raws (+160 bps) and FX (+30 bps). Organic volume growth was 0%. Core volumes in the U.S. slowed to 0.7% from 3.2% last quarter while EMEA volumes were down 4.6% vs. a 2.6% decline last quarter, partially offset by better Asia-Pac, which was up 0.3% vs. a 3.4% decline last quarter as the comp got easier there. The company is seeing some positive signs for electronics from semi customers. Organic growth guidance reduced to 2-5% (from 2%-6%) including 1% price and 1%-4% volume, requiring a pick up from 1H volume growth of 0%. While margin benefits are supporting EPS near-term, we would like to see a clearer vision for future EPS growth."
For an analyst ratings summary and ratings history on 3M click here. For more ratings news on 3M click here.
Shares of 3M closed at $90.59 yesterday, with a 52 week range of $68.63-$92.00.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
Analyst, Shannon O'Callaghan, said, "3M’s core volumes were flat in 2Q12, but margins were up 130 bps y/y driven by price/raws (+160 bps) and FX (+30 bps). Organic volume growth was 0%. Core volumes in the U.S. slowed to 0.7% from 3.2% last quarter while EMEA volumes were down 4.6% vs. a 2.6% decline last quarter, partially offset by better Asia-Pac, which was up 0.3% vs. a 3.4% decline last quarter as the comp got easier there. The company is seeing some positive signs for electronics from semi customers. Organic growth guidance reduced to 2-5% (from 2%-6%) including 1% price and 1%-4% volume, requiring a pick up from 1H volume growth of 0%. While margin benefits are supporting EPS near-term, we would like to see a clearer vision for future EPS growth."
For an analyst ratings summary and ratings history on 3M click here. For more ratings news on 3M click here.
Shares of 3M closed at $90.59 yesterday, with a 52 week range of $68.63-$92.00.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
You May Also Be Interested In
- Jefferies Bumps Zumiez (ZUMZ) Numbers Up, But Remains on Sidelines
- Hewlett-Packard (HPQ) Q2 Performance Wins Praise on Wall Street; Jefferies Raises to Hold
- Deutsche Bank Resumes CenterPoint Energy (CNP) at Hold
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS ViewRelated Entities
Nomura
Login with Facebook
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
