Nomura Securities Maintains a 'Reduce' on 3M (MMM); Raising Estimates as Negative Catalysts Gone
Tweet
Share
E-mailGet Alerts MMM Hot Sheet
Price: $178.96 +0.49%
Rating Summary:
15 Buy, 9 Hold, 2 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Rating Summary:
15 Buy, 9 Hold, 2 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Join SI Premium – FREE
Nomura Securities maintains a 'Reduce' on 3M (NYSE: MMM) price target raised to $90.00.
Analyst, Shannon O'Callaghan, said, "M’s cost reduction efforts are working with a big margin beat vs our estimate in the quarter (21.8% vs our 20.4%). Organic volume growth was still weak at 0.1% with a price of 1.7% driving the modest 1.8% organic revenue growth (about in line with our 2% estimate). Guidance increased to $6.35-$6.50 vs the prior $6.25-$6.50. The 1Q margin beat is clearly strong and shows solid cost execution as well as price, although this is offset by the flat volume, which is still tough for 3M’s organic growth driven story. New management sounds open to a more balanced earnings model, which we would welcome, but specifics or commitments are not yet known. We raise our 2012/13 EPS estimates to $6.40/$6.90 and our price target to $90 based on 13x our 2013 EPS estimate."
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 $88.49 yesterday.
Analyst, Shannon O'Callaghan, said, "M’s cost reduction efforts are working with a big margin beat vs our estimate in the quarter (21.8% vs our 20.4%). Organic volume growth was still weak at 0.1% with a price of 1.7% driving the modest 1.8% organic revenue growth (about in line with our 2% estimate). Guidance increased to $6.35-$6.50 vs the prior $6.25-$6.50. The 1Q margin beat is clearly strong and shows solid cost execution as well as price, although this is offset by the flat volume, which is still tough for 3M’s organic growth driven story. New management sounds open to a more balanced earnings model, which we would welcome, but specifics or commitments are not yet known. We raise our 2012/13 EPS estimates to $6.40/$6.90 and our price target to $90 based on 13x our 2013 EPS estimate."
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 $88.49 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Walmart (WMT) PT Lowered to $130 at UBS on Investment Narrative's Competing Dynamics
- Zurn Water Solutions (ZWS) Reiterated at Buy by Stifel on New Product Development Momentum
- Bernstein SocGen on Meta Platforms Inc. (META): 'Risk-reward remains attractive'
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT ChangeRelated Entities
Nomura, EarningsSign 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!
