Shares of 3M (MMM) fell about 4% in premarket trading Tuesday after the industrial conglomerate issued a 2026 earnings forecast that narrowly missed Wall Street expectations, highlighting the difficulty of sustaining its turnaround amid uneven economic conditions.
The company said adjusted earnings this year will range from $8.50 to $8.70 a share, with the midpoint slightly below the $8.61 consensus estimate tracked by S&P Global. Adjusted revenue is expected to grow roughly 4%.
The guidance suggests momentum may be moderating for Chief Executive Officer Bill Brown’s overhaul of the company, which has focused on boosting efficiency across its industrial footprint and reinvigorating product development. Those initiatives helped 3M (MMM) exceed analyst forecasts several times in 2025.
For the fourth quarter, 3M (MMM) reported adjusted earnings of $1.83 a share, edging past the $1.80 analysts had projected. Adjusted operating margin came in at 21.1%, just under expectations of 21.3%.
Economic conditions remain the largest variable for the company’s results, according to Bloomberg Intelligence analyst Mustafa Okur, who said the outlook points to steady progress toward medium-term goals but little evidence of a sharper acceleration or major portfolio shifts.
As of about 7:30 a.m. in New York, 3M shares were down roughly 4% ahead of the market open. The stock had risen more than 20% over the past year, outperforming the S&P 500’s roughly 17% gain.
Push toward data centers and nuclear
Brown has been steering 3M (MMM) toward end markets with stronger cyclical growth. The company’s electrical segment has been targeting data center customers, including cables and related accessories, as global investment in AI-driven infrastructure expands. Data center-related activity represents about 3% of total revenue, according to Bank of America analyst Andrew Obin.
Separately, 3M (MMM) is positioning its nuclear-related operations, which support applications such as fuel control and isotope separation, to benefit from new reactor construction as power demand rises.
Brown has also explored strategic options for the conglomerate, including discussions with advisers about potential asset sales within its industrial businesses, Bloomberg reported in October, as part of a broader effort to move away from slower-growing segments.
In addition, the company has been increasing its use of digital tools, including the development of an AI-powered assistant aimed at cutting prototyping costs and accelerating product development.