3M: Stock Stabilizing, Remains Undervalued With Strong Free Cash Flow

Summary:

  • 3M has a string of decent quarterly earnings beats and stock price reactions.
  • With a historically high free cash flow yield and lofty dividend, I see earnings trends stabilizing as settlement charges come about.
  • I spot key price levels on the chart to monitor as the January earnings date approaches.

3M tape manufacturing facility. This plant is part of the Industrial, Adhesives and Tape Division IV

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Macro and micro factors have been at play, driving some sharp outperformance and severe underperformance among the diversified Industrials sector of the S&P 500. One of the poorest stocks in that slice of the SPX is 3M Company (


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