3M

CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: In line with CFRA’s expectations, MMM announced a dividend cut along with first quarter results, now targeting a payout of around 40% of adjusted free cash flow – in line with industrial peers. We viewed MMM’s $1.26 quarterly dividend as unsustainable following the spin-off of Solventum amid litigation settlements and outstanding lawsuits. Pre-market share movement is positive, indicating that Q1 results and the announced dividend reset are being well received. MMM posts Q1 EPS of $2.39 (+21% Y/Y), $0.28 above consensus. Sales were flat Y/Y, with negative impacts from muted consumer spending offset by strength in automotive and electronic markets. Adjusted operating margins jumped 400 bps higher during the quarter, with traction on spending discipline, sourcing actions, and restructuring efforts aiding profitability across MMM’s three operating segments. […]

Citigroup analyst Andrew Kaplowitz maintains 3M with a Neutral and raises the price target from $95.31 to $98.

3M’s (MMM) successful spinoff of healthcare business Solventum resulted in modest updates to its model, RBC Capital Markets said in a note Monday. The company raised its Q1 earnings per share guidance last month to $2.05-$2.20 from $2.00-$2.15. The increase in the company’s EPS estimate is due to the interest income on the $7.7 billion financing ahead of the Solventum spinoff, according to the note. The firm said it is also adding back $150 million to $175 million of annual stranded costs into the updated model along with income and costs associated with Solventum transition service agreements. RBC expects that 3M will hold onto and generate interest on the dividend Solventum paid to the company. The firms said a sum of part valuation of 3M including the unaddressed per- and polyfluoroalkyl substances liability shows a 15% downside to the company’s shares. RBC reduced the price target on 3M’s stock to

Barclays analyst Julian Mitchell maintains 3M with a Overweight and lowers the price target from $126 to $107.

CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: MMM shares are settling lower today following the spin-off of Solventum (SOLV), MMM’s healthcare business. Holders of MMM stock received one share of SOLV for every four shares of MMM held at the close of March 18, 2024. MMM retains 20% ownership of SOLV, which will be monetized over the next five years. Shares are also reacting to today’s news of MMM receiving final court approval of its PFAS settlement with public water suppliers (PWS), totaling $10.3B, payable over 13 years. Payments under the agreement are scheduled to begin in Q3 of 2024. We believe MMM will be better positioned for recovery with a new CEO, a more focused operating model, and reduced litigation overhang. However, we view risks as still being elevated in the near term.

3M (MMM) said Tuesday it has invested in Evoloh, a technology company that’s working to scale up the manufacturing of electrolyzers to make green hydrogen. Separately, Evoloh said it has raised an oversubscribed $20 million Series A round, with participating investors including 3M Ventures and a subsidiary of NextEra Energy Resources.

RBC Capital analyst Deane Dray reiterates 3M (NYSE:MMM) with a Underperform and maintains $84 price target.

Barclays analyst Julian Mitchell upgrades 3M (NYSE:MMM) from Equal-Weight to Overweight and raises the price target from $111 to $126.

Solventum Hosts Inaugural Investor Day Ahead of Its Planned Spinoff from 3M PR Newswire ST. PAUL, Minn., March 19, 2024 – Leadership to highlight opportunity to unlock significant value creation over time – – Solventum to introduce full-year 2024 guidance – ST. PAUL, Minn., March 19, 2024 /PRNewswire/ — Solventum will host its inaugural Investor Day today in New York City ahead of its planned spinoff from 3M (NYSE: MMM). The Company is anticipated to spin off from 3M on April 1, 2024, and has been approved for listing on the New York Stock Exchange as “SOLV.” During today’s event, Solventum chief executive officer Bryan Hanson and chief financial officer Wayde McMillan will share how the Company plans to create significant value for shareholders over time, including: — Building on a solid foundation of durable and diversified businesses and capitalizing on strong market positions in its large and growing markets.

3M’s Solventum Sees 2024 Organic Revenue Flat to Down 2%。

3M’s Solventum Sees 2024 Adjusted EPS $6.10-$6.40。

By Will Feuer 3M’s soon-to-be-spun-off healthcare division is hosting its inaugural investor day and warning that organic revenue could fall this year. The healthcare business, called Solventum and set to spin off next month, is guiding for revenue to be flat to down 2% this year. The business is targeting annual adjusted earnings of $6.10 a share to $6.40 a share. Chief Executive Bryan Hanson and Chief Financial Officer Wayde McMillan will share their post-spin plans for the company. Once the April 1 spinoff is complete, Solventum is expected to trade on the New York Stock Exchange under the ticker SOLV. The new company will include 3M’s products in markets such as wound care, health care information technology and biopharma filtration. The spinoff, first announced in 2022, will separate 3M’s relatively faster-growing business in health care from its other lagging segments, such as industrial and consumer products. Write to Will