Does 3M Have Enough Cards Left To Play?
Stephen Simpson, CFA
Stephen Simpson, CFA
Tue, Oct. 11, 10:24 AM
- Alphabet's (GOOG, GOOGL) Verily Life Sciences and 3M (MMM -0.7%) are targeting clinical and financial performance management technology intended to analyze data and provide insightful information revolving around healthcare quality and costs.
- Alphabet: "We have the data analytics and software to understand trends and make predictions across large quantities of data, and we see a clear opportunity to apply this approach to health data for insights that can impact care. Together, with 3M's know-how and deep expertise in parsing and coding clinical data, we imagine a world where providers have precise information to guide focused improvement, and can consistently access objective, actionable feedback to make informed decisions.”
- 3M: "At 3M, we are constantly evaluating how health information technology can help improve the efficiency, quality and cost of delivering care. This collaboration reflects our commitment to continued innovation in health information systems that address real-world problems facing health care today, while protecting the privacy and security of health data.”
- IBM (IBM -0.9%) and Siemens (OTCPK:SIEGY), through a five year arrangement, are looking to aid hospitals, health systems, integrated delivery networks and other providers in bringing value-based care to patients with complex, chronic and expensive conditions.
- IBM: "We are at an unprecedented time in healthcare. Mature and developing markets are increasingly focused on how patient outcomes are optimized, quality is standardized among individuals and across populations, and costs are reduced. Siemens and IBM are ideal partners to work at the forefront of this evolution and enable personalized healthcare in the U.S. and globally."
- Siemens: "Combining our strengths, Siemens Healthineers and IBM can effectively help providers transition to a value-based healthcare environment. We will bring the power of Siemens Healthineers' extensive relationships with providers and our deep domain expertise in clinical workflows, services, and digital health technologies to bear to help bring population health management offerings to healthcare providers. The new alliance fits perfectly into the services business of Siemens Healthineers. Thus we will enter the rapidly growing PHM market which is expected to play a significant role in end-to-end value-based healthcare."
- Alphabet, 3M
- IBM, Siemens
- Last week: Alphabet's Verily Life Sciences adopts automated lab strategies in Zika-prevention effort
Tue, Aug. 23, 4:52 AM
- The CFA Society of Minnesota hosts an under-the-radar conference today and tomorrow with a powerful roster of presenting companies.
- The event was moved to later in the month this year in a development which pushes many of the companies past the quiet period imposed around their earnings releases.
- Notable names in attendance will include Target (NYSE:TGT), Delta Air Lines (NYSE:DAL), Stamps.com (NASDAQ:STMP), General Mills (NYSE:GIS), Piper Jaffray (NYSE:PJC), Spectrum Brands (NYSE:SPB), 3M (NYSE:MMM), and AstraZeneca (NYSE:AZN).
Wed, Aug. 10, 5:50 AM
Tue, Jul. 26, 9:04 AM
- Net income of $1.29B, or $2.08 per diluted share, vs. $1.3B, or $2.02 per diluted share, a year ago.
- Revenue by segment: Industrial -0.1%; Electronics and Energy -10%; Safety and Graphics +4.7%; Health Care +3%; Consumer +1.7%.
- Returned $1.5B to shareholders via dividends and share repurchases.
- The company narrowed its expected EPS range for 2016 to $8.15-$8.30 (vs. $8.10-$8.45 previously) and lowered its organic local-currency sales growth guidance to 0-1% (vs. 1-3%)
- MMM -1.2% premarket
- Q2 results
Tue, Jul. 26, 7:31 AM
Mon, Jul. 25, 5:30 PM
- ABG, ACW, AHGP, AKS, ALLY, AOS, ARLP, ASTE, ATI, AUDC, AVY, AXE, AXTA, BAX, BEAV, BP, BPOP, CAT, CHKP, CIGI, CNC, CNHI, CNX, CPLA, CSL, CTG, CVLT, CYNO, DD, DTE, EEFT, EXAS, FBC, FCH, FCX, FELE, FIS, FMER, GPK, HOT, HUBB, HZO, ICLR, JBLU, JNS, KEY, KKR, LLY, LPT, MAS, MBLY, MCD, MDXG, MMM, NCI, NEO, NLSN, NORD, PCAR, PCH, RAI, RDWR, SAH, SIR, SIRI, ST, TGNA, TNC, TOWR, TROW, UA, USG, UTX, VLO, VZ, WAT, WDR, WWW, XRS
Fri, Jul. 15, 10:18 AM
- BMO technical analyst Russ Visch likes the following stocks:
- MMM: breaks out of 2-yr range, new target $205.
- AYI: successfully tested breakout at $241 level, next target $313.
- CAT: “lots of positive developments” including beginnings of a bearish-to-bullish reversal; rally above $81 would signal uptrend resuming with target of $105.
- EMR: successful retest of recent breakout, rally above $56.75 would open new target of $65.50.
- GE: breaks out of triangle pattern, next target $37, implies nearly 15% gain.
- TYC: has to breakout above $44 resistance, that would open new target of $48.
- UNP: in bearish-to-bullish reversal, new long-term uptrend underway, next target $113, implies 23% gain.
- UPS: to challenge all-time high at $114.40, breakout would be “extremely bullish” with new target $140.
- Also likes: FAST, FLR, JEC, MAS, PH, UTX, VRSK
Mon, Jun. 27, 11:16 AM
- The outperformance of low-P/E stocks that marked H1 is behind us, says RBC's Jonathan Golub, and it's time for the "Stable Growers" to re-asset leadership. He cautions about putting money to work too quickly though, noting the pullback so far has been limited.
- His list of Stable Growers (page 1, page 2): CHD, CL, CVS, K, MO, PEP, PG, PM, BCR, BDX, DGX, DVA, HSIC, JNJ, LH, MDT, SYK, TMO, UNH, ZBH, AFL, AON, MMC, TMK, CTAS, DHR, HON, ITW, LMT, MMM, NLSN, RSG, RTN, UPS, VRSK, WM, XYL, CMCSA, MCD, OMC, ADP, APH, EMC, MA, T, VZ, ECL, PX
Wed, May 18, 9:08 AM
Tue, May 17, 10:37 AM
- Dentists from Georgia and Texas have filed a proposed class-action lawsuit against 3M (MMM -0.3%) in Minnesota federal court, claiming the company's dental crowns contain defects that cause them to de-bond inside patients' mouths.
- "This suit involves hundreds of thousands of 3M Lava Ultimate restorations performed in dental practices throughout the country," said Burns Charest lead partner Warren Burns.
- Plaintiffs claim the crowns fail at rates of 50% or more, and can cost more than $1,000 per replacement.
Tue, May 10, 5:36 PM
Mon, May 2, 7:56 AM
- April monthly performance was: -0.42%
- $0.06 in dividends were paid in April
- Top 10 Holdings as of 3/31/2016: Coca-Cola Co (KO): 4.27%, Microsoft Corp (MSFT): 3.51%, Altria Group Inc (MO): 3.33%, Apple Inc (AAPL): 3.31%, AbbVie Inc (ABBV): 2.67%, International Business Machines Corp (IBM): 2.38%, McDonald's Corp (MCD): 2.09%, Cisco Systems Inc (CSCO): 1.95%, 3M Co (MMM): 1.84%, Home Depot Inc (HD): 1.81%
Tue, Apr. 26, 7:36 AM
- 3M (NYSE:MMM): Q1 EPS of $2.05 beats by $0.13. Adjusted EPS of $1.95 (excluding $0.10 gains from new FASB accounting standard)
- Revenue of $7.41B (-2.2% Y/Y) beats by $80M.
Mon, Apr. 25, 5:30 PM
- ABG, ABX, AHGP, AIXG, AKS, ALLY, ARLP, ATI, AVX, AXE, BAX, BEAV, BLMN, BP, CNC, CNX, COH, CPLA, CRS, CTG, CYNO, DD, DFRG, DTE, ENTG, ETR, FBC, FCAU, FCH, FCX, FLIR, FLWS, FMER, GLPI, GLW, GPK, HSY, HUBB, HZO, ICLR, IIVI, IR, JBLU, JNS, LLY, LMT, LPT, MAS, MDXG, MHFI, MMM, NCI, ODP, PAG, PCAR, PCH, PG, PH, PNR, POL, R, RAI, SAH, SAVE, SCL, SIR, SPG, ST, SUI, SVU, TEN, TMUS, TRI, TROW, WAB, WAT, WDR, WHR, WYN
Tue, Apr. 12, 9:50 AM
- Jefferies raises 3M's (NYSE:MMM) price target to $187 from $175. Implied upside 12%.
- Analyst Laurence Alexander says favorable short-term indicators could support further upside, but notes that valuations at cycle-highs are starting to look stretched, particularly in light of MMM's modest organic growth forecasts.
- "If normal seasonality prevails from current levels, U.S. auto sales will be running 3-5% below prior year levels in Q416; U.S. corporate profit margins and aggregate profits have eased from peak levels; and U.S. housing permits and the NAHB index have also struggled to establish new highs. Until these trends are resolved positively, shorter-cycle business models like 3M's will likely benefit relative to companies more dependent on sustained improvements in longer-cycle end-markets."
- Laurence is ranked #51 out of 3,857 analysts on TipRanks.
- Now read 3M Should Be Trading At Least At $200 »
Tue, Apr. 5, 9:46 AM
- The increase in debt that ensues as 3M (MMM -0.9%) transitions to a more "optimized" capital structure will weaken the company's leverage and cash flow metrics.
- But the company's track record of innovation and leveraging its technology platforms across all of its business segments will continue to drive earnings growth, said Moody's Investors Service.
- In signs of firm's increasing risk tolerance, 3M plans to add $10-$15B of debt in 2016-20 to help fund $24-$29B of acquisitions and share repurchases.
- Now read 3M Expected To Outperform With Stronger Growth From Its Internal Initiatives