Why 3M Shares Are Down This Year
Shares of industrial giant 3M (NYSE: MMM) fell by 16.5% in the first half of 2023, according to data provided by S&P Global Market Intelligence. While the move is bad enough, it's even worse compared to the 15.9% increase in the benchmark S&P 500 index.
When analyzing a company's performance, investors often look into three interconnected buckets (operational, end markets, and administrative) to judge matters. Unfortunately, 3M delivered disappointing news on all three fronts in the first half.
On the operational side (how a company competes in its end markets), 3M opened the year by reporting that it missed its revenue growth estimate in the fourth quarter of 2022. On the earnings call in January, CEO Mike Roman said, "We posted organic growth of 0.4% versus our expectation of 1% to 3%."
Source Fool.com
