I took a position in MMM yesterday at $74 a share and here is why.
- They got hammered this week (on an earnings miss).
- Have a history of innovation.
- Have a historically low multiple 15X last years earnings.
- 60% of their revenues are now outside of North America.
- Projected earnings growth of 10% annually.
- 2.5% dividend yield that increases yearly (paid since 1916).
- Diversified product offerings.
The only real negatives I can see in this name are the possible slowdown of the US economy.
(Disclaimer: I’m not your boss or your spouse so do you own research and make your opinions on when to buy or sell. Nothing I say should be bastardized or construed in any way to be advice.)
skip to main |
skip to sidebar
Subscribe:
Blog Archive
-
▼
2007
(161)
-
▼
February
(16)
- The Sky is Falling!
- Keeping Up With the Jones - A Middle Class Rant II
- Questrade
- Bought a Global Fund
- Mutual Funds
- On Vacation
- Saving Money - A Middle Class Rant I
- SP 500
- MMM Update
- Dividends & Taxes
- Diversification II
- US Dollar - MMM & GE
- MMM vs GE
- Large Cash Position
- MMM
- Retirement Nest Egg Feb 1 - 2007
-
▼
February
(16)
Learn about Finance
& Economics
degrees from Walden
University, Capella
University, and Baker
College |
Sponsors
instant check cash advance from the company that participate in the program offered by Better Business Bureau.Apply for quick cash advance from a leading payday lending company.
Now there is new and most secure way for global money transfer . Make an online transfer to friends and family using visa prepaid card.
Now there is new and most secure way for global money transfer . Make an online transfer to friends and family using visa prepaid card.
Resources & Tools
Search
Email Me:
Blogs I Read
- 2million
- Canadian Capitalist
- Canadian Dream Free at 45
- Canadian Financial Stuff
- Dividends 4 Life
- Ellen Roseman
- Financial Jungle
- Four Pillars
- Larry MacDonald
- Million Dollar Journey
- The Dividend Guy Blog
- The Financial Blogger
- The Money Gardener
- Thicken my Wallet
- Triaging my Way to Financial Success
- Wall Street Fighter
Middle Class Millionaire
3 comments:
I'd like to find a beaten down stock, in a really beaten down sector, that will be a winner 3-5 years from now.
Think American Airlines (AMR) in 2003 -- it was trading at just a coupe dollars per share. Today it's at $37.
I think MMM is fine for slow stable growth, but I'd like to find one or two potential barn burners (like the airlines four years ago).
Ya so would I (and probably every other investor on earth). Are there any sectors in particular that you’re looking at?
In my opinion most sectors in Canada are either overvalued or fairly valued, with the exception of the forestry industry (although it has had some significant gains over the last couple of weeks). I believe that there is currently more value in the US however, the only sector that seems to be undervalued is pharmaceuticals.
Interesting
Post a Comment