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.)