3M Stock Price (MMM) Makes 52 Week High Into Earnings – What To Expect

3M's stock price (NYSE: MMM) heads into this morning's earnings fresh off new 52-week high's of $159.47, a level not seen in almost 5 years.

Over the past year, MMM has delivered strongly, with gains of 52% significantly outperforming the broader S&P 500, with markets expectant. Revenue is expected to come in at $6.05billion, a 3% decline on the same period last year, with earnings profitability improving. The street expects EPS to come in at $2.01, a significant improvement on the $1.93 Y/Y.

Recent news events provide crucial context.

In April, 3M lowered its full-year profit forecast, attributing the decision to escalating trade tensions between the United States and China. With China accounting for roughly 10% of 3M’s global revenue, retaliatory tariffs were projected to shave $0.20 to $0.40 off the company’s per-share earnings.

Simultaneously, the company's Indian subsidiary reported a 59% drop in profit for the quarter ending March 31, marking the third consecutive quarter of decline, primarily due to rising operating expenses. These factors contribute to the earlier pullback, reminding investors that 3M is not immune to global economic pressures.

Looking to the street, and Barclays recently increased their price target on MMM to $170 from $164, remaining Overweight the stock. The firm is expecting most to beat/raise here.

Wells Fargo also raised to $170 at the beginning of the month with an Overweight rating, expecting guidance to be reiterated in the upcoming print.

3M is a company undergoing significant transformation, facing both opportunities and challenges. While its recent performance has been impressive, those with longer memories would say to consider any headwinds and uncertainties before making any sudden moves.