MMM

3M CO

Healthcare • CIK: 0000066740

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Market Cap
$77.52B
P/E (TTM)
27.8x
Rev Growth (TTM)
+2.1%
Net Margin (TTM)
11.1%
FCF Yield (TTM)
2.7%
FCF Margin (TTM)
8.2%

LATEST EARNINGS

Q1 2026
27 days ago
View source
Revenue
$6.03B
+1.3%
Net Income
$659.00M
EPS
$1.23
-39.7%
Operating
23.2% +2.3%
Net
10.8% -7.9%
  • Adjusted EPS of $2.14, up 14% year-on-year, demonstrating strong performance excluding special items.
  • Adjusted operating income margin of 23.8%, an increase of 30 basis points year-on-year, indicating improved profitability.
  • Reiterated full-year 2026 guidance for adjusted total sales growth of ~4% and adjusted EPS of $8.50 to $8.70.
  • Adjusted free cash flow of $0.5 billion and reiterated full-year adjusted free cash flow conversion of >100%.

Cash Flow Health

Free Cash Flow5/8 positive
TTM$2.1B
Q1 '26
$349M-74%
Q4 '25
$1.3B-13%
FCF Margin
TTM8.2%
Q1 '265.8%-73%
Sector: 0.0%Top 25%
OCF Margin11.8%
OCF/NI1.06x
CapEx Coverage3.3x
FCF Yield2.7%
FCF Growth (2Y)-20%
Cash Conversion Cycle
80 days
DSO: 54+DIO: 93DPO: 67

Capital Allocation & Returns

Shareholder Friendly
Total Shareholder YieldTTM
TTM7.2%
Div Yield2.0%
+
Buyback (TTM)5.1%

Strong capital returns to shareholders

Dividend & Payout Metrics
Dividend Yield (TTM)2.0%
FCF Payout Ratio76.6%
Free Cash Flow (TTM)$2.1B
Stock Repurchases (TTM)$4.0B
Capital Return / FCF269.6%
Est. Dividends Paid (TTM)$1.6B
Shows how management rewards shareholders

Operational Efficiency & Returns

Return on Invested CapitalTTM
16.3%
Stable
-0.0% YoY-2.0%
P25MedianP75
75th pctl (med: -0.0%)
DuPont BreakdownROIC = Margin × Turn × (1+D/E)
NOPAT Margin
14.2%
8Q: 16.8%
Asset Turnover
0.66x
8Q: 0.62x
Leverage (1+D/E)
4.85x
D/E: 3.85x
DuPont: 45.5%16.3% ROIC
Asset & CapEx Efficiency
Fixed Asset Turn
3.46x
8Q:3.39x
+36.5%
Invested Cap Turn
1.15x
8Q:1.16x
+10.3%
CapEx Intensity
4.1%
8Q:4.4%
CapEx/Depreciation
0.67x
Asset-based ROIC formula

QUARTERLY TRENDS

Last 8 quarters + TTM

MetricTTMQ1 2026Q4 2025Q3 2025Q2 2025Q1 2025Q4 2024Q3 2024Q2 2024
Revenue
$25.0B
$6.0B1.7%
$6.1B5.9%
$6.5B2.7%
$6.3B6.6%
$6.0B0.9%
$6.0B4.5%
$6.3B0.6%
$6.3B
Operating Income
$4.8B
$1.4B75.5%
$796.0M45.0%
$1.4B26.9%
$1.1B8.5%
$1.2B14.8%
$1.1B17.6%
$1.3B3.5%
$1.3B
Net Income
$2.8B
$653.0M13.2%
$577.0M30.8%
$834.0M15.4%
$723.0M35.2%
$1.1B53.3%
$728.0M46.9%
$1.4B19.8%
$1.1B
Operating Cash Flow
$3.0B
$574.0M63.7%
$1.6B9.9%
$1.8B284.1%
$-954.0M1107.6%
$-79.0M104.3%
$1.8B201.7%
$-1.8B275.0%
$1.0B
Free Cash Flow
$2.1B
$349.0M73.9%
$1.3B13.2%
$1.5B232.4%
$-1.2B268.9%
$-315.0M120.6%
$1.5B175.1%
$-2.0B370.3%
$752.0M
Total Equity
N/A

Valuation Analysis

Fair Value
Price-to-EarningsTTM
27.8x
Volatile
8Q: 97.9x+8320%
Multiple expansion without fundamental improvement
Valuation Lenses
Earnings
27.8x
vs sector
Cash Flow
41.6x
EV/FCF vs
Growth-Adj
PEG
N/A
Quality-Adj
1.7P/E per %ROIC
ROIC: 16.3%
Shareholder Returns
Dividend
2.0%
Buyback
5.1%
Total Yield
7.2%
Market Cap$77.52B
EV$85.70B
Multi-angle valuation analysis with sector context

Business Quality & Moat

Overall Quality Score
95/100
Exceptional

Composite score: Returns (40%) + Consistency (30%) + Earnings Quality (30%)

Returns on Capital

Return on Equity (ROE)Top 10%
63.8%
8Q:
Return on Invested Capital (ROIC)Top 25%
16.3%
8Q:
-2.0%
vs Sector:-0.0%

DuPont Analysis (ROIC = NOPAT Margin × Asset Turnover)

NOPAT Margin: 14.2%
Asset Turnover: 0.66x

Earnings Quality

Cash Conversion

1.06x

OCF / Net Income

FCF Consistency

Positive quarters

Competitive Moat Indicators

Pricing Power

Gross Margin39.7%

Capital Efficiency

Invested Capital Turnover1.15x

Working Capital

Cash Conversion Cycle80 days

Growth Quality & Momentum

Low Quality
Growth Quality Score
42/100
Growth 40%
Margins 30%
FCF 20%
Consistency 10%

Growth Rates

Revenue Growth YoY
2.1%
OpInc Growth YoY
12.1%
EPS Growth YoY
-34.5%
FCF 3Y CAGR
-20.2%

Growth Quality Analysis

Working Capital Drag: FCF growth lagging revenue by 22.3%
Sustainability Index: 3.0/10 - Growth sustainability concerns

Margin Quality & Sustainability

Low Quality
Profitability Cascade
Gross
39.7%
Operating
19.1%
Top 25% in sector
Net
11.1%
Margins Unknown
Earnings Quality Signals
SBC / Revenue
FCF vs Net Gap
-2.9 pts
FCF: 8.2% | Net: 11.1%

Quality = stability + cash conversion + low dilution

Balance Sheet & Solvency

Leveraged
Net Debt / EBITDA
Net Debt: $8.83B
Interest Coverage
Leverage Metrics
Debt-to-Equity
3.85x
Balance sheet risk & solvency analysis