Is 3M Stock Going to $107? 1 Wall Street Analyst Thinks So
has been inconsistent in its 3M (NYSE: MMM) stock rating. A few weeks after raising the price target to $126 from $111, a Barclays analyst lowered the firm's price target to $107 but maintained an overweight rating on the stock. The new target implies a nearly 15% upside over the next 12 months from its current price.
This price target is similar to the upgraded target given by a Bank of America analyst, whose target was lowered to $100 from $110. However, BofA maintained a neutral rating. RBC Capital is more pessimistic, with an underperform rating on the stock and an updated target of $78.
These updates come in a busy news period. 3M's healthcare business Solventum is now a separately listed stock, and the company recently received final approval for a $12.5 billion settlement over its production and use of PFAS chemicals. The settlement has a net present value of $10.5 billion with payments of $2.9 billion and $1.8 billion going out in 2024 and 2025. As previously discussed, these cash calls coming at a time of weaker cash flow generation might push management to lower its dividend payout.
Source Fool.com
