Bernstein upgrades 3M, cites stronger growth and valuation outlook
MMM•Bernstein upgraded 3M to market perform from underperform, citing improved visibility into product innovation and future growth. Its new price target implies 2% upside from the stock’s last close.
1. R&D overhaul cited
Bernstein pointed to a structural overhaul of 3M’s research and development function, saying reduced pressure from R&D challenges supports faster organic growth and a more favorable valuation outlook. The stock was up 4.6% year to date at its last close, compared with a 12.5% gain for the S&P 500.
