This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

3M Affirms Long-Term Sales And Earnings Growth Objectives, Addresses 2014 Outlook

Stocks in this article: MMM

At a meeting with institutional investors and analysts today, 3M will provide an update to its five-year plan and introduce its 2014 outlook.

3M Chairman, President and CEO Inge G. Thulin will discuss the strength of 3M’s business model, driven by three key strategic levers: active portfolio management, investing in innovation, and business transformation. These levers, combined with more aggressive capital deployment, will drive enhanced value creation.

Thulin will outline 3M’s 2013-17 financial objectives:

  • 9 to 11 percent growth in earnings per share
  • 4 to 6 percent organic revenue growth
  • Approximately 20 percent return on invested capital
  • Approximately 100 percent free cash flow conversion

Senior Vice President and Chief Financial Officer David Meline will describe how 3M is managing toward an enhanced capital structure strategy and increased capital deployment. 3M expects to further leverage its balance sheet to both grow the company and to increase returns to shareholders.

The company will continue to invest in capital expenditures and research and development to support organic growth, which remains paramount to the 3M model. To augment organic growth, 3M plans to invest between $5 billion and $10 billion for acquisitions through 2017. Acquisition investments could exceed this range given the right strategic opportunity, with multi-billion dollar transactions possible.

3M also announced that its board of directors has declared a dividend increase of 35 percent for the first quarter of 2014. Next year marks 56 consecutive years of annual increases, and 3M has paid dividends without interruption for 97 years. In addition, the company expects to spend $17 billion to $22 billion on gross share repurchases for 2013-17 versus a previously expected range of $7.5 billion to $15 billion.

“The strength and diversity of our business model supports more aggressive capital deployment and reflects our confidence in 3M’s future,” Thulin said. “We are building the company for long-term success and are committed to creating sustainable value for our shareholders.”

1 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs