3M Co (MMM): Today's Featured Conglomerates Winner

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

3M ( MMM) pushed the Conglomerates sector higher today making it today's featured conglomerates winner. The sector as a whole closed the day up 1.3%. By the end of trading, 3M rose $1.35 (1.0%) to $133.50 on average volume. Throughout the day, 2,394,094 shares of 3M exchanged hands as compared to its average daily volume of 2,415,900 shares. The stock ranged in a price between $131.94-$133.65 after having opened the day at $132.63 as compared to the previous trading day's close of $132.15. Other companies within the Conglomerates sector that increased today were: AcelRx Pharmaceuticals ( ACRX), up 5.8%, Pingtan Marine Enterprise ( PME), up 5.1%, Harbinger Group ( HRG), up 4.1% and Global Eagle Entertainment ( ENT), up 2.6%.

3M Company operates as a diversified technology company worldwide. 3M has a market cap of $88.4 billion and is part of the conglomerates industry. The company has a P/E ratio of 20.2, above the S&P 500 P/E ratio of 17.7. Shares are up 42.3% year to date as of the close of trading on Tuesday. Currently there are 6 analysts that rate 3M a buy, 1 analyst rates it a sell, and 5 rate it a hold.

TheStreet Ratings rates 3M as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, expanding profit margins and solid stock price performance. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

On the negative front, SAExploration Holdings ( SAEX), down 3.2% and MGT Capital Investments ( MGT), down 1.9%.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the conglomerates sector could consider SPDR Trust Series 1 ( SPY) while those bearish on the conglomerates sector could consider ProShares Short S&P 500 ( SH).

3x UPSIDE POTENTIAL: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
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