3M: Deutsche Bank upgrades to 'buy', targets $150
(CercleFinance.com) - On Monday, Deutsche Bank upgraded 3M shares from 'hold' to 'buy', with a target price raised from $110 to $150.
Since Bill Brown took over as CEO in mid-March, we've been hearing flattering anecdotes about him from former colleagues and investors following his time at L3Harris, the broker says.
We wanted to see for ourselves his priorities and his ability to improve things under his leadership, the analyst explains.
From this point of view, Deutsche Bank is 'very impressed' by the CEO's first speech to Wall Street, and by the attention he paid to 3M's potential for progress, not only in terms of costs but also in terms of growth.
For the professional, 3M is now in a position to quickly return to an adjusted operating margin of around 25%, which could lead investors to take a renewed interest in the stock and help it to perform well after four years of underperformance.
His new TP thus represents 18% upside potential.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.
Since Bill Brown took over as CEO in mid-March, we've been hearing flattering anecdotes about him from former colleagues and investors following his time at L3Harris, the broker says.
We wanted to see for ourselves his priorities and his ability to improve things under his leadership, the analyst explains.
From this point of view, Deutsche Bank is 'very impressed' by the CEO's first speech to Wall Street, and by the attention he paid to 3M's potential for progress, not only in terms of costs but also in terms of growth.
For the professional, 3M is now in a position to quickly return to an adjusted operating margin of around 25%, which could lead investors to take a renewed interest in the stock and help it to perform well after four years of underperformance.
His new TP thus represents 18% upside potential.
Copyright (c) 2024 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.