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Shares of industrial conglomerate 3M Co (MMM) rose 1% on Wednesday morning after the company announced a massive cash return to shareholders and provided a glimpse into its 2026 and 2027 outlook.
3M said it would return at least $10 billion in cash to shareholders over 2027.
For 2026 and 2027, the company expects its organic sales growth to outperform macro while anticipating a high single-digit earnings per share (EPS) growth annually.
The company said that by 2027, it would record an operating margin of approximately 25%.
CEO William Brown said, in prepared remarks, that the company is reiterating its 2025 guidance, and its medium-term outlook provides a clear path to reinvigorate top-line growth and drive operational performance.
“I am confident that our new performance-based culture and 3M eXcellence operating system allow us to capitalize on opportunities to deliver value for customers and shareholders,” he said.
During 3M’s fourth-quarter earnings announcement, the company projected a 2025 adjusted total sales growth of 0.5% to 1.5%, reflecting adjusted organic sales growth of 2% to 3%.
The company expects adjusted EPS in the range of $7.60 to $7.90, while adjusted operating cash flow is anticipated at $5.2 billion to $5.3 billion, contributing to approximately 100% adjusted free cash flow conversion.
The company is hosting its 2025 Investor Day on Wednesday in St. Paul, Minnesota.
Meanwhile, on Stocktwits, retail sentiment climbed into the ‘bullish’ territory (58/100) from ‘neutral’ a day ago.
3M shares have gained over 14% this year and over 92% over the past year.
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