3 Red Flags for 3M

A portion of this video is sponsored by The Motley Fool.

[SandJyoutube]

Maybe 30% of the materials we use in my bodyshop are 3M. In our industry, they are thought of the source for products that can be relied on to get the job done. There are dozens of new innovations over the last 20 years that have improved our production. Nothing the general public will need. I am long, but not heavily. I expect some volatility over the next couple of years with the pending lawsuits and might pick up some more shares along the way. I believe when the legal mess has a clear resolution 3M will find some legs. In the meantime, I'll count on them keeping the 64 year streak of increased dividends going.

[NewarkDevil]

The SP is also very low with a high 6% dividend.

Agree it is not in great shape and there is always risk, however this makes it an interesting buying opportunity to me. The company is too diverse to pinpoint any standout errors, but we all know litigation costs have lots to do with it. Investors need to take risks, it is easy to buy stocks that are mature with great PE, but this iconic company probably won't go away and has large comeback potential. Aquisitions alone are worth keeping my toes in the water. 

Everything in moderation.

[nmikloiche]

3M has introduced new innovative products over the last 10 to 15 years, but these have not been the traditional direct to consumer products that are known the world over. While 3M hasn’t built the next great Post-It Note, they have built great things that you will never see. There is 3M tech inside your vehicles, your phones and electronics, aircraft & boats, at the healthcare facility, and on and on. But that does not discount the analysis done by our host. I think he makes some very valid points.

[leeparnell]

Culling 10% of your workforce when things get a little tight never ends well in the long term . They need to invest in their people and stop thinking short term. Invest for the future not he next quarter