It's been a frustrating year for shareholders in 3M Company (NYSE: MMM )
. The company hasn't really done anything wrong, yet the stock has
underperformed the S&P 500 by more than 7% this year, as of this
writing. The relative weakness is somewhat surprising for such a highly
regarded company. Why has the company underperformed, and what can it do
about it from here on?
Source: 3M Company.
Global growth weakening; North America fine
As always in investing, there's no clear picture; however, there are three related reasons that 3M is underperforming. First, the diversified industrial sector has been weak in the market this year. A quick look at 3M's share price performance alongside peers Dover Corp. (NYSE: DOV ) , Illinois Tool Works (NYSE: ITW ) , and Danaher (NYSE: DHR ) shows that the whole sector has found it tough going this year.
READ THE FULL EQUITY RESEARCH ARTICLE LINKED HERE
Source: 3M Company.
Global growth weakening; North America fine
As always in investing, there's no clear picture; however, there are three related reasons that 3M is underperforming. First, the diversified industrial sector has been weak in the market this year. A quick look at 3M's share price performance alongside peers Dover Corp. (NYSE: DOV ) , Illinois Tool Works (NYSE: ITW ) , and Danaher (NYSE: DHR ) shows that the whole sector has found it tough going this year.
READ THE FULL EQUITY RESEARCH ARTICLE LINKED HERE
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