Why is 3M India Ltd. ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 23.19%
- Healthy long term growth as Operating profit has grown by an annual rate 27.90%
- The company is Net-Debt Free
2
Flat results in Jun 26
- OPERATING PROFIT TO NET SALES(Q) Lowest at 16.73%
3
With ROE of 32, it has a Expensive valuation with a 21.8 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 15.95%, its profits have risen by 14% ; the PEG ratio of the company is 4.9
4
Majority shareholders : Promoters
5
Market Beating Performance
- Even though the market (BSE500) has generated negative returns of -2.96% in the last 1 year, the stock has been able to generate 15.95% returns
How much should you hold?
- Overall Portfolio exposure to 3M India should be less than 10%
- Overall Portfolio exposure to Diversified should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Diversified)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is 3M India for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
3M India
15.95%
0.50
31.60%
Sensex
-9.4%
-0.70
13.49%
Quality key factors
Factor
Value
Sales Growth (5y)
13.77%
EBIT Growth (5y)
27.90%
EBIT to Interest (avg)
84.43
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.37
Sales to Capital Employed (avg)
1.96
Tax Ratio
39.62%
Dividend Payout Ratio
126.60%
Pledged Shares
0
Institutional Holding
11.66%
ROCE (avg)
54.19%
ROE (avg)
23.19%
Valuation Key Factors 
Factor
Value
P/E Ratio
63
Industry P/E
74
Price to Book Value
21.76
EV to EBIT
41.20
EV to EBITDA
38.51
EV to Capital Employed
33.77
EV to Sales
7.11
PEG Ratio
4.87
Dividend Yield
1.48%
ROCE (Latest)
82.41%
ROE (Latest)
32.01%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Bullish
Technical Movement
5What is working for the Company
PAT(Latest six months)
At Rs 362.04 cr has Grown at 45.36%
NET SALES(Q)
Highest at Rs 1,423.21 cr
EPS(Q)
Highest at Rs 206.81
-5What is not working for the Company
OPERATING PROFIT TO NET SALES(Q)
Lowest at 16.73%
Loading Valuation Snapshot...
Here's what is working for 3M India
Profit After Tax (PAT) - Latest six months
At Rs 362.04 cr has Grown at 45.36%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 1,423.21 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 206.81
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for 3M India
Operating Profit Margin - Quarterly
Lowest at 16.73% and Fallen
each quarter in the last five quartersMOJO Watch
Company's efficiency has deteriorated
Operating Profit to Sales






