Seeking Alpha Premium Dividend Score. The International Air Transport Association (IATA) now expects the coronavirus to cause the global air transport's 2020 revenue to fall between $63 billion and $113 billion, or … Himax Technologies (HIMX) suspended its dividend. In fact, about 33% of 3M’s sales are from products launched in just the past five years. Electronics & Energy: insulation, splicing and interconnection devices, touch screens, renewable energy components, infrastructure protection equipment. Going forward, 3M believes that its excellent mix of fast-growing industries, emerging markets, and higher margins should allow it to grow its EPS and free cash flow per share at 8% to 11%, an impressive and industry-leading pace. We expect dividend growth to With this in mind, MMM’s dividend appears Safe … 3M Company (MMM) Updated October 27th, 2020 by Nathan Parsh Disclosure: This analyst has a long position in the security discussed in this research report. Hexcel Corporation (HXL) suspended its dividend. Ethan Allen Interiors (ETH) suspended its dividend. Strattec Security Corporation (STRT) suspended its dividend. 3M Company (MMM) Dividend summary: yield, payout, growth, announce date, ex-dividend date, payout date. A score of 50 is average, 75 or higher is excellent, and 25 or lower is weak. Scores are available for almost 1,000 stocks and can help you generate safer income. Ready Capital Corporation (RC) cut its dividend by 37.5%. Redwood Trust (RWT) cut its dividend by 61%. Diversified Royalty Corp. (BEVFF) reduced its dividend by 15%. Alliance Data Systems Corporation (ADS) cut its dividend by 67%. EnLink Midstream (ENLC) cut its dividend by 50%. However, in 2018 there are two potential catalysts that could cause the dollar to appreciate and create stronger growth headwinds for multi-national companies than is currently expected. Scores range from 0 to 100 with scores of 50 being average, scores of 25 or lower considered weak, and scores of 75 or higher considered excellent. Sales growth is great, but at the end of the day, dividends are paid out of cash flow. 3M Company (MMM) Updated April 28th, 2020 by Nathan Parsh Disclosure: This analyst has a long position in the security discussed in this research report. Consumer Products: post-it notes, tape, sponges, construction & home improvement products, indexing systems, and adhesives. To determine the safety of the dividend different types of a Dividend Safety Score exist. PBF Energy Inc (PBF) suspended its dividend. Lamar Advertising Company (REIT) (LAMR) cut its dividend by 50%. The goal was to streamline the company’s businesses and organization to maximize efficiency and cut costs wherever possible. International Game Technology PLC (IGT) suspended its dividend. 3M’s China business is its fastest-growing unit, with 23% sales growth in Q3 of 2017 and 10% to 15% projected revenue growth in 2018. Molson Coors Beverage Company (TAP) suspended its dividend. CNH Industrial N.V. (CNHI) suspended its dividend. Rollins (ROL) cut its dividend by 33%. But do so in a highly disciplined, increasingly profitable, and very shareholder -friendly way. Natural Resource Partners L.P. (NRP) suspended its dividend. In other words, 3M appears to be overvalued relative to its historical norms. Dividend Safety Scores range from 0 to 100, and conservative dividend investors should stick with firms that score at least 60. Harvest Capital Credit Corporation (HCAP) suspended its dividend. Dividend stocks “safety” can also be measured based on above-average market capitalizations and liquidity, balance-sheet strength (per their Altman Z-score). Specifically 3M has been investing heavily in recent years in efficiency improvement, including more advanced quality control testing procedures based on automation, wireless internet sensing, and data analytics. Wendy's Company (WEN) cut its dividend by 50%. Capitala Finance Corp. (CPTA) suspended its dividend. All in all, 3M’s management team has proven it has the ability to constantly adapt to a rapidly changing world. There are three key factors to good capital allocation. Dividend Safety Scores range from 0 to 100. SM Energy Company (SM) slashed its dividend by 80%. DICK'S Sporting Goods (DKS) suspended its dividend. Domtar Corporation (UFS) suspended its dividend. The company raised its dividend 2% for the 3/12/2020 payment. Orange S.A. (ORAN) reduced its dividend by 29%. As seen below, MMM has maintained EPS and FCF payout ratios between 30-40% over the past decade, suggesting there is plenty of cushion to continue paying and growing the dividend, even in the event of an unexpected decline in the business. With this in mind, MMM’s dividend appears very safe with an extremely unlikely risk of being cut. Scores range from 0 to 100. Chico's FAS (CHS) suspended its dividend. Unique Fabricating (UFAB) suspended its dividend. WestRock Company (WRK) cut its dividend by 57%. Kingstone Companies (KINS) cut its dividend by 37%. Privacy Policy |
For example, 3M is investing heavily into products that serve the needs of the rapidly evolving automotive industry. Independence Realty Trust (IRT) cut its dividend by 33%. This rating is reserved for companies with strong balance sheets and/or excellent dividend histories. BG Staffing (BGSF) slashed its dividend by 83%. Tenaris S.A. (TS) suspended its dividend. Last updated on 12/31/2020. The currencies of such countries can be volatile relative to the dollar, which means that should the dollar appreciate in value, local sales and profits will translate into fewer dollars for accounting and dividend payment purposes. Wynn Resorts (WYNN) suspended its dividend. The bottom line is that 3M’s relatively stable earnings and cash flow, low payout ratios, and industry-leading balance sheet allow the company to continue investing in disciplined growth while still providing one of Wall Street’s safest and steadiest growing dividends. You own part of a company, thus both profiting and suffering from any success and failure of the company by either capital gains or losses and dividend increases or cuts. de C.V. (PAC) suspended its dividend. ArcelorMittal (MT) suspended its dividend. Nam Tai Property (NTP) suspended its dividend. Evolution Petroleum Corporation (EPM) slashed its dividend by 75%. Plains All American Pipeline (PAA) cut its dividend by 50%. In addition, with interest rates potentially rising, 3M’s borrowing costs are likely to rise over time as it refinances older bonds and continues to gradually take on new debt each year (about $2 billion expected in 2018). In addition, 3M is rapidly gaining market share in data center cooling systems, which is an industry that is expected to grow strongly for decades. Extended Stay America (STAY) slashed its dividend by 96%. taken on debt) over the last few years in order to acquire slightly larger companies than it has in the past. Management also set a goal to improve the company’s economies of scale, via its global supply chain, to minimize its costs of raw materials. (TV) suspended its dividend. This is due to two major factors. The dividend payout ratio is a safe 54%. Rocky Mountain Chocolate Factory (RMCF) suspended its dividend. This shows that 3M is dedicated to growing organically, rather than risking overpaying for big splashy deals to increase the top line at the risk of lowering overall profitability. Next, the company’s impressively stable and growing EPS and FCF per share mean that management is able to steadily grow the payout while still maintaining modest and very safe payout ratios. The company has grown its dividend for the last 26 consecutive years and is increasing its dividend by an average of 4.18% each year. A score of 50 is average, 75 or higher is excellent, and 25 or lower is weak. Second, rising US interest rates will likely make the US a more attractive investing location relative to other economies where interest rates remain far lower and aren’t likely to rise as quickly. Braemar Hotels & Resorts (BHR) suspended its dividend. Abercrombie & Fitch Co. (ANF) suspended its dividend. Industrial: tape, sealants, abrasives, ceramics, and adhesives for automotive, electronic, energy, food, and construction companies. Urstadt Biddle Properties (UBP) slashed its dividend by 75%. Obviously investors in 3M need to keep in mind that all industrial stocks will experience cyclical sales growth or declines over time. Ralph Lauren Corporation (RL) suspended its dividend. Quality Score: Dividend Safety Score: Investment Grade: Today's 5Yr RAER: MMM: 12 (Ultra SWAN) 5 (very safe) A+: 6.21%: Goal: Scores: Scale: Interpretation: Valuation: 4: Good Buy But if you want risk you can definitely go for less grand total and other companies giving higher pay outs, T, F, IRM, WPG, LOAN, etc but these companies really are no going to guarantee by the time you make a passive living that they are worth the same amount. Hallador Energy Company (HNRG) suspended its dividend. Investcorp Credit Management BDC (ICMB) cut its dividend by 40%. Foresight Energy LP (FELPQ) suspended its dividend. Kohl's Corporation (KSS) suspended its dividend. This is why the company enjoys such a strong investment grade credit rating that allows it to borrow at an average interest rate of just 1.9%. Ruth's Hospitality Group (RUTH) suspended its dividend. Since tracking the data, companies cutting their dividends had an average Dividend Safety Score below 20 at the time of their dividend reduction announcements. Chimera Investment Corporation (CIM) cut its dividend by 40%. The company is constantly improving its existing product range and introducing new ones. Minnesota Mining and Manufacturing, or 3M, was founded in 1902 in St. Paul, Minnesota. Dean Foods Company (DFODQ) suspended its dividend. Unfortunately, 3M’s superior business quality and strong growth prospects appear to be priced in and then some. 3M excels here as well, with industry-leading margins and returns on capital. This is due to two major factors. The Smart Dividend Safety Score shows early warning signs of a dividend cut, before it happens. After nearly tripling its quarterly distribution in July 2018, just three months later, The financially distressed shopping center REIT. Source: Morningstar, FastGraphs, CSImarketing. In fact, the compamny has retrained 77,000 employees and completed 110,000 efficiency improvement programs since 2001, resulting in $17 billion in cost savings. Grupo Aeroportuario del Centro Norte, S.A.B. We aim to set the bar for transparency in this industry. Saratoga Investment Corp. (SAR) suspended its dividend. This is a testament to the company’s ability to continue innovating and adapting in order to maintain such a strong long-term earnings and dividend growth rate. Kimco Realty Corporation (KIM) suspended its dividend. Exclusive to Simply Safe Dividends, Dividend Safety Scores were created by our founder, Brian Bollinger, who is a CPA and former partner at a multi-billion dollar investment firm. Six Flags Entertainment Corporation (SIX) suspended its dividend. New Senior Investment Group (SNR) cut its dividend by 50%. Welltower (WELL) reduced its dividend by 30%. That creates the risk that 3M may end up overpaying for new acquisitions in the future. BSD and Quadrix scores are percentile rankings, with 100 the highest score. A score of 50 is average, 75 or higher is excellent, and 25 or lower is weak. Dynex Capital (DX) reduced its dividend by 13%. The Altman Z Score Formula in short: Altman Z score of greater than 2.99 means that the entity being measured is safe from bankruptcy (“Safe-Zone”). Noble Energy (NBL) slashed its dividend by 83%. Copyright Notice |
Holly Energy Partners (HEP) cut its dividend by 48%. Solar Senior Capital Ltd. (SUNS) reduced its dividend by 17%. A score of 50 is average, 75 or higher is excellent, and 25 or lower is weak. Cantel Medical Corp. (CMD) suspended its dividend. However, there are exceptions to the 60% payout ratio rule. Southern Copper Corporation (SCCO) cut its dividend by 50%. Here's what we wrote about Shell's dividend in a March 11 note: Methanex Corporation (MEOH) slashed its dividend by 90%. de C.V. (OMAB) suspended its dividend. Brinker International (EAT) suspended its dividend. More importantly, 3M has a good track record of meeting or even exceeding its long-term growth goals, which bodes well for the future of its dividend growth. Western Midstream Partners (WES) cut its dividend by 50%. The company has five main business segments. Anworth Mortgage Asset Corporation (ANH) cut its dividend by 44%. Schlumberger Limited (SLB) slashed its dividend by 75%. A grade indicates an extremely low probability of a dividend cut. Kewaunee Scientific Corporation (KEQU) suspended its dividend. Marcus Corporation (MCS) suspended its dividend. Bed Bath & Beyond (BBBY) suspended its dividend. Cato Corporation (CATO) suspended its dividend. Flexsteel Industries (FLXS) slashed its dividend by 77%. For a company of 3M’s size, and one in a capital intensive industry, 3M’s net debt position of about $8 billion is remarkably small. Marriott Vacations Worldwide Corporation (VAC) suspended its dividend. Banco Latinoamericano de Comercio Exterior (BLX) cut its dividend by 35%. Dividend History for 3M Co. (MMM) Ticker | Expand Research on MMM. Washington Prime Group (WPG) suspended its dividend. This is why its industrial segment has historically grown at 1.5x the rate of the global manufacturing components industry. It’s also much higher than the stock’s historical median of 16.7. Western Asset Mortgage Capital Corporation (WMC) suspended its dividend. economic conditions. The industrial components industry has a lot of factors that might make it seem unattractive for dividend investors. As you can see below, 3M has increased its dividend by 8% annually over the past 20 years. We wrote a detailed analysis reviewing how Dividend Safety Scores are calculated, what their real-time track record has been, and how to use them for your portfolio here. This means that the components it makes represent a small fraction of the total cost of goods, and because of their industry-leading reliability and performance characteristics, industrial customers are less likely to switch to competing products. Halliburton Company (HAL) slashed its dividend by 75%. Weingarten Realty Investors (WRI) cut its dividend by 55%. Given that 3M believes it can achieve 8% to 11% long-term EPS and FCF per share growth, this seems like a realistic long-term expectation for annual dividend growth. Finally, 3M benefits from selling many specialized, mission critical, but still relatively low cost products to industrial customers. 3M has a Dividend Safety Score of 94, meaning its dividend is extremely safe and dependable. ProAssurance Corporation (PRA) slashed its dividend by 84%. This industrial powerhouse has made countless investors amazingly wealthy over the years (12.9% total returns vs 9.1% for the S&P 500 over the last 22 years) thanks to its disciplined and steady growth strategy, which includes 59 straight years of dividend increases at a double-digit annualized rate. For example, by 2020 analysts expect that fully 50% of sales will come from emerging markets such as China. GasLog Ltd. (GLOG) cut its dividend by 67%. Golub Capital BDC (GBDC) reduced its dividend by 12%. Dividend Safety Grade: B. This too could increase demand for dollars and thus create a reversal of the positive currency trend we saw in 2017. Manhattan Bridge Capital (LOAN) reduced its dividend by 10%. Blue Capital Reinsurance Holdings Ltd. (BCRHF) suspended its dividend. This means that profitability is very important for a dividend growth stock. Exantas Capital Corp. (XAN) suspended its dividend. Despite sporting a payout ratio below 30% and growing its quarterly revenue. Dividend aristocrats and dividend kings often make excellent long-term income growth investments. Harley-Davidson (HOG) slashed its dividend by 95%. Dividend Safety Scores range from 0 to 100. Payout ratio calculation and chart. Outfront Media (OUT) suspended its dividend. Expedia Group (EXPE) suspended its dividend. First, despite the negative effects of the oil crash in the last two years, 3M’s dividend remains very well covered by both earnings and free cash flow, as seen by its low payout ratios. Healthcare: Infection preventions supplies, drug delivery systems, food safety products, healthcare data systems, dental and orthotic products. Date You can learn more about how Dividend Safety … Price: 174.79 | Annualized Dividend: $5.88 | Dividend Yield: 3.4% Ex-Div. For example, 3M’s forward P/E ratio of 24.5 is not only much greater than the S&P 500’s lofty 18.4, but also above the industry median of 23.1. Annaly Capital Management (NLY) reduced its dividend by 12%. Alliance Resource Partners (ARLP) suspended its dividend. Columbia Sportswear Company (COLM) suspended its dividend. Finally, 3M has a very strong balance sheet, meaning modest amounts of very manageable debt. In 2017, optimism about the recovery in the global industrial sector caused 3M to rise 38% and outperform the red hot S&P 500 by 15%. Ternium S.A. (TX) suspended its dividend. Dividend Safety Scores cut through the noise to assess how likely a company is to put its dividend on the chopping block. 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