3M PROFIT BEATS ESTIMATES, STOCK SPIKES
3M’s stock is currently trading at 184.79-higher by 2.99% as compared to the previous closing price. In the Premarket trading session, the stock was trading higher by 4.56%. The stock has pared some of its earlier gains after the opening bell.
The company reported a higher-than-expected quarterly profit before the market opened on Thursday. 3M also maintained its full-year outlook as it fought the impact of slowing global growth. The manufacturing conglomerate reiterated that it expects 2019 adjusted earnings in the range of $9.25 to $9.75 per share. 3M also maintained its return on invested capital guidance of 20% to 22%.
The company generated an adjusted EPS (excluding non-recurring items) of $2.20 for the second quarter. The EPS was above the market expectation of $2.05. 3M brought in $8.17 billion in revenue for the quarter ended 30th June. The revenue was above the consensus estimates of $8.05 billion.
The manufacturing conglomerate announced in April that it would lay off 2,000 workers globally. Stocks of 3M have fallen about 6% over the past three months.
On the technical front, the current price is above the MA5. The current price is above the upper band of the Bollinger Bands and is heading upwards. The RSI is currently at 71.64% and suggests that the market can move in the upward direction.
TRADE SUGGESTION- LIMIT BUY AT 184.60 TAKE PROFIT AT 186.60 STOP LOSS AT 183.60