3M announces dividend for 2Q18
On May 8, 3M (MMM) announced its dividend for 2Q18. 3M’s board has declared a dividend of $1.36 per share—an increase of 15.7% on a YoY (year-over-year) basis. In 2Q17, 3M paid a dividend of $1.18 per share. To be eligible for the dividend, investors should hold the stock as of May 18. 3M intends to pay the dividend on June 12.
At the end of 1Q18, 3M has outstanding shares of 593.7 million. Assuming that 3M doesn’t buy back any shares until the record date, 3M’s total dividend amount would be ~$807.4 million. In 2Q17, 3M paid $701 million in dividends.
In another development, 3M announced leadership changes. Mojdeh Poul was appointed as the executive vice president for 3M’s Safety and Graphics Business group. She will replace Frank Little.
3M’s stock price update
3M stock remained positive with gains of 2.9% and closed at $205.16 for the week ending May 11. After the 1Q18 earnings, 3M stock has been on a downward trend. As a result, 3M is trading 10.1% below its 100-day moving average price of $228.3, which indicates prevailing weakness in the stock. The trend is expected to continue. On a year-to-date basis, 3M stock has declined 12.8%. 3M’s 14-day relative strength index of 46 indicates that the stock isn’t overbought or oversold.
Investors can gain broad-based exposure to 3M by investing in the SPDR Dow Jones Industrial Average ETF (DIA). DIA has invested 5.8% of its portfolio in 3M as of May 11.