3M’s new initiative
On May 21, 3M (MMM) took a new initiative and announced the formation of the Sustainability and Product Stewardship Organization. The new organization will be led by Dr. Gayle Schuller, the vice president and chief sustainability officer of 3M’s research and development. The new initiative will be effective on June 1.
One of the new initiative’s major responsibilities will be to reduce the product’s environmental impact at all of the stages of the product lifecycle. Dr. John Banovetz, the senior vice president of 3M’s research and development and the chief technology officer, said, “This new organization reflects the importance of our corporate sustainability function and will enable synergies across multiple product stewardship and environmental functions.”
3M’s stock price update
3M stock remained flat and closed at $199.03 for the week ending May 25. Since the first-quarter earnings, 3M stock has been on a downward trend. As a result, 3M is traded 11.5% below its 100-day moving average price of $224.77, which indicates prevailing weakness in the stock. On a year-to-date basis, 3M stock has declined 15.5%. Honeywell (HON) and General Electric (GE) have declined 1.8% and 16.2%, respectively, while Deere (DE) has gained 1.6%.
Investors can gain broad-based exposure to 3M by investing in the SPDR Dow Jones Industrial Average ETF (DIA). DIA gained 0.1% for the week. DIA has invested 5.5% of its portfolio in 3M as of May 25.