3M files lawsuit
On August 20, 3M (MMM) filed a lawsuit against Tovis, a South Korean company, in the District Court of Las Vegas. It has alleged that Tovis’s touch display products used in its gaming machines infringe on US patents 8,179,381, 9,823,786, 8,274,494, and 8,704,799.
Metal mesh has a wide range of applications, including interactive whiteboards, conferencing systems, casino gaming machines, digital signage displays, and fast food self-ordering systems. Earlier, 3M filed a lawsuit against Elo Touch Solutions for a similar patent infringement.
Makoto Ishii, 3M’s vice president and general manager of its Display Materials and Systems Division, said 3M invests substantially in research and development to create innovative products for its customers. Ishii said, “We will defend our intellectual property protecting those investments against unauthorized use and infringement by metal mesh manufacturers, original equipment manufacturers, and others making use of 3M’s intellectual property rights”
3M’s stock performance
3M stock rose 0.3% and closed at $205.29 for the week ended August 24. The stock is now trading marginally above its 100-day moving average of $204.73. On a year-to-date basis, the stock has fallen 12.8%. In comparison, General Electric (GE), Stanley Black & Decker (SWK), and Caterpillar (CAT) have fallen 30.5%, 16.9%, and 12.3%, respectively, year-to-date. 3M’s 14-day relative strength index of 53 indicates that the stock isn’t overbought or oversold.
Investors can hold 3M indirectly by investing in the SPDR Dow Jones Industrial Average ETF (DIA). DIA has invested 5.4% of its portfolio in 3M as of August 24.