3M’s short interest
As of August 15, the latest short interest data indicate that 3M’s (MMM) short interest has remained range bound. The short interest has shown signs of a downward trend in the past three reports. According to the latest report, 3M’s short interest was at 1.16% of the outstanding shares.
The decline in the short interest indicated that there are fewer negative sentiments on the stock. All of the negatives have been considered. The stock has fallen from the all-time high of $258. 3M reported better-than-expected earnings in the second quarter after it met analysts’ expectations in the first quarter and provided a milder outlook. Positive business developments like the new business wins will likely push the upcoming earnings growth.
Short interest ratio
In terms of the number of shares, 3M’s short interest is ~6.84 million shares. The company’s average trading volume is ~2.25 million shares. As a result, 3M’s short interest ratio is ~3.04x. The ratio indicates that it would require three days to cover all of the short positions in 3M. Below are the short interest ratios for 3M’s peers:
- Honeywell’s (HON) short interest is ~5.7 million, while the average number of shares traded is 2.6 million. The short interest ratio is ~2.2x, which indicates that it will take two days to cover the short positions.
- General Electric’s (GE) short interest is 121.5 million. The average number of shares traded is 60.9 million, which indicates that it will take two days to cover the short positions.
- Caterpillar’s (CAT) short interest ratio stands at 2.8x, which means it will take three days to cover the short positions.
Investors could hold 3M indirectly by investing in the iShares MSCI USA ESG Select ETF (SUSA). SUSA invests 3.7% of its portfolio in 3M as of August 30.