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3M Co (XSWX:MMM) E10 : CHF6.54 (As of Sep. 2024)


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What is 3M Co E10?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

3M Co's adjusted earnings per share data for the three months ended in Sep. 2024 was CHF2.101. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is CHF6.54 for the trailing ten years ended in Sep. 2024.

During the past 12 months, 3M Co's average E10 Growth Rate was 0.20% per year. During the past 3 years, the average E10 Growth Rate was -0.60% per year. During the past 5 years, the average E10 Growth Rate was 3.50% per year. During the past 10 years, the average E10 Growth Rate was 5.00% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the E10 growth rate using E10 data.

During the past 13 years, the highest 3-Year average E10 Growth Rate of 3M Co was 12.60% per year. The lowest was -0.60% per year. And the median was 6.50% per year.

As of today (2024-12-14), 3M Co's current stock price is CHF112.00. 3M Co's E10 for the quarter that ended in Sep. 2024 was CHF6.54. 3M Co's Shiller PE Ratio of today is 17.13.

During the past 13 years, the highest Shiller PE Ratio of 3M Co was 31.11. The lowest was 8.11. And the median was 18.71.


3M Co E10 Historical Data

The historical data trend for 3M Co's E10 can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

3M Co E10 Chart

3M Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.42 7.21 7.60 9.78 6.59

3M Co Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
E10 Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.39 6.59 6.33 7.31 6.54

Competitive Comparison of 3M Co's E10

For the Conglomerates subindustry, 3M Co's Shiller PE Ratio, along with its competitors' market caps and Shiller PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


3M Co's Shiller PE Ratio Distribution in the Conglomerates Industry

For the Conglomerates industry and Industrials sector, 3M Co's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where 3M Co's Shiller PE Ratio falls into.



3M Co E10 Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. When we calculate the today's Shiller P/E ratio of a stock, we use today's price divided by E10.

What is E10? How do we calculate E10?

E10 is the average of the inflation adjusted earnings of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the E10 of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the earnings from 2001 through 2010.

We adjusted the earnings of 2001 earnings data with the total inflation from 2001 through 2010 to the equivalent earnings in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart earned $1 a share in 2001, then the 2001's equivalent earnings in 2010 is $1.4 a share. If Wal-Mart earns $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 earnings in 2010 is $1.35. So on and so forth, you get the equivalent earnings of past 10 years. Then you add them together and divided the sum by 10 to get E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

For example, 3M Co's adjusted earnings per share data for the three months ended in Sep. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Sep. 2024 (Change)*Current CPI (Sep. 2024)
=2.101/133.0289*133.0289
=2.101

Current CPI (Sep. 2024) = 133.0289.

3M Co Quarterly Data

per share eps CPI Adj_EPS
201412 1.765 99.070 2.370
201503 1.813 99.621 2.421
201506 1.883 100.684 2.488
201509 1.994 100.392 2.642
201512 1.652 99.792 2.202
201603 2.011 100.470 2.663
201606 2.017 101.688 2.639
201609 2.092 101.861 2.732
201612 1.916 101.863 2.502
201703 2.163 102.862 2.797
201706 2.498 103.349 3.215
201709 2.243 104.136 2.865
201712 0.839 104.011 1.073
201803 0.929 105.290 1.174
201806 3.039 106.317 3.803
201809 2.498 106.507 3.120
201812 2.252 105.998 2.826
201903 1.511 107.251 1.874
201906 1.897 108.070 2.335
201909 2.694 108.329 3.308
201912 1.631 108.420 2.001
202003 2.158 108.902 2.636
202006 2.140 108.767 2.617
202009 2.242 109.815 2.716
202012 2.114 109.897 2.559
202103 2.576 111.754 3.066
202106 2.351 114.631 2.728
202109 2.261 115.734 2.599
202112 2.128 117.630 2.407
202203 2.100 121.301 2.303
202206 0.136 125.017 0.145
202209 6.589 125.227 7.000
202212 0.913 125.222 0.970
202303 1.629 127.348 1.702
202306 -11.120 128.729 -11.491
202309 -3.365 129.860 -3.447
202312 1.470 129.419 1.511
202403 1.484 131.776 1.498
202406 1.850 132.554 1.857
202409 2.101 133.029 2.101

Add all the adjusted EPS together and divide 10 will get our e10.


3M Co  (XSWX:MMM) E10 Explanation

If a company grows much fast than inflation, E10 may underestimate the company's earnings power. Shiller PE Ratio can seem to be too high even the actual P/E is low.

For the Shiller P/E, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller P/E is also called PE10.

The Shiller P/E was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

3M Co's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=112.00/6.54
=17.13

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

During the past 13 years, the highest Shiller P/E Ratio of 3M Co was 31.11. The lowest was 8.11. And the median was 18.71.


Be Aware

Shiller PE Ratio works better for cyclical companies. It gives you a better idea on the company's real earnings power.


3M Co E10 Related Terms

Thank you for viewing the detailed overview of 3M Co's E10 provided by GuruFocus.com. Please click on the following links to see related term pages.


3M Co Business Description

Address
3M Center, St. Paul, MN, USA, 55144
3M, a multinational conglomerate founded in 1902, sells tens of thousands of products ranging from sponges to respirators. The firm is well known for its extensive research and development capabilities, and it is a pioneer in inventing new use cases for its proprietary technologies. 3M is organized across three business segments: safety and industrial (representing around 44% of revenue), transportation and electronics (36%), and consumer (20%). The firm recently spun off its healthcare business, now known as Solventum. Nearly half of 3M's revenue comes from outside the Americas.