Should Mike and Monish take a bow for growing shareholder value?
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I didn't know or care about GE until Jimmy Mac come aboard to "save" 3M in December 2000. After his reign of error, I've learned to despise everything that GE represents and how 3M allowed itself to follow in the footsteps of GE into the mire. So sad to see what was a beautiful 20th century company become not a has-been but rather a another Kodak.
GE did NOT beat estimates. Another attempt to hide the facts.
Headline repeated throughout the finance community, with slight emendations depending upon the news source:
“GE Third-Quarter Profit Misses Estimates By Wide Margin”
Adjusted Earnings Per Share Miss $0.35 $0.47
“General Electric Co. (GE), the once-dominant industrial company that's been selling units in recent years to stay afloat, posted third-quarter earnings well below analysts' estimates as a six-fold increase in losses in its renewable energy business offset growth in aviation.”
to Post ID: @svu+1joNSXsN
That's going to happen if, and only if, with all new leadership
yawn Can the alleged rainmakers get it back up above $250 stat so I can recoup all my losses on their watch?
Mcnerney definitely and permanently corrupted the culture at 3M. Forced ranking and management by fear were staples. As a retired former supervisor, I can tell you that even when we dropped the 5 to 1 ranking system, everyone was still expected to have a ranking system, though stealth. You were expected to use your secret list when ask to cough up bodies for the next layoff.
Glad I've left this mess behind. Can't see this company ever bouncing back.
Regarding the post from @1wbf+1joNSXsN regarding Jack Welch. Am respectfully suggesting this person read “The Man Who Broke Capitalism” by David Gelles. It came out last May. The secondary titles says a lot: “How Jack Welch gutted the heartland and crushed the souls of corporate America - and how to undo his legacy.” IMO, Welch acolytes of McNerney, Nardelli, and Immelt did their own damage replicating the DNA from his playbook. Just look at their tenures at Home Depot, Chrysler, GE and 3M. Lasting damage done.
Both 3M and GE beat wall street earnings estimates.
Proof Jack Welch playbook works!
And under extremely adverse headwinds: start of WWIII, Covid, supply chain snarls, strong dollar, work from home, obesity epedemic.
What is Shareholder Value? Shareholder value is the financial worth owners of a business receive for owning shares in the company. An increase in shareholder value is created when a company earns a return on invested capital (ROIC) that is greater than its weighted average cost of capital (WACC).
QUESTION: Given the historic 48-year decline in the closing price of MMM, how did 3M achieve “Shareholder Value?”
Perhaps if they learned to bend the knee to God they would not have bow to the dollar.
Take a bow for what ? Taking share price from 107 to 122.
What about taking it down from 185 in Jan 2022 to 122 now. What about performing well below S&P index for the past 4 years ???
I don't see how this stock will ever recover. Going to even 150 plus will need a miracle.
The problem with these written blogs is that it’s tough to know if this post is sarcasm. A year ago the stock was trading above 180. Five years ago when Roman became CEO the stock was over 268. It closed today at 122. Not seeing much shareholder value unless you bought when it was at its lowest (107) a month ago..
I take back all the bad things I said about 3M.
Wow, impressed!
Post ID: @svu+1joNSXsN
Wrong!
3M earnings were outstanding. 3M will win in court and override Casey Rodgers. Stock will be back to 150. Buy now or weep later. What a star company in these dark times.
https://www.thelayoff.com/post/@khj+1jlTC27F, please let me know who these mystic people are,, i have shares to sell