Equity Snap: 3M Company (MMM US): 2Q26 beat and raise on self help and cyclical recovery

Research evidence excerpt

Equity Snap: 3M Company (MMM US): 2Q26 beat and raise on self help and cyclical recovery

21 July 2026

Equity Snap: 3M Company (MMM Equities Industrial Conglomerates

US)

2Q26 beat and raise on self help and cyclical recovery United States

◆ Commercial excellence momentum and cyclical recovery Wesley Brooks, CFA

drive acceleration in organic growth and earnings beat Senior Analyst, Industrials and Autos HSBC Securities (USA) Inc.

wesley.brooks@us.hsbc.com

◆ Guidance raised; implies upward revisions to consensus and +1 212 525 0337

implied 8% y-o-y EPS growth in 2H, below 2Q's c15% growth Laisha Zaack*

Analyst, Industrials and Autos

HSBC Mexico, S.A., Institucion de Banca Multiple, Grupo

Financiero HSBC

3M Company (MMM US, USD159.11, Buy, TP USD185.00) laisha.zaack@hsbc.com.mx

(Priced as of 20 Jul 2026) +52 55 8551 3796

The numbers: Revenues grew 5.6% y-o-y to USD6.5bn and were 1.4% above * Employed by a non-US affiliate of HSBC Securities (USA) Inc, and is

consensus an 1.1% above our estimate. Operating income grew 7.2% y-o-y to not registered/ qualified pursuant to FINRA regulations

USD1,615m and beat consensus by 2.6% but was 0.5% below our estimate, with

operating margins expanding c40bps y-o-y to 24.8% (vs consensus at 24.6%). EPS

grew 14.6% y-o-y to USD2.40 and beat consensus by 6.6% and our estimate by

3.7% due to the stronger operating results and an 4% lower share count.

Strong organic growth acceleration: Organic sales grew 5.4% y-o-y (vs our

estimate of 2.2% and consensus at 3.2%), a big acceleration q-o-q compared to 1Q

growth of 1.2%, due to an impressive performance in Safety and Industrial at +8.2%

(vs consensus +5.2%) on commercial excellence/innovation and cyclical recovery,

with Transportation and Electronics at +5.9% (vs consensus +2.3%) due to strength