Shares of 3M Co. (MMM) fell 1.44% in afternoon trading Friday, putting them on track for a 10-year closing low, as the maker of Scotch adhesives, Command hooks, N95 masks and Post-it Notes, continues to feel the weight of a slowing economy. The stock has slid 5.2% amid a four-day losing streak, which would be the longest since the four-day stretch that ended November 3rd.
The losing streak started the day Home Depot Inc. (HD) said it sees the home-improvement market declining if consumer demand continues to shift toward services from goods. 3M’s stock, which was headed for the lowest close since May 2, 2013, has dropped 16.3% over the past three months, while Home Depot shares have shed 7.7% and the Dow Jones Industrial Average (DJIA) has lost 4.2%.
The economic slowdown has been felt across the nation, and 3M has not been immune. The company saw its revenue fall 7% in the first quarter, with the majority of the decline coming from its consumer segment. The company has also seen its sales in the industrial and safety segments decline as well.
The impact of the slowdown has been felt across the entire consumer goods sector, with many companies seeing their sales drop. 3M’s stock has been particularly hard hit, with the stock down more than 40% from its peak in February.
The company has been attempting to mitigate the impact of the slowdown by cutting costs and streamlining operations. It has also been investing in new technologies and products to try to position itself to take advantage of any potential upturn in the economy.
3M has also been attempting to diversify its offerings, with the company recently announcing the launch of a new line of medical products. The company is hoping that the new products will help it to offset some of the losses it has seen in its other segments.
Despite the losses, 3M is still a strong company and has a long history of success. The company has been able to weather economic downturns in the past and is confident that it will be able to do so again.
3M’s stock may have taken a hit in recent months, but the company is still well-positioned for the future. The company has a strong balance sheet, a diversified product portfolio, and is investing in new products and technologies. As the economy recovers, 3M should be able to benefit from the upturn and regain some of its recent losses. In the meantime, investors should keep an eye on the company’s performance and look for signs of improvement.
