3M Co. (MMM)

He is very much in favour of industrial stocks. Higher highs and higher lows. It has support at its 50-day moving average. Feb 11 to July 5 is the optimal time to be buying this. We are outside of that time frame, but between the end of August through to the end of the year, this tends to move higher. Technically, it broke out above short-term resistance at about $210, and he has seen retracement. If it can hold that as a level of support, it is expected to go higher.

A fantastic, huge multinational industrial. Operates in a number of specialty industrial areas, as well as some consumer products. A classic, long term growth company, but given the run, you have to be really careful. Wait for some sort of correction.

The chart indicates it is close to breaking through to new high ground. They’ve been paying a dividend for over the past 60 years. If looking for a steady, dividend paying stock, it is a very well diversified company and this would be a good buy. Dividend yield of 2.2%.

One of the highest quality companies globally and one of the largest traded industrials on the exchange. However, the market knows this. Trading at 20X earnings, and is not cheap from a valuation standpoint. Investors are paying up for that quality. Also, he doesn’t care for the industrial space in general, because investors were bidding up too much hope and hype on the Trump infrastructure spending plan.

A very well-managed, diversified, industrial company based out of the US. It is very global. The global economy is starting to improve.

(Market Call Minute.) Good solid price momentum. Very stable stock. High ROE’s.

(Market Call Minute.) A decent holding for a long-term portfolio. They have just been under a lot of price competition and margins have saturated a little bit, because of a lot of FX exposure.

(Market Call Minute) A GDP type of story in the US.

He sees stable dividend growth. This is a very consensus favourite name. However, it tends to be an early cycle favourite. Tends to do very well in the short cycle type of products that give a fair boost to revenues. They have guided to very moderate revenue growth going forward. He would be cautious on this.

XLI-N is the entire industrial space in the US including MMM-N if you want to keep it in US$. If you look at oil prices over the next few years then the CAD$ won’t go above .80 or .90, but you have to weigh this against the return of the stock. ZWA-T is hedged and has the same exposure.

They have been able to execute in all their business lines very well. It has a good strong growth profile. They are strong all over the globe. If you buy it at these levels you will do very well.

The company is a very broad based, very globally exposed industrial company. They are facing some very serious effects headwinds. He likes the company. He likes the management. .He doesn't feel that they are doing a bad job, but it is a tough place to be.

They have been trying to sell off some non-core assets. They were impacted by FX. The company is fine.

20x earnings 2.6%div yield. Incredible company. New products coming out, they are able to grow. Europe may make the stock wobble a bit, but it's a great company so buy if you can. Watch over the next couple of quarters.

It generally reflects the US economy. It is an innovation company, depending on new products. It has not been as innovated as it could have been. It is okay, but not an exciting stock.