3M Company (NYSE:MMM)

JohnCLeven (82.79) Submitted: 11/12/2012 10:22:02 PM : Start Price: $87.48 MMM Score: +5.96

MMM is like a coiled spring. For the past 8 years, the stock price has remained stagnant, while the intrinsic value keeps growing and growing. Like clockwork, MMM's return on invested capital comes in consistently around 20% while its weighted cost of capital comes in around 6%. This spread of about 14% per yr represents the companies intrinsic value growth rate. DCF shows MMM to be worth $130, $100ish with a margin of safety. MMM's price will eventually have to catch up to the fundamentals. Outperform.