Jim Cramer Discusses TikTok Ban, President Trump & These 6 Stocks

3. 3M Company (NYSE:MMM)

Number of Hedge Fund Holders In Q3 2024: 82

3M Company (NYSE:MMM) is one of the largest industrial and consumer products providers in America. The firm makes and sells products like home cleaning items, bonding products, and abrasives. 3M Company (NYSE:MMM)’s shares are up by 13% year-to-date as the firm’s efforts to reduce costs yielded results in its fourth quarter when operating expenses fell by 44% annually. The firm also guided 2025 sales growth to range between 2% to 3%, which was substantially higher than analysts’ expectations of 1.6%. Cramer commented on 3M Company (NYSE:MMM)’s latest earnings and current valuation:

“[On earnings] Electric. Electric. And Bill Browns there, he used to be at L3 Harris, he’s a guy who really kind of takes no [inaudible] he really gets it right. The thing that I was just shocked at, adjusted gross margins up two hundred and eighty basis points. Sales were terrific. Organic growth 1.2, but the guidance is for two to three percent. Lots of free cash flow. Could do seven sixty to seven ninety. So suddenly the stock is being back to a growth stock.”

“Yes! It used to be a great growth stock. It could be back, could be back. And one of these [inaudible] that’s not important anymore David, groundwater.”

“Right, PFAS. PFAS is not really a factor in what we’re looking at. The restructuring is almost complete, completed. I don’t know, free cash flow $4.9 billion, this is a buy. Even here, it’s a buy. This is a new company. It’s very much like the old growth company. I think analysts are going to clamor to upgrade because they’re no longer worried about groundwater. And they see a path that is faster than it was.”

“Remember they spun-off Solventum. I wish they hadn’t cause I really liked that healthcare business.”