Ahead of 3M Earnings, Here's What Barchart Data Says Comes Next for MMM Stock

3M (MMM) shares have inched higher in recent sessions, but the options market believes the rally could hit a pause after the company’s earnings on Oct. 20. Consensus is for the industrial giant to report $2.41 in earnings per share (EPS) for its fiscal third quarter, which would represent about 10% growth on a year-over-year basis. 

Heading into the quarterly release, 3M stock is hovering around the same price at which it started this year. 

Where Options Data Suggests 3M Stock Is Headed

Options traders are betting increasingly on put contracts expiring Oct. 23 ahead of 3M’s fiscal Q3 earnings. The latest data from Barchart shows the put-to-call ratio set at 2.76x as of this writing; a reading above 1.00x is typically interpreted as bearish.  

The lower price on those options contracts sits at about $156 currently, indicating potential for a decline of more than 5% in 3M shares through the end of this week. 

That said, the company currently pays a healthy dividend yield of 1.89%, which makes it attractive for income-focused investors heading into 2027. 

Why the Options Sentiment Is Dovish for 3M Shares

One plausible explanation for the defensive positioning is concern that 3M’s earnings growth could mask lingering weaknesses across its businesses. 

In Q2, consumer organic sales fell 2.1%, while tariffs, growth investments, and costs associated with existing PFAS manufacturing weighed on margins in both Consumer and Transportation and Electronics. 

These pressures could leave investors sensitive to any disappointing commentary on profitability or demand heading into 2027. Even an earnings beat might struggle to lift MMM shares if management’s outlook fails to reassure. 

Still, elevated put activity can reflect shareholders hedging existing positions, so the ratio alone cannot establish traders’ motives or prove they expect a post-earnings selloff.

What’s the Consensus Rating on 3M?

Wall Street analysts do not, however, agree with the options market sentiment on 3M stock heading into the company’s fiscal Q3 earnings. 

According to Barchart, the consensus rating on 3M sits at “Moderate Buy,” with the mean price target of about $189 indicating potential upside of more than 15% from current levels. 

On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.