3M vs Neogen Which Performs Better?

3M and Neogen are both prominent companies in the industrial and healthcare sectors, with their stocks being of interest to investors. 3M, known for its diverse range of products including adhesives and healthcare solutions, has proven to be a reliable investment option over the years. On the other hand, Neogen specializes in food safety products and animal genomic testing, appealing to those interested in the agricultural and biotechnology industries. Both companies present unique opportunities for investors seeking stability and growth in their portfolios.

3M or Neogen?

When comparing 3M and Neogen, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between 3M and Neogen.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. 3M has a dividend yield of 2.78%, while Neogen has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. 3M reports a 5-year dividend growth of 4.81% year and a payout ratio of 55.40%. On the other hand, Neogen reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with 3M P/E ratio at 16.29 and Neogen's P/E ratio at -111.88. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. 3M P/B ratio is 15.41 while Neogen's P/B ratio is 0.84.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, 3M has seen a 5-year revenue growth of 0.06%, while Neogen's is 0.12%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with 3M's ROE at 96.32% and Neogen's ROE at -0.75%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $128.91 for 3M and $12.00 for Neogen. Over the past year, 3M's prices ranged from $75.65 to $141.34, with a yearly change of 86.83%. Neogen's prices fluctuated between $11.46 and $20.89, with a yearly change of 82.29%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.