3M (NYSE:MMM) and Fundamental Global (NASDAQ:FGF) Financial Analysis

3M (NYSE:MMM) and Fundamental Global (NASDAQ:FGF) are both multi-sector conglomerates companies, but which is the better business? We will compare the two companies based on the strength of their profitability, institutional ownership, valuation, risk, analyst recommendations, earnings and dividends.

Earnings and Valuation

This table compares 3M and Fundamental Global”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
3M	$24.58 billion	3.37	$4.17 billion	$7.19	21.60
Fundamental Global	$13.26 million	0.56	-$1.15 million	$1.31	4.45

3M has higher revenue and earnings than Fundamental Global. Fundamental Global is trading at a lower price-to-earnings ratio than 3M, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares 3M and Fundamental Global’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
3M	16.01%	96.48%	10.62%
Fundamental Global	N/A	-30.02%	-14.24%

Analyst Recommendations

This is a breakdown of recent recommendations for 3M and Fundamental Global, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
3M	1	2	9	0	2.67
Fundamental Global	0	0	0	0	0.00

3M presently has a consensus target price of $164.70, suggesting a potential upside of 6.06%. Given 3M’s stronger consensus rating and higher possible upside, equities research analysts plainly believe 3M is more favorable than Fundamental Global.

Insider & Institutional Ownership

65.3% of 3M shares are held by institutional investors. Comparatively, 3.1% of Fundamental Global shares are held by institutional investors. 0.5% of 3M shares are held by company insiders. Comparatively, 34.4% of Fundamental Global shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Risk & Volatility

3M has a beta of 1.05, meaning that its share price is 5% more volatile than the S&P 500. Comparatively, Fundamental Global has a beta of 0.93, meaning that its share price is 7% less volatile than the S&P 500.

Summary

3M beats Fundamental Global on 13 of the 14 factors compared between the two stocks.

About 3M

3M Company provides diversified technology services in the United States and internationally. The company’s Safety and Industrial segment offers industrial abrasives and finishing for metalworking applications; autobody repair solutions; closure systems for personal hygiene products, masking, and packaging materials; electrical products and materials for construction and maintenance, power distribution, and electrical original equipment manufacturers; structural adhesives and tapes; respiratory, hearing, eye, and fall protection solutions; and natural and color-coated mineral granules for shingles. Its Transportation and Electronics segment provides ceramic solutions; attachment/bonding products, films, sound, and temperature management for transportation vehicles; premium large format graphic films for advertising and fleet signage; light management films and electronics assembly solutions; packaging and interconnection solutions; semiconductor production materials; data centers solutions; and reflective signage for highway, and vehicle safety. The company’s Consumer segment provides consumer bandages, braces, supports, and consumer respirators; home cleaning products; retail abrasives, paint accessories, car care DIY products, picture hanging, and consumer air quality solutions; and stationery products. It offers its products through e-commerce and traditional wholesalers, retailers, jobbers, distributors, and dealers. 3M Company was founded in 1902 and is headquartered in Saint Paul, Minnesota.

About Fundamental Global

Fundamental Global Inc. engages in reinsurance, merchant banking, and asset management business. The company offers initial public offering services. It also offers specialty property and casualty reinsurance services. In addition, the company provides investment advisory services. The company was formerly known as Ballantyne Strong, Inc. and changed its name to FG Group Holdings Inc. in December 2022. Fundamental Global Inc. was founded in 1932 and is based in Mooresville, North Carolina.