MMM Pops on Earnings, Increased N95 Mask Production

MMM beat Wall Street's earnings and revenue estimates

The shares of 3M Co (NYSE:MMM) are up 4.7% to trade at $160.79, after reporting first-quarter earnings of $2.16 per share and revenue of $8.08 billion, both of which are higher than Wall Street's estimates. The blue chip company cited increased demand for its N95 masks during the coronavirus pandemic, though it also suspended its 2020 outlook as other facets of its business struggle. As a result, MMM is one of the best stocks on the Dow Jones Industrial Average (DJI) this morning, set for its fifth consecutive win.

Today's pop brings the stock up 41% off its March 23, six-year low of $114.04. Plus, 3M just toppled its 80-day moving average -- a trendline that has acted as a ceiling on the charts since the stock's late-January bear gap.

The majority of analysts are approaching 3M stock with caution. Of the 11 in coverage, 10 give it a tepid "hold" rating, against one "strong sell." Echoing this this is the consensus 12-month price target of $146.47, which stands at a 7.8% discount to current levels.

In the options pits, MMM sports a 50-day call/put volume ratio of 4.11 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). This ratio sits in the 100th percentile of its annual range, suggesting traders' appetite for long calls hasn't been heavier in the past 12 months.