Head-To-Head Analysis: Jardine Strategic (OTCMKTS:JSHLY) versus 3M (NYSE:MMM)

3M (NYSE:MMM) and Jardine Strategic (OTCMKTS:JSHLY) are both large-cap industrials companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, dividends, profitability, valuation, institutional ownership, earnings and analyst recommendations.

Institutional and Insider Ownership

65.2% of 3M shares are held by institutional investors. Comparatively, 0.0% of Jardine Strategic shares are held by institutional investors. 0.2% of 3M shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Volatility & Risk

3M has a beta of 1.01, suggesting that its share price is 1% more volatile than the S&P 500. Comparatively, Jardine Strategic has a beta of 0.41, suggesting that its share price is 59% less volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
3M	11.90%	115.87%	12.52%
Jardine Strategic	N/A	N/A	N/A

Earnings & Valuation

This table compares 3M and Jardine Strategic”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
3M	$24.95 billion	3.78	$3.25 billion	$5.63	32.44
Jardine Strategic	$40.92 billion	0.89	$2.18 billion	N/A	N/A

3M has higher earnings, but lower revenue than Jardine Strategic.

Analyst Ratings

This is a summary of recent ratings and recommmendations for 3M and Jardine Strategic, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
3M	2	5	8	0	2.40
Jardine Strategic	0	0	0	0	0.00

3M presently has a consensus price target of $177.21, indicating a potential downside of 2.98%. Given 3M’s stronger consensus rating and higher probable upside, equities analysts plainly believe 3M is more favorable than Jardine Strategic.

Dividends

3M pays an annual dividend of $3.12 per share and has a dividend yield of 1.7%. Jardine Strategic pays an annual dividend of $0.05 per share and has a dividend yield of 0.3%. 3M pays out 55.4% of its earnings in the form of a dividend. 3M has increased its dividend for 1 consecutive years. 3M is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Summary

3M beats Jardine Strategic on 13 of the 15 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 Jardine Strategic

Jardine Strategic Holdings Limited, through its subsidiaries, engages in the engineering and construction, transport services, and insurance broking businesses in Greater China, Southeast Asia, the United Kingdom, and internationally. It is also involved in the property investment and development, food retailing, restaurants, hotels, motor vehicles and related activities, financial services, heavy equipment, mining, and agribusinesses. The company invests in, develops, leases, and manages commercial and residential properties. In addition, it operates supermarkets, hypermarkets, convenience stores, health and beauty stores, home furnishings stores, and restaurants; and 33 hotels and seven residences in 23 countries and territories. Further, the company is involved in motor trading, dairy, construction and energy, information technology, cement production, and infrastructure and logistics businesses. The company is based in Hamilton, Bermuda. Jardine Strategic Holdings Limited operates as a subsidiary of Jardine Matheson Holdings Limited.