3M is a low growth company with attractive financial indicators including a consistent and long-standing dividend payment, low price-to-earnings and price-to-free cash flow ratios, high pay-out rates and yield, as well as strong return on invested capital and equity. However, there are concerns about two ongoing litigation cases which may impact the company's financials. The uncertainty surrounding the potential settlements and the lack of trust in the American jury system raise concerns for the speaker as an investor. The speaker also highlights the contrast between European and American legal systems. Overall, the presence of these litigation cases creates a sense of discomfort and uncertainty regarding the company's future.
In this week's episode, we discuss 5 companies in our portfolios that we don't feel comfortable owning going into a recession.
News of the week includes Novo Nordisk Market cap which now exceeds Nestle. And Unilevers Shrinkflation on Ice cream.
Companies mentioned From EMF are HPQ, Danone, BASF,
The companies mentioned by EDGI are Omega HealthCare and 3M.
Reference Material -
chowder rule Archives - European Dividend Growth Investor (europeandgi.com)