On Monday, analysts at Morgan Stanley raised the price target on diversified technology company 3M Co (MMM).

The analysts maintain an “Overweight” rating on MMM and see shares reaching $113, up from the previous target of $111. This new valuation suggests a 6% to Friday’s closing price of $106.40.

Morgan Stanley analyst Nigel Coe said, “Although we trim estimates to reflect sharp USD appreciation (especially vs. Yen), we bump up our PT from $111 to $113 as we continue to synchronize our target multiple with 3M’s strong underlying DCF valuation. We believe 3M remains one of the most attractive plays on short cycle re-acceleration. … [V]aluation remains supportive at 15.5x 2013e EPS – largely in line with the group, but we believe that MMM should command a premium given its more stable and consistent earnings structure and significant balance sheet optionality.”

3M shares were down 72 cents, or -0.68%, during morning trading on Monday. The stock is up +18.07% over the past year.

The Bottom Line
Shares of 3M (MMM) have a dividend yield of 2.40% based on Monday’s intraday trading price of $105.68 and the company’s annualized dividend payout of $2.54 per share.

3M Co (MMM) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.