MMM vs. ITW
MMM (3M Company) and ITW (Illinois Tool Works Inc.) are both stocks. Both are in the Industrials sector — MMM in Conglomerates, ITW in Specialty Industrial Machinery. Over the past 10 years, MMM returned 4.22%/yr vs 11.44%/yr for ITW. A 0.51 correlation means they provide meaningful diversification when combined.
Performance
MMM vs. ITW - Performance Comparison
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Returns By Period
In the year-to-date period, MMM achieves a -2.97% return, which is significantly lower than ITW's 3.12% return. Over the past 10 years, MMM has underperformed ITW with an annualized return of 4.22%, while ITW has yielded a comparatively higher 11.44% annualized return.
MMM
- 1D
- 0.06%
- 1M
- 7.92%
- YTD
- -2.97%
- 6M
- -5.26%
- 1Y
- 7.72%
- 3Y*
- 26.44%
- 5Y*
- 1.64%
- 10Y*
- 4.22%
ITW
- 1D
- -0.13%
- 1M
- -0.93%
- YTD
- 3.12%
- 6M
- 3.02%
- 1Y
- 4.53%
- 3Y*
- 4.47%
- 5Y*
- 4.08%
- 10Y*
- 11.44%
MMM vs. ITW - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
MMM 3M Company | -2.97% | 26.36% | 46.13% | -3.33% | -29.63% | 4.85% | 2.77% | -4.29% | -16.90% | 34.90% |
ITW Illinois Tool Works Inc. | 3.12% | -0.43% | -0.97% | 21.56% | -8.46% | 23.60% | 16.42% | 45.60% | -22.10% | 38.92% |
Correlation
The correlation between MMM and ITW is 0.57, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.57 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.51 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.59 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.63 |
Correlation (All Time) Calculated using the full available price history since Nov 6, 1987 | 0.51 |
The correlation between MMM and ITW shifts across timeframes, from 0.51 (3 years) to 0.63 (10 years), reflecting how their relationship changes across market environments.
Fundamentals
MMM:
$5.17
ITW:
$14.33
MMM:
29.78
ITW:
17.61
MMM:
3.32
ITW:
3.40
MMM:
$25.02B
ITW:
$16.22B
MMM:
$9.89B
ITW:
$7.16B
MMM:
$5.28B
ITW:
$4.61B
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Return for Risk
MMM vs. ITW — Risk / Return Rank
MMM
ITW
MMM vs. ITW - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for 3M Company (MMM) and Illinois Tool Works Inc. (ITW). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.
| MMM | ITW | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.07 | ||
| Sortino ratioReturn per unit of downside risk | +0.13 | ||
| Omega ratioGain probability vs. loss probability | 1.07 | 1.06 | +0.02 |
| Calmar ratioReturn relative to maximum drawdown | 0.41 | 0.26 | +0.15 |
| Martin ratioReturn relative to average drawdown | 0.92 | 0.59 | +0.33 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| MMM | ITW | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 0.30 | 0.22 | +0.07 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | 0.06 | 0.19 | -0.14 |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | 0.16 | 0.48 | -0.32 |
Sharpe Ratio (All Time)Calculated using the full available price history | 0.34 | 0.51 | -0.17 |
Drawdowns
MMM vs. ITW - Drawdown Comparison
The maximum MMM drawdown since its inception was -59.10%, which is greater than ITW's maximum drawdown of -54.90%. Use the drawdown chart below to compare losses from any high point for MMM and ITW.
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Drawdown Indicators
| MMM | ITW | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -59.10% | -54.90% | -4.20% |
Max Drawdown (1Y)Largest decline over 1 year | -18.77% | -17.44% | -1.33% |
Max Drawdown (3Y)Largest decline over 3 years | -22.87% | -20.63% | -2.24% |
Max Drawdown (5Y)Largest decline over 5 years | -53.41% | -28.05% | -25.36% |
Max Drawdown (10Y)Largest decline over 10 years | -59.10% | -37.85% | -21.25% |
Current DrawdownCurrent decline from peak | -11.04% | -15.22% | +4.18% |
Average DrawdownAverage peak-to-trough decline | -16.11% | -9.83% | -6.28% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 8.41% | 7.75% | +0.66% |
Volatility
MMM vs. ITW - Volatility Comparison
3M Company (MMM) has a higher volatility of 6.60% compared to Illinois Tool Works Inc. (ITW) at 3.43%. This indicates that MMM's price experiences larger fluctuations and is considered to be riskier than ITW based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| MMM | ITW | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 6.60% | 3.43% | +3.17% |
Volatility (6M)Calculated over the trailing 6-month period | 19.32% | 15.75% | +3.57% |
Volatility (1Y)Calculated over the trailing 1-year period | 26.01% | 20.29% | +5.72% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 28.30% | 21.07% | +7.23% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 26.54% | 23.81% | +2.73% |
Dividends
MMM vs. ITW - Dividend Comparison
MMM's dividend yield for the trailing twelve months is around 1.96%, less than ITW's 2.51% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
ITW Illinois Tool Works Inc. | 2.51% | 2.53% | 2.29% | 2.07% | 2.30% | 1.91% | 2.17% | 2.30% | 2.81% | 1.71% | 1.96% | 2.23% |
MMM 3M Company | 1.96% | 1.82% | 16.27% | 5.49% | 4.97% | 3.33% | 3.36% | 3.26% | 2.86% | 2.00% | 2.49% | 2.72% |
Financials
MMM vs. ITW - Financials Comparison
This section allows you to compare key financial metrics between 3M Company and Illinois Tool Works Inc.. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.
Total Revenue: Total amount of money received from sales and other business activities
MMM vs. ITW - Profitability Comparison
MMM - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, 3M Company reported a gross profit of 2.46B and revenue of 6.03B. Therefore, the gross margin over that period was 40.7%.
ITW - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Illinois Tool Works Inc. reported a gross profit of 1.76B and revenue of 4.02B. Therefore, the gross margin over that period was 43.8%.
MMM - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, 3M Company reported an operating income of 1.40B and revenue of 6.03B, resulting in an operating margin of 23.2%.
ITW - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Illinois Tool Works Inc. reported an operating income of 1.02B and revenue of 4.02B, resulting in an operating margin of 25.4%.
MMM - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, 3M Company reported a net income of 653.00M and revenue of 6.03B, resulting in a net margin of 10.8%.
ITW - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Illinois Tool Works Inc. reported a net income of 768.00M and revenue of 4.02B, resulting in a net margin of 19.1%.
Frequently Asked Questions
MMM and ITW have a correlation of 0.57, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
MMM has higher volatility (6.60%) compared to ITW (3.43%). In terms of maximum drawdown, MMM dropped -59.10% vs ITW's -54.90%.
MMM currently has the higher Sharpe Ratio (0.30 vs 0.22), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.
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