3M stock is down 15% on Monday: what happened?

Solventum – a healthcare unit that 3M Co (NYSE: MMM) spun off in March will begin trading on the New York Stock Exchange today. Ahead of it, $MMM is down 15% in premarket.

What does it mean for 3M shareholders?

Those invested in 3M are slated to secure a position in Solventum as well on Monday. For every four shares of $MMM, they’ll get one share of Solventum.

But experts seem a bit dovish on the spinoff. Brett Linzey of Mizuho, for example, reiterated his “neutral” rating on 3M stock last week. His $105 price target signals a lack of upside versus its previous close.

The analyst remains dovish on the New York listed manufacturer even though its chief executive previously said “we expect a successful 2024”.

3M shares are trading at a year-to-date low at writing.

What else could be weighing on 3M stock?

3M stock may be responding L. Roy Papp & Associated LLP this morning that recently revealed to have trimmed its stake in the multinational conglomerate by over 24% in Q4. Patriot Financial also cut its position in $MMM by nearly 23% in the fourth quarter.

Insider sentiment on the manufacturing giant is negative as well – considering its executives sold more shares over the past quarter versus a year ago, as per Business Insider.

An even dire warning came from RBC Capital Markets last month that said the Minnesota-headquartered firm could slip further to $84 which suggests down another 6.0% on top of today’s decline.

3M Co is scheduled to report its first-quarter financial results in the final week of April.