3M Is ‘Resetting’ Its Dividend. Why Its Stock Is Soaring.

3M’s quarterly earnings topped Wall Street estimates—a positive—but what the company said about its dividend should get most of the attention. Results included numbers for the recently spun off 3M healthcare business, Solventum That spin was completed on April 1. “We’re resetting the dividend post-spin,” 3M CEO Mike Roman told Barron’s. The company will target about 40% of its free cash flow as annual dividends.