# How 3M (MMM) compares with the whole market and its popular alternatives

> Source: EasyCompare research, https://easycompare.io/research/mmm
> Data as of October 20, 2026. Total returns include reinvested dividends. Past performance does not predict future results; nothing here is investment advice.

Built by QuantCommons' quantitative engine, this page is about relative opportunity, not data on MMM alone. It places MMM (3M Company) against 19 popular alternatives, its neighboring categories and the entire market of over 10,000 U.S.-listed stocks and ETFs, and surfaces what has done better on consistent outperformance, return for the risk taken, behavior in real market crashes and diversification. The result is a clearer view of where MMM stands in the market, and of the alternatives worth a closer look.

Period covered: MMM's full trading record, from October 1986 through September 2026. All returns include reinvested dividends. Data as of October 20, 2026.

## Key findings

- **Right now:** Its industrial conglomerate peers split over the past 6 months: SWK (Stanley Black & Decker) rose 27.7%, while PH (Parker-Hannifin) fell 4.8%. MMM has outpaced the market, rising 14.3% over the past 6 months against 9.1% for the S&P 500 and 11.2% for the Nasdaq 100.
- **Stock or market?:** MMM held up far better than its industry: it rose 8.2% over the past 3 months while the industrial conglomerates ETF XLI (State Street Industrial Select Sector SPDR ETF) fell 6.1%. The S&P 500 rose 3.9%. Its industrial conglomerate peers did not move as one over the past 3 months: EMR (Emerson Electric) rose 17.9%, while HON (Honeywell International) fell 5.4%.
- **Past 1 to 3 years:** A behind 65% of stocks worth at least $300 million over 10 years, but ahead of 82% of the stocks worth at least $300 million over 3 years. MMM lagged its industrial conglomerate peers in 2023, then moved up the pack in 2025.
- **Long term:** Over the past decade, MMM returned 5.8% a year against 15.5% a year for the S&P 500 (76.0% in total against 321%).
- **In a crash:** The 2022 bear market took 38.4% off MMM, against 24.5% for the S&P 500. That was more than PH (Parker-Hannifin, 27.3%) but less than SWK (Stanley Black & Decker, 60.7%).
- **Diversification:** MMM is some diversification, but not a hedge: a correlation of 0.55 with the S&P 500 over 5 years and 0.56 with the total US market, more closely than 83% of stocks worth at least $300 million. Over 10 years, MMM's beta versus the S&P 500 was 0.99: in the S&P 500's rising months it gained 86% as much as the index, and in falling months it lost 1.4 times as much.
- **Better options**
  - **Popular alternatives:** FAST (Fastenal) and SNA (Snap-on) earned more than MMM with less volatility over the past 5 years. FAST returned 15.8% a year at 24.6% volatility, against 6.5% a year at 28.8%.
  - **Nearby categories and themes:** WAB (Westinghouse Air Brake Technologies, industrial machinery) and DCI (Donaldson, industrial machinery) earned more than MMM with less volatility over the past 5 years. WAB returned 25.6% a year at 26.2% volatility, against 6.5% a year at 28.8%.
  - **Whole market:** 693 of the 3,633 stocks and funds worth at least $500 million earned more than MMM with less volatility over the past 5 years, among them VTI (Vanguard Morningstar Total Stock Market ETF), VOO (Vanguard S&P 500 ETF) and BRK-B (Berkshire Hathaway).

## How much would $10,000 in MMM have grown?

This chart tracks a hypothetical $10,000 investment in MMM over the past 29 years, with dividends reinvested, alongside the same amount in the S&P 500, investments that ended ahead of MMM over the same span and MMM's popular alternatives, among those that traded for the entire period.

- $10,000 invested in MMM at the end of September 1997 would have grown to $104,353 by September 2026, less than the $132,907 it would have become in SPY, an S&P 500 fund.
- All eight other investments on the chart ended ahead of MMM, and PH finished highest, at $505,227.

## MMM at a glance

This section summarizes the key facts about the stock, its returns over periods from one to ten years and the risk it has carried, with dividends reinvested throughout.

- MMM's deepest decline since it began trading in 1986 was 57.4%, from January 2018 to October 2023. It took 21 months from the low to climb back to its old high.
- Over 29 full calendar years, MMM's best was 2013, when it returned 55.2%, and its worst was 2008, when it lost 29.4%. It lost money in ten of those years.
- MMM is 6.3% below its all-time high.

- Type: Stock, Industrials (Conglomerates)
- Trading since: October 17, 1986
- Market value: $88B
- Volatility (5 years): 28.8%; Sharpe ratio: 0.36
- Worst decline ever: −57.4%, from January 26, 2018 to October 23, 2023; back at its high by July 10, 2025

| Period | MMM total return |
| --- | --- |
| 1 month | +3.9% |
| 3 months | +8.2% |
| 6 months | +14.3% |
| year to date | +7.4% |
| 1 year | +12.8% |
| 3 years | +159% |
| 5 years | +37.2% |
| 10 years | +76.0% |

## MMM against the whole market

Where MMM ranks among every stock and fund, and what across the market has done better.

### How does MMM rank among all stocks?

This section ranks MMM on return, volatility, risk-adjusted return and worst decline against every stock worth at least $300 million with enough history.

- MMM's 3-year return ranks in the top 18% of the 3,017 stocks worth at least $300 million with 3 years of history.

| Measure | MMM | Rank |
| --- | --- | --- |
| 1-year return | +12.8% | 1,479 of 3,287 (top 45%) |
| 3-year return | +159% | 550 of 3,017 (top 19%) |
| 5-year return | +37.2% | 1,252 of 2,893 (top 44%) |
| 10-year return | +76.0% | 1,439 of 2,202 (top 66%) |
| Volatility, 5 years | 28.8% | 623 of 2,893 (top 22%) |
| Sharpe ratio, 5 years | 0.36 | 1,355 of 2,893 (top 47%) |
| Worst decline, past 10 years | −57.4% | 774 of 2,187 (top 36%) |

### What has beaten MMM on both return and risk?

Each dot is an investment, placed by how much it earned a year over the past 5 years (higher is better) and how much its price swung, its volatility (further left is calmer).

- 208 stocks and 485 ETFs worth at least $500 million sit in the green region: each earned more than MMM over the past 5 years with smaller price swings. That is 19% of the 3,633 screened.
- Among those with at least half MMM's swings, CAH has the best return for its risk: 42.1% a year at 24.7% volatility, 14% less than MMM's 28.8%, and a Sharpe ratio (return above cash per unit of volatility) of 1.55 against 0.36 for MMM.
- Among MMM's popular alternatives, FAST and SNA are in the region. FAST earned 15.8% a year against 6.5% a year for MMM, at 24.6% volatility, 15% less than MMM's 28.8%.

### Is there a better investment than MMM?

The table below lists investments that beat MMM over the past 5 years on at least one of these measures: a higher annual return with lower volatility, a higher annual return at similar volatility, a similar return with lower volatility, a higher Sharpe ratio with a smaller worst decline, a higher total return in most periods from 3 months to 10 years, or smaller losses in recent market crashes.

- Among MMM's popular alternatives, FAST and SNA earned more than MMM with less volatility over the past 5 years. FAST returned 15.8% a year at 24.6% volatility, against 6.5% a year at 28.8%.
- Looking beyond its popular alternatives, WAB (industrial machinery) and DCI (industrial machinery) earned more than MMM with less volatility over the past 5 years. WAB returned 25.6% a year at 26.2% volatility, against 6.5% a year at 28.8%.
- Across the whole market, 693 of the 3,633 stocks and funds worth at least $500 million earned more than MMM with less volatility over the past 5 years, among them VTI, VOO and BRK-B.

The 15 strongest of 693 investments that beat MMM over the past 5 years, out of 3,633 stocks and funds worth at least $500 million.

| Investment | Group | Annual return (5 years) | Volatility | Sharpe | Worst decline (10 years) | 10Y return | Correlation with MMM | Better on |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| MMM: 3M Company (this page) |  | +6.5% | 28.8% | 0.36 | −57.4% | +76.0% |  |  |
| [CAH](https://easycompare.io/research/cah): Cardinal Health, Inc. | Health Care Distribution | +42.1% | 24.7% | 1.55 | −46.1% | +349% | 0.27 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [ABBV](https://easycompare.io/research/abbv): AbbVie Inc. | Pharmaceuticals | +26.1% | 23.4% | 1.11 | −45.1% | +603% | 0.25 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [V](https://easycompare.io/research/v): Visa Inc. | Payment Processing | +12.8% | 22.9% | 0.64 | −36.4% | +429% | 0.47 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [KO](https://easycompare.io/research/ko): The Coca-Cola Company | Food & Beverages | +14.7% | 16.8% | 0.91 | −37.0% | +204% | 0.51 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [MA](https://easycompare.io/research/ma): Mastercard Incorporated | Payment Processing | +12.4% | 23.8% | 0.61 | −41.0% | +541% | 0.51 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [PM](https://easycompare.io/research/pm): Philip Morris International Inc. | Tobacco | +21.0% | 23.4% | 0.94 | −42.9% | +242% | 0.48 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [CSCO](https://easycompare.io/research/csco): Cisco Systems, Inc. | Communications Equipment | +16.8% | 26.1% | 0.73 | −42.0% | +374% | 0.33 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [MCK](https://easycompare.io/research/mck): McKesson Corporation | Health Care Distribution | +38.7% | 25.0% | 1.44 | −38.1% | +586% | 0.21 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [MRK](https://easycompare.io/research/mrk): Merck & Co., Inc. | Pharmaceuticals | +16.3% | 24.8% | 0.74 | −43.4% | +241% | 0.14 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [AMGN](https://easycompare.io/research/amgn): Amgen Inc. | Biotechnology | +19.6% | 24.9% | 0.85 | −24.9% | +266% | 0.44 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [GILD](https://easycompare.io/research/gild): Gilead Sciences, Inc. | Biotechnology | +22.8% | 24.9% | 0.95 | −30.5% | +200% | 0.35 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [TD](https://easycompare.io/research/td): The Toronto-Dominion Bank | Banks | +15.8% | 20.0% | 0.84 | −42.0% | +310% | 0.51 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [VGT](https://easycompare.io/research/vgt): Vanguard Information Technology ETF | Technology Equity | +18.4% | 26.0% | 0.78 | −35.1% | +779% | 0.33 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [TRV](https://easycompare.io/research/trv): The Travelers Companies, Inc. | Property & Casualty Insurance | +22.4% | 22.3% | 1.02 | −46.3% | +347% | 0.36 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [GWW](https://easycompare.io/research/gww): W.W. Grainger, Inc. | Industrial Distribution | +26.3% | 24.9% | 1.07 | −41.6% | +654% | 0.36 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |

## MMM against its popular alternatives

The investments people most often weigh against MMM, compared period by period and year by year.

### How do MMM's risk and return compare with its alternatives?

This map plots each investment's annual return over the past 5 years against its volatility, the size of its typical price swings.

- Six of the 18 popular alternatives, led by PH, FAST and SNA, were both more rewarding and calmer than MMM over the past 5 years, earning a higher annual return with lower volatility.
- Over the past 5 years, MMM returned 6.5% a year, less than the S&P 500's 12.7%, with higher volatility (28.8% against 17.1%).

### Has MMM consistently beaten its popular alternatives?

This section compares MMM with the investments people most often weigh against it, checking each one over eight periods from one month to ten years.

- Three of the 19 popular alternatives, EMR, NDSN and FAST, outperformed MMM in at least 3 of 5 short-term and 2 of 3 long-term timeframes.
- PH, FAST and ITT earned more for the risk they took than MMM (a higher Sharpe ratio) and fell less in their worst decline of the past 10 years.

| Investment | 1Y return | 3Y return | 5Y return | 10Y return | Periods ahead of MMM | Verdict | Sharpe |
| --- | --- | --- | --- | --- | --- | --- | --- |
| MMM: 3M Company (this page) | +12.8% | +159% | +37.2% | +76.0% |  |  | 0.36 |
| [EMR](https://easycompare.io/research/emr): Emerson Electric Co. | +25.0% | +84.9% | +82.1% | +309% | 4/5 short-term, 2/3 long-term | consistent | 0.57 |
| NDSN: Nordson Corporation | +40.5% | +57.7% | +40.9% | +262% | 4/5 short-term, 2/3 long-term | consistent | 0.40 |
| [FAST](https://easycompare.io/research/fast): Fastenal Company | +22.8% | +92.7% | +108% | +576% | 3/5 short-term, 2/3 long-term | consistent | 0.72 |
| ITT: ITT Inc. | +14.6% | +112% | +121% | +539% | 2/5 short-term, 2/3 long-term |  | 0.68 |
| [PH](https://easycompare.io/research/ph): Parker-Hannifin Corporation | +28.7% | +161% | +235% | +789% | 1/5 short-term, 2/3 long-term |  | 0.99 |
| [ITW](https://easycompare.io/research/itw): Illinois Tool Works Inc. | +11.7% | +32.1% | +38.4% | +208% | 1/5 short-term, 2/3 long-term |  | 0.41 |
| SNA: Snap-on Incorporated | +10.4% | +56.9% | +83.2% | +195% | 0/5 short-term, 2/3 long-term |  | 0.63 |
| IEX: IDEX Corporation | +41.9% | +26.1% | +14.1% | +205% | 3/5 short-term, 1/3 long-term |  | 0.23 |
| AVY: Avery Dennison Corporation | +13.7% | +8.6% | −9.1% | +182% | 3/5 short-term, 1/3 long-term |  | 0.05 |
| DOV: Dover Corporation | +17.9% | +51.3% | +24.2% | +320% | 2/5 short-term, 1/3 long-term |  | 0.30 |
| GGG: Graco Inc. | −0.1% | +20.3% | +18.5% | +263% | 2/5 short-term, 1/3 long-term |  | 0.26 |
| DD: DuPont de Nemours, Inc. | +33.2% | +53.7% | +59.2% | +65.8% | 2/5 short-term, 1/3 long-term |  | 0.46 |
| [SHW](https://easycompare.io/research/shw): The Sherwin-Williams Company | +2.4% | +45.2% | +16.5% | +300% | 1/5 short-term, 1/3 long-term |  | 0.25 |
| [HON](https://easycompare.io/research/hon): Honeywell International Inc. | +6.8% | +27.0% | +7.5% | +160% | 0/5 short-term, 1/3 long-term |  | 0.18 |
| TEX: Terex Corporation | −3.4% | +14.8% | +21.6% | +141% | 0/5 short-term, 1/3 long-term |  | 0.31 |
| SWK: Stanley Black & Decker, Inc. | +42.0% | +36.2% | −39.7% | +2.0% | 4/5 short-term, 0/3 long-term |  | -0.07 |
| SOLV: Solventum Corporation | +18.6% | — | — | — | 4/5 short-term, 0/3 long-term |  | — |
| AOS: A. O. Smith Corporation | −12.8% | −5.4% | −1.8% | +46.1% | 1/5 short-term, 0/3 long-term |  | 0.12 |
| PNR: Pentair plc | −51.0% | −12.3% | −23.3% | +57.3% | 0/5 short-term, 0/3 long-term |  | -0.03 |

### How did MMM do year by year?

This table shows each investment's total return in every full calendar year since 1997, along with where MMM ranked among its popular alternatives each year.

- MMM finished ahead of the S&P 500 in 15 of its 29 full calendar years, and ahead of it in each of the last two.
- Among its popular alternatives, ITT came out ahead of MMM most often, in 18 of the 29 years both traded.
- Ranked against its popular alternatives each year, MMM finished in the top quarter in seven of 29 years and in the bottom quarter in eight. In 2025, it ranked 3 of 20.

| Year | MMM | SPY |
| --- | --- | --- |
| 2025 | +26.4% | +17.7% |
| 2024 | +46.6% | +24.9% |
| 2023 | −2.2% | +26.2% |
| 2022 | −29.1% | −18.2% |
| 2021 | +5.5% | +28.7% |
| 2020 | +3.5% | +18.3% |
| 2019 | −3.7% | +31.2% |
| 2018 | −16.5% | −4.6% |
| 2017 | +35.5% | +21.7% |
| 2016 | +22.4% | +12.0% |

## Risk and diversification

How MMM has fallen, how it held up in crashes beside the S&P 500 and its popular alternatives, and what moves independently of it.

### What were MMM's worst declines?

A drawdown is the decline from a peak to the lowest point before a new high.

- Not every decline was the market's doing: MMM fell 57.4% from January 2018 to October 2023, while the S&P 500 rose 61.6%.
- In three of MMM's four worst declines, the S&P 500 held up better over the same dates.
- The longest climb back to a previous high took 22 months, after MMM fell 37.2% in October 1987.

| Decline | Peak | Low | Back at the high | SPY over the same dates | Market event |
| --- | --- | --- | --- | --- | --- |
| −57.4% | January 26, 2018 | October 23, 2023 | July 10, 2025 | +61.6% | 2022 bear market |
| −54.0% | October 5, 2007 | March 6, 2009 | April 27, 2010 | −54.5% | 2008 financial crisis |
| −37.2% | October 1, 1987 | October 19, 1987 | August 7, 1989 | — |  |
| −32.3% | July 14, 1997 | September 1, 1998 | August 23, 1999 | +10.2% |  |
| −30.3% | May 16, 2001 | September 21, 2001 | April 8, 2002 | −24.1% | dot-com bust |

### How did MMM do in stock market crashes?

This section measures how far MMM, the S&P 500 and each alternative fell from peak to trough during every major market crash since 2000.

- Among its popular alternatives, FAST held up best, falling less than MMM in six of the ten crashes they both traded through.
- MMM fell less than the S&P 500 in four of the ten crashes it has traded through. The clearest case was the dot-com bust, when MMM fell 30.3% and the S&P 500 fell 47.5%.

| Crash | Dates | MMM fall | SPY fall |
| --- | --- | --- | --- |
| Dot-com bust | March 10, 2000 to October 9, 2002 | −30.3% | −47.5% |
| Global financial crisis | October 9, 2007 to March 9, 2009 | −53.9% | −55.2% |
| Flash crash | May 6, 2010 to May 7, 2010 | −1.9% | −1.5% |
| Euro debt crisis | July 22, 2011 to October 3, 2011 | −25.0% | −17.9% |
| China devaluation & oil rout | August 10, 2015 to February 11, 2016 | −13.8% | −12.8% |
| Volmageddon | February 2, 2018 to February 9, 2018 | −9.1% | −6.5% |
| Q4 2018 selloff | September 21, 2018 to December 24, 2018 | −16.8% | −19.3% |
| COVID crash | February 19, 2020 to March 23, 2020 | −26.0% | −33.7% |
| 2022 bear market | January 4, 2022 to October 12, 2022 | −38.4% | −24.5% |
| SVB / regional bank stress | March 8, 2023 to March 13, 2023 | −3.4% | −3.4% |

### How closely does MMM move with the S&P 500?

Upside capture measures how much of the S&P 500's gains an investment kept in the months the market rose, and downside capture how much of its losses it took in the months the market fell.

- 14 of the 18 popular alternatives had a higher capture ratio (upside capture divided by downside capture) than MMM's 0.64, led by FAST, PH and ITT.
- FAST took just 87% of the S&P 500's losses, against 136% for MMM, while still keeping 106% of its gains.
- Over the past 10 years, MMM captured 86% of the S&P 500's gains in rising months and 136% of its losses in falling months, with a beta of 0.99. Its share of the market's losses was larger than its share of the gains.

Measured over the past 10 years of monthly returns against SPY.

| Investment | Upside capture | Downside capture | Beta |
| --- | --- | --- | --- |
| MMM: 3M Company (this page) | 86.0% | 136% | 0.99 |
| [EMR](https://easycompare.io/research/emr): Emerson Electric Co. | 124% | 153% | 1.39 |
| NDSN: Nordson Corporation | 102% | 112% | 0.98 |
| [FAST](https://easycompare.io/research/fast): Fastenal Company | 106% | 87.0% | 0.98 |
| ITT: ITT Inc. | 135% | 138% | 1.42 |
| [PH](https://easycompare.io/research/ph): Parker-Hannifin Corporation | 141% | 126% | 1.43 |
| [ITW](https://easycompare.io/research/itw): Illinois Tool Works Inc. | 94.0% | 116% | 1.04 |
| SNA: Snap-on Incorporated | 86.0% | 93.0% | 0.99 |
| IEX: IDEX Corporation | 97.0% | 121% | 1.03 |
| AVY: Avery Dennison Corporation | 89.0% | 110% | 0.91 |
| DOV: Dover Corporation | 114% | 133% | 1.27 |
| GGG: Graco Inc. | 90.0% | 92.0% | 0.78 |
| DD: DuPont de Nemours, Inc. | 96.0% | 151% | 1.28 |
| [SHW](https://easycompare.io/research/shw): The Sherwin-Williams Company | 114% | 132% | 1.09 |
| [HON](https://easycompare.io/research/hon): Honeywell International Inc. | 90.0% | 118% | 1.00 |
| TEX: Terex Corporation | 133% | 199% | 1.60 |
| SWK: Stanley Black & Decker, Inc. | 101% | 198% | 1.30 |
| AOS: A. O. Smith Corporation | 82.0% | 139% | 1.12 |
| PNR: Pentair plc | 89.0% | 148% | 1.11 |

### What diversifies MMM?

Correlation measures how closely two investments move together, on a scale from 1 (in lockstep) through 0 (unrelated) to -1 (in opposite directions).

- Moving a fifth of the money in MMM into DXJ would have cut the portfolio's volatility by 18% over the past 5 years and raised its annual return (+6.5% for MMM alone, +11.0% for the mix).
- Among large ETFs, DXJ, POCT and FTLS have moved largely independently of MMM over the past 5 years, with correlations of 0.48 or lower, and each still earned a positive 5-year return.
- CAH made money in seven of the ten calendar years in which MMM lost money.

| Investment | Correlation with MMM | 5Y return | Volatility | Sharpe | Rose in MMM's 10 down years |
| --- | --- | --- | --- | --- | --- |
| DXJ: WisdomTree Japan Hedged Equity Fund | 0.20 | +225% | 19.1% | 1.34 | 4 of 10 |
| POCT: Innovator U.S. Equity Power Buffer ETF | 0.47 | +60.9% | 8.0% | 1.23 | 2 of 10 |
| FTLS: First Trust Long/Short Equity ETF | 0.48 | +62.9% | 10.4% | 0.99 | 3 of 10 |
| MLPX: Global X - MLP & Energy Infrastructure ETF | 0.45 | +135% | 19.7% | 0.97 | 3 of 10 |
| [SMH](https://easycompare.io/research/smh): VanEck Semiconductor ETF | 0.23 | +323% | 36.9% | 0.97 | 4 of 10 |
| [GLD](https://easycompare.io/research/gld): SPDR Gold Shares | 0.21 | +126% | 18.9% | 0.96 | 5 of 10 |
| SPMO: Invesco S&P 500 Momentum ETF | 0.42 | +136% | 20.8% | 0.93 | 2 of 10 |
| [XLE](https://easycompare.io/research/xle): State Street Energy Select Sector SPDR ETF | 0.33 | +177% | 25.5% | 0.93 | 5 of 10 |

## Common questions

### What was MMM's worst drawdown?

MMM's deepest decline since it began trading in 1986 was 57.4%, from January 2018 to October 2023. It took 21 months from the low to climb back to its old high.

### What were MMM's best and worst years?

Over 29 full calendar years, MMM's best year was 2013, when it returned 55.2%. Its worst was 2008, with a return of -29.4%.

### Is there a better investment than MMM?

Among MMM's popular alternatives, FAST and SNA earned more than MMM with less volatility over the past 5 years. FAST returned 15.8% a year at 24.6% volatility, against 6.5% a year at 28.8%. Looking beyond its popular alternatives, WAB (industrial machinery) and DCI (industrial machinery) earned more than MMM with less volatility over the past 5 years. WAB returned 25.6% a year at 26.2% volatility, against 6.5% a year at 28.8%.

### Is MMM more volatile than the S&P 500?

Yes. MMM's volatility over the past 5 years was 28.8%, 1.7 times the S&P 500's 17.1%. Volatility measures how widely returns swing around their average: in roughly two years out of three, MMM's return lands within 28.8% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump.

### What is MMM's Sharpe ratio?

MMM's Sharpe ratio over the past 5 years was 0.36, against 0.79 for the S&P 500, so MMM earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings.

### How correlated is MMM with the S&P 500?

Over the past 5 years, MMM's monthly returns had a correlation of 0.55 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They often move together: some diversification next to an index fund, but not a cushion. In the table, the correlation column measures each option against MMM instead: the lower it is, the more that option would diversify a MMM holding.

### What are the best alternatives to MMM?

Of the 19 popular alternatives we compared, three outperformed MMM in at least 3 of 5 short-term and 2 of 3 long-term timeframes, with dividends reinvested: EMR, NDSN and FAST.

### Did MMM outperform the S&P 500?

MMM finished ahead of the S&P 500 (SPY) in 15 of 29 full calendar years. In 2025, it returned +26.4%, against +17.7% for the index.

### How did MMM do in stock market crashes?

MMM fell less than the S&P 500 (SPY) in four of the ten major crashes it has traded through, and further in four. The clearest case was the dot-com bust, when MMM fell 30.3% and the S&P 500 fell 47.5%.

### What diversifies MMM?

These had a low correlation with MMM over the past 5 years and still earned a positive 5-year return: among large ETFs, DXJ (correlation 0.20), POCT (correlation 0.47) and FTLS (correlation 0.48); among large stocks, CAH (correlation 0.27), CLS (correlation 0.23) and FIX (correlation 0.28). A correlation near zero means the two have moved largely independently.

## More research

- [Emerson Electric (EMR) Performance, Alternatives and Market Rank](https://easycompare.io/research/emr)
- [Fastenal (FAST) Performance, Alternatives and Market Rank](https://easycompare.io/research/fast)
- [Parker-Hannifin (PH) Performance, Alternatives and Market Rank](https://easycompare.io/research/ph)
- [Illinois Tool Works (ITW) Performance, Alternatives and Market Rank](https://easycompare.io/research/itw)
- [Sherwin-Williams (SHW) Performance, Alternatives and Market Rank](https://easycompare.io/research/shw)
- [Honeywell International (HON) Performance, Alternatives and Market Rank](https://easycompare.io/research/hon)
- [Schwab U.S. Dividend Equity ETF (SCHD) Performance, Alternatives and Market Rank](https://easycompare.io/research/schd)
- [NVIDIA (NVDA) Performance, Alternatives and Market Rank](https://easycompare.io/research/nvda)
- [Apple (AAPL) Performance, Alternatives and Market Rank](https://easycompare.io/research/aapl)
- [Alphabet (GOOG) Performance, Alternatives and Market Rank](https://easycompare.io/research/goog)
- [Microsoft (MSFT) Performance, Alternatives and Market Rank](https://easycompare.io/research/msft)
- [Amazon.com (AMZN) Performance, Alternatives and Market Rank](https://easycompare.io/research/amzn)

## Explore further

- Full page with charts: https://easycompare.io/research/mmm
- All research pages: https://easycompare.io/llms.txt
- Compare the entire market against MMM live: https://betterthanspy.com/?b=MMM&utm_source=easycompare&utm_medium=research