The following video is part of our "Motley Fool Conversations" series, in which industrials editor/analyst Brendan Byrnes discusses topics around the investing world.
In today's edition, Brendan discusses industrial conglomerate 3M, and whether the company should raise its dividend. 3M is one of the longest-tenured dividend aristocrats, having raised its dividend for a whopping 54 straight years. After 3M pulled in nearly $4 billion in free cash flow the past year, Brendan sees no signs of a slowdown. 3M does, however, offer a lower payout ratio than most of its competitors at 36%. That's because the company keeps a good amount of cash on hand and has spent a good amount on acquisitions over the past few years.
3M gets a significant amount of its revenues from Europe, but although many investors may be nervous about investing in great companies that are internationally focused, they shouldn't be. Emerging markets are giving new life to established American companies with deep pockets. As these industry titans look abroad for more sales, they aren't starting with a blank slate -- they're bringing their operational excellence to new markets and thriving. To uncover three of our favorite picks to take advantage of high-growth emerging markets, we invite you to read a copy of our free report: "3 American Companies Set to Dominate the World." The report won't be available forever, so we invite you to click here to get your copy today!
Brendan Byrnes and The Motley Fool have no positions in the stocks mentioned above. Motley Fool newsletter services recommend 3M. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.