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2 Outstanding Stocks to Buy for 2025
BIPBrookfield Infrastructure Partners(BIP) The Motley Fool·2025-01-21 11:53

Group 1: 3M Company - 3M's new management is focused on positioning the company for growth despite a challenging global growth environment and interest rate pressures [3][4] - The restructuring plan led by CEO Bill Brown aims to improve margins and earnings through innovative product development and operational efficiencies [5][6] - Previous management's focus on healthcare and litigation issues has hindered performance, but with clarity on legal matters, there is significant upside potential for 3M's stock [7][8] Group 2: Brookfield Infrastructure - Brookfield Infrastructure's stock has underperformed, gaining only 1% in 2024 and dipping about 2% in 2025, currently valued at 2.9 times operating cash flow [9][10] - The company has a diversified portfolio with transportation assets contributing 42% to funds from operations (FFO), and it has achieved a 15% compound annual growth rate in FFO from 2009 to 2023 [10][11] - Management targets annual distribution growth of 5% to 9%, supported by an investment-grade balance sheet, making it appealing for income investors [12][13]