Two from the Dow: DuPont and 3M

Not today, folks. The market is weak, and the Dow is triple-digits down in the dumps. Yet, the management team executed a fine first quarter. Net income jumped over 100% to $1.24 per share. Analysts thought $1.06 per share was more likely. Business was robust, and full-year guidance was adjusted upward.

What does this tell me? Let's see. The Dow is off because of economic woes in Europe, but DuPont delivered some good numbers. I believe you can look at the company not only as a trade on this dip, but perhaps as a beginning entry point to a long-term position. I'm not saying there won't be further pressure coming from the negative macro situation, but I do think DuPont's fundamental momentum should continue.

Now, here's a Dow member that's actually in the green. As I was composing this sentence, 3M Company (MMM) was higher by $1.06, or 1.2%, to $88.50. The traders must believe positive things are in store for the industrial entity that is responsible for Post-it products and a whole lot of other stuff. And I have to ask: why shouldn't they be?

The company made $1.40 per share on an adjusted basis in Q1. This compares to an expectation of $1.21 per share. However, I like something from the actual press release even better. Free cash flow more than doubled during the three-month period. Money-generation rules, doesn't it?

3M kicked off its new year in style, and its stock appears to be a wonderful investment idea for those players who want some dividend-paying safety in their portfolios. The shares have moved up nicely from the 52-week low as this chart indicates. I can't say that the company won't hit resistance in the $90 level, but if it does, it could be a short-term phenomenon. We'll have to see, but for longer-term players, 3M is an equity that should be placed under consideration.

Disclosure: I don't own any company mentioned; positions can change without notice.