3M's (MMM) implied guidance for the second half of the year is "conservative," in line with its "under-promise, over-deliver" playbook, RBC Capital Markets analysts said in a Tuesday note.

Analysts said the company's Q2 results were a "strong" beat, driven by upside organic growth in its Safety and Industrial and Transportation and Electronics businesses.

RBC said the biggest surprise in the company's quarterly report was Safety and Industrial organic growth of 8.2%, surpassing expectations of 5%, and double-digit growth in electrical markets, industrial adhesives, abrasives, and industrial specialties.

The company expects continued momentum in general industrial, safety, and datacenter, and continued softness in consumer and consumer electronics, analysts said.

RBC retained an underperform rating on the stock, but increased its price target to $132 from $123.

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