(ERIC) Telefonaktiebolaget LM - Ratings and Ratios
Exchange: NASDAQ • Country: Sweden • Currency: USD • Type: Common Stock • ISIN: US2948216088
ERIC: Networks, Software, Services, Hardware, Antennas, Solutions
Ericsson stands as a cornerstone in the telecommunications sector, engineering the digital transformation of mobile networks globally. With a rich history tracing back to 1876, the company has evolved into a leader in 5G technology and cloud-native solutions. Investors should note Ericssons strategic positioning in the 5G rollout, a critical growth driver as industries embrace next-gen connectivity.
The companys operations are segmented into four key areas. The Networks division is pivotal, offering radio access solutions across various spectrum bands, crucial for 5G deployment. Cloud Software and Services provide core network infrastructure, enabling telecom operators to manage operations efficiently. The Enterprise segment delivers tailored solutions like private networks and unified communications, addressing diverse business needs. The Other segment includes Redbee Media, enhancing content delivery for broadcasters and service providers.
Financially, Ericsson presents a compelling case with a market cap of over $25 billion, reflecting its market leadership. A forward P/E of 17.42 suggests investor confidence in its growth prospects. The price-to-book ratio of 2.93 indicates robust asset valuation, while the low price-to-sales ratio of 0.10 underscores its revenue efficiency.
Headquartered in Stockholm, Sweden, Ericssons global footprint spans over 100 countries, serving top telecom operators and enterprises. This extensive reach underscores its role as a trusted partner in the telecom ecosystem, poised for sustained growth in a 5G-driven future.
For more insights, visit their website: Ericsson.com
Additional Sources for ERIC Stock
Tweets: X Stocktwits
Fund Manager Positions: Dataroma Stockcircle
ERIC Stock Overview
| Market Cap in USD | 25,385m |
| Sector | Technology |
| Industry | Communication Equipment |
| GiC Sub-Industry | Communications Equipment |
| IPO / Inception | 1989-09-28 |
ERIC Stock Ratings
| Growth 5y | 3.73% |
| Fundamental | -9.28% |
| Dividend | 57.1% |
| Rel. Strength Industry | 16.5 |
| Analysts | 3.67/5 |
| Fair Price Momentum | 7.64 USD |
| Fair Price DCF | 145.67 USD |
ERIC Dividends
| Dividend Yield 12m | 3.55% |
| Yield on Cost 5y | 3.58% |
| Annual Growth 5y | 9.96% |
| Payout Consistency | 66.4% |
ERIC Growth Ratios
| Growth Correlation 3m | -55.2% |
| Growth Correlation 12m | 90.8% |
| Growth Correlation 5y | -57.1% |
| CAGR 5y | 1.56% |
| CAGR/Max DD 5y | 0.02 |
| Sharpe Ratio 12m | 1.33 |
| Alpha | 40.28 |
| Beta | 0.41 |
| Volatility | 31.79% |
| Current Volume | 10823.5k |
| Average Volume 20d | 16844.5k |
As of February 22, 2025, the stock is trading at USD 7.91 with a total of 10,823,459 shares traded.
Over the past week, the price has changed by +0.51%, over one month by -9.29%, over three months by -1.25% and over the past year by +54.06%.
Neither. Based on ValueRay Fundamental Analyses, Telefonaktiebolaget LM is currently (February 2025) neither a good nor a bad stock to buy. It has a ValueRay Fundamental Rating of -9.28 and therefor a neutral outlook according to the companies health.
Based on ValueRays Analyses, Dividends and Discounted-Cash-Flow, the Fair Value of ERIC as of February 2025 is 7.64. This means that ERIC is currently overvalued and has a potential downside of -3.41%.
Telefonaktiebolaget LM has received a consensus analysts rating of 3.67. Therefor, it is recommend to hold ERIC.
- Strong Buy: 1
- Buy: 5
- Hold: 2
- Sell: 1
- Strong Sell: 0
According to ValueRays Forecast Model, ERIC Telefonaktiebolaget LM will be worth about 8.9 in February 2026. The stock is currently trading at 7.91. This means that the stock has a potential upside of +12.01%.
| Issuer | Forecast | Upside |
|---|---|---|
| Wallstreet Target Price | 7.5 | -4.9% |
| Analysts Target Price | 14.8 | 86.6% |
| ValueRay Target Price | 8.9 | 12% |