Key Focus for Telefonaktiebolaget LM Ericsson Investors

We're taking a closer look at Telefonaktiebolaget LM Ericsson today, as the chatter surrounding the stock has increased notably in the last few weeks. Today, its shares moved 12.6% compared to -0.0% for the S&P 500. Increased investor interest and volatility surrounding the stock are not reason enough to buy in -- you should first perform your own due diligence. Here are some figures that can get you started:

  • Telefonaktiebolaget LM Ericsson (publ), together with its subsidiaries, provides mobile connectivity solutions for telcom operators and enterprise customers in various sectors in North America, Europe, Latin America, the Middle East, Africa, North East Asia, South East Asia, Oceania, and India.

  • Telefonaktiebolaget LM Ericsson has moved 63.2% over the last year compared to 34.0% for the S&P 500 -- a difference of 29.2%

  • ERIC has an average analyst rating of hold and is 70.14% away from its mean target price of $4.99 per share

  • Its trailing 12 month earnings per share (EPS) is $-1.04

  • Telefonaktiebolaget LM Ericsson has a trailing 12 month Price to Earnings (P/E) ratio of -8.2 while the S&P 500 average is 29.3

  • Its forward earnings per share (EPS) is $0.49 and its forward P/E ratio is 17.3

  • ERIC has a Price to Earnings Growth (PEG) ratio of 11.83, which shows the company is potentially overvalued when we factor growth into the price to earnings calculus.

  • The company has a Price to Book (P/B) ratio of 0.34 in contrast to the S&P 500's average ratio of 4.74

  • Telefonaktiebolaget LM Ericsson is part of the Technology sector, which has an average P/E ratio of 30.01 and an average P/B of 3.91

  • Telefonaktiebolaget LM Ericsson has on average reported free cash flows of $22.04 Billion over the last four years, during which time they have grown by an an average of -11.3%

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

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