Stock Updates

A look at a High Market Cap Stock: Telefonaktiebolaget LM Ericsson (publ), ERIC

Friday February 24th 2017: Telefonaktiebolaget LM Ericsson (publ), ERIC is in the exchange NASDAQ and its industry is Communication Equipment in the sector of Technology. Based in Sweden, Telefonaktiebolaget LM Ericsson (publ), ERIC  has a market cap of 21552.83. Since its IPO date on the 9/28/1989, Telefonaktiebolaget LM Ericsson (publ), ERIC performance year to date is 10.99%. Today Telefonaktiebolaget LM Ericsson (publ), ERIC has gained 0.55%, with a current price of 6.39.

Ownership of the company is 0.90% for insider ownership while institutional ownership is 10.90%. The management of the company have seen the company have a payout ratio of 189.40%. Return of assets are at 0.60%, with return on investment at 2.50%.

In terms of debt levels and profit levels, Telefonaktiebolaget LM Ericsson (publ), ERIC is seeing a long-term debt/equity of 0.13. While Total debt/equity is 0.19. With a profit margin of 0.80%, this is combined with a gross margin of 31.40%, and operating margin of 2.80%. Telefonaktiebolaget LM Ericsson (publ) ability to meet debt levels, with a current ratio of 1.9, while the quick ratio is 1.5.

For the last year Telefonaktiebolaget LM Ericsson (publ), ERIC has seen a EPS growth of -87.30%. A performance for the year of -33.49%. The 52-week high is -34.01%, and the 52-week low is 34.71%. The average volume for Telefonaktiebolaget LM Ericsson (publ), ERIC is 1190015.

With a target price of 7.17, can Telefonaktiebolaget LM Ericsson (publ), ERIC reach this target? Looking at the value indicators of Telefonaktiebolaget LM Ericsson (publ), ERIC. Telefonaktiebolaget LM Ericsson (publ) has a P/E of 109.66 and a forward P/E of 15.59. Perhaps the more useful indicator than P/E, is PEG which has a value of 1.99. Telefonaktiebolaget LM Ericsson (publ) also has a P/S and a P/B of 0.88 and 1.34 respectively. For P/cash, Telefonaktiebolaget LM Ericsson (publ) has a value of 3.87, while it is *TBA for P/free cash flow.

At the current price of 6.39, Telefonaktiebolaget LM Ericsson (publ) has a dividend yield of 1.73%. We see a return on equity of 1.20%.

Looking more long-term Telefonaktiebolaget LM Ericsson (publ), is projected to get an EPS growth for the next five years of 54.97%. In the short-term an EPS growth of 38.78% in the next year is forecasted. This is after a EPS growth of -87.30% for this year and for the last five years a -32.60% growth has been seen.

Disclaimer: Remember there is a risk to your investment, this is not a recommendation, nor personal advice, never invest more than you are able too loose.

About the author

Tony Dabbs

Leave a Comment