Telefonaktiebolaget LM Ericsson (publ) [NASDAQ: ERIC] traded at a low on 02/17/21, posting a -1.80 loss after which it closed the day’ session at $13.13. The company report on January 26, 2021 that Ericsson launches 5G RAN Slicing to spur 5G business growth.
– New software solution enables communications service providers to deliver innovative 5G use cases to consumers and enterprises with guaranteed performance.
– Built on Ericsson radio expertise and a scalable and flexible architecture, the new solution supports customized business models and growth requirements of advanced use cases.
The results of the trading session contributed to over 6838228 shares changing hands. Over the past one week, the price volatility of Telefonaktiebolaget LM Ericsson (publ) stands at 1.59% while the volatility over the past one month is 3.53%.
The market cap for ERIC stock reached $44.17 billion, with 3.33 billion shares outstanding and 3.00 billion shares in the current float. Compared to the average trading volume of 6.83M shares, ERIC reached a trading volume of 6838228 in the most recent trading day, which is why market watchdogs consider the stock to be active.
What do top market gurus say about Telefonaktiebolaget LM Ericsson [publ] [ERIC]?
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for ERIC shares is $16.13 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on ERIC stock is a recommendation set at 1.70. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Danske Bank have made an estimate for Telefonaktiebolaget LM Ericsson (publ) shares, keeping their opinion on the stock as Buy, with their previous recommendation back on October 22, 2020. The new note on the price target was released on March 30, 2020, representing the official price target for Telefonaktiebolaget LM Ericsson (publ) stock. Previously, the target price had yet another raise to $9, while Raymond James analysts kept a Outperform rating on ERIC stock.
The Average True Range (ATR) for Telefonaktiebolaget LM Ericsson (publ) is set at 0.39, with the Price to Sales ratio for ERIC stock in the period of the last 12 months amounting to 1.58. The Price to Book ratio for the last quarter was 4.39, with the Price to Cash per share for the same quarter was set at 1.94. Price to Free Cash Flow for ERIC in the course of the last twelve months was 38.96 with Quick ratio for the last quarter at 1.00.
How has ERIC stock performed recently?
Telefonaktiebolaget LM Ericsson (publ) [ERIC] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -2.88. With this latest performance, ERIC shares gained by 11.65% in over the last four-week period, additionally plugging by 12.90% over the last 6 months – not to mention a rise of 46.05% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for ERIC stock in for the last two-week period is set at 56.75, with the RSI for the last a single of trading hit 53.54, and the three-weeks RSI is set at 57.33 for Telefonaktiebolaget LM Ericsson (publ) [ERIC]. The present Moving Average for the last 50 days of trading for this stock 12.29, while it was recorded at 13.47 for the last single week of trading, and 11.05 for the last 200 days.
Telefonaktiebolaget LM Ericsson [publ] [ERIC]: Deeper insight into the fundamentals
Operating Margin for any stock indicates how profitable investing would be, and Telefonaktiebolaget LM Ericsson (publ) [ERIC] shares currently have an operating margin of +12.37 and a Gross Margin at +40.64. Telefonaktiebolaget LM Ericsson (publ)’s Net Margin is presently recorded at +7.52.
Return on Total Capital for ERIC is now 22.63, given the latest momentum, and Return on Invested Capital for the company is 14.92. Return on Equity for this stock inclined to 20.66, with Return on Assets sitting at 6.32. When it comes to the capital structure of this company, Telefonaktiebolaget LM Ericsson (publ) [ERIC] has a Total Debt to Total Equity ratio set at 45.53. Additionally, ERIC Total Debt to Total Capital is recorded at 31.28, with Total Debt to Total Assets ending up at 14.53. Long-Term Debt to Equity for the company is recorded at 33.83, with the Long-Term Debt to Total Capital now at 23.25.
Receivables Turnover for the company is 3.29 with a Total Asset Turnover recorded at a value of 0.84.Telefonaktiebolaget LM Ericsson (publ)’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.00 and a Current Ratio set at 1.30.
Earnings analysis for Telefonaktiebolaget LM Ericsson (publ) [ERIC]
With the latest financial reports released by the company, Telefonaktiebolaget LM Ericsson (publ) posted 0.08/share EPS, while the average EPS was predicted by analysts to be reported at 0.08/share. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for ERIC. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Telefonaktiebolaget LM Ericsson (publ) go to 13.57%.
Insider trade positions for Telefonaktiebolaget LM Ericsson [publ] [ERIC]
There are presently around $3,762 million, or 10.10% of ERIC stock, in the hands of institutional investors. The top three institutional holders of ERIC stocks are: PRIMECAP MANAGEMENT CO/CA/ with ownership of 121,319,382, which is approximately -2.067% of the company’s market cap and around 0.90% of the total institutional ownership; HOTCHKIS & WILEY CAPITAL MANAGEMENT LLC, holding 29,844,900 shares of the stock with an approximate value of $391.86 million in ERIC stocks shares; and NEUBERGER BERMAN GROUP LLC, currently with $240.94 million in ERIC stock with ownership of nearly 114.752% of the company’s market capitalization.
Positions in Telefonaktiebolaget LM Ericsson (publ) stocks held by institutional investors increased at the end of January and at the time of the January reporting period, where 204 institutional holders increased their position in Telefonaktiebolaget LM Ericsson (publ) [NASDAQ:ERIC] by around 31,060,123 shares. Additionally, 127 investors decreased positions by around 39,621,128 shares, while 51 investors held positions by with 215,862,366 shares. The mentioned changes placed institutional holdings at 286,543,617 shares, according to the latest SEC report filing. ERIC stock had 71 new institutional investments in for a total of 4,564,158 shares, while 31 institutional investors sold positions of 5,868,274 shares during the same period.