Telefonaktiebolaget L M Ericsson ADR [ERIC] is -8.25% lower this YTD. Is it still time to buy?

Telefonaktiebolaget L M Ericsson ADR [NASDAQ: ERIC] traded at a high on Friday, posting a 0.35 gain after which it closed the day’ session at $5.78. The company report on January 26, 2024 at 2:53 AM that Ericsson signs funding agreements with the European Investment Bank.

Ericsson has signed two 7-year funding agreements with the European Investment Bank (EIB) for a total of EUR 420 million.

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The loans will finance parts of Ericsson’s R&D investments in wireless technology up to 2025.

The results of the trading session contributed to over 12883743 shares changing hands. Over the past one week, the price volatility of Telefonaktiebolaget L M Ericsson ADR stands at 2.75% while the volatility over the past one month is 1.76%.

The market cap for ERIC stock reached $17.74 billion, with 3.07 billion shares outstanding and 3.07 billion shares in the current float. Compared to the average trading volume of 12.64M shares, ERIC reached a trading volume of 12883743 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 L M Ericsson ADR [ERIC]?

Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for ERIC shares is $6.04 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 2.62. 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.

Barclays have made an estimate for Telefonaktiebolaget L M Ericsson ADR shares, keeping their opinion on the stock as Underweight, with their previous recommendation back on January 19, 2024.

The Average True Range (ATR) for Telefonaktiebolaget L M Ericsson ADR is set at 0.15, with the Price to Sales ratio for ERIC stock in the period of the last 12 months amounting to 0.71. The Price to Book ratio for the last quarter was 1.97, with the Price to Cash per share for the same quarter was set at 1.45. Price to Free Cash Flow for ERIC in the course of the last twelve months was 48.94 with Quick ratio for the last quarter at 0.92.

How has ERIC stock performed recently?

Telefonaktiebolaget L M Ericsson ADR [ERIC] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -1.87. With this latest performance, ERIC shares dropped by -7.37% in over the last four-week period, additionally plugging by 14.00% over the last 6 months – not to mention a rise of 0.70% 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 44.35, with the RSI for the last a single of trading hit 39.05, and the three-weeks RSI is set at 48.97 for Telefonaktiebolaget L M Ericsson ADR [ERIC]. The present Moving Average for the last 50 days of trading for this stock 5.70, while it was recorded at 5.79 for the last single week of trading, and 5.23 for the last 200 days.

Telefonaktiebolaget L M Ericsson ADR [ERIC]: Deeper insight into the fundamentals

Telefonaktiebolaget L M Ericsson ADR’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.92 and a Current Ratio set at 1.20.

Earnings analysis for Telefonaktiebolaget L M Ericsson ADR [ERIC]

With the latest financial reports released by the company, Telefonaktiebolaget L M Ericsson ADR posted 0.09/share EPS, while the average EPS was predicted by analysts to be reported at 0.05/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 80.00%. 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 L M Ericsson ADR go to 1.50%.

Insider trade positions for Telefonaktiebolaget L M Ericsson ADR [ERIC]

The top three institutional holders of ERIC stocks are: VANGUARD GROUP INC with ownership of 1.3 billion shares, which is approximately 8.2815%. BLACKROCK INC., holding 1.03 billion shares of the stock with an approximate value of $176.59 billion in ERIC stocks shares; and BERKSHIRE HATHAWAY INC, currently with $156.75 billion in ERIC stock with ownership which is approximately 5.8325%.