Telefonaktiebolaget LM Ericsson's stock price fell by 4.47%, hitting a 20-day low. This decline occurs in the context of mixed market performance, with the Nasdaq-100 down 0.59% and the S&P 500 slightly up by 0.04%.
The drop in Ericsson's stock price is attributed to broad market weakness, as indicated by the Nasdaq-100's decline. This suggests a sector rotation, where investors are reallocating their investments away from telecom stocks in favor of other sectors that may be performing better in the current market environment.
This movement could reflect a broader trend where investors are cautious about telecom stocks, potentially due to concerns over competition or regulatory challenges. As the market continues to fluctuate, Ericsson may need to adapt its strategies to regain investor confidence.
Wall Street analysts forecast ERIC stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for ERIC is 9.33 USD with a low forecast of 6.40 USD and a high forecast of 11.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
3 Analyst Rating
Wall Street analysts forecast ERIC stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for ERIC is 9.33 USD with a low forecast of 6.40 USD and a high forecast of 11.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
0 Buy
2 Hold
1 Sell
Moderate Sell
Current: 10.880
Low
6.40
Averages
9.33
High
11.00
Current: 10.880
Low
6.40
Averages
9.33
High
11.00
Citi
Neutral
maintain
$98 -> $100
2026-01-28
New
Reason
Citi
Price Target
$98 -> $100
AI Analysis
2026-01-28
New
maintain
Neutral
Reason
Citi raised the firm's price target on Ericsson to SEK 100 from SEK 98 and keeps a Neutral rating on the shares.
JPMorgan
Neutral
maintain
2026-01-26
New
Reason
JPMorgan
Price Target
2026-01-26
New
maintain
Neutral
Reason
JPMorgan raised the firm's price target on Ericsson to SEK 102 from SEK 100.90 and keeps a Neutral rating on the shares.
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Citi
Andrew Gardiner
Neutral
maintain
$95 -> $98
2026-01-16
Reason
Citi
Andrew Gardiner
Price Target
$95 -> $98
2026-01-16
maintain
Neutral
Reason
Citi analyst Andrew Gardiner raised the firm's price target on Ericsson to SEK 98 from SEK 95 and keeps a Neutral rating on the shares.
Citi
Neutral
maintain
$85 -> $95
2025-10-22
Reason
Citi
Price Target
$85 -> $95
2025-10-22
maintain
Neutral
Reason
Citi raised the firm's price target on Ericsson to SEK 95 from SEK 85 and keeps a Neutral rating on the shares.
About ERIC
Telefonaktiebolaget LM Ericsson (Ericsson) provides infrastructure, services and software to the telecommunication industry and other sectors. The Company's segments include Networks, IT & Cloud and Media. The Networks segment consists of two business units: Network Products and Network Services. The overall focus is on evolving and managing access networks, including the development of hardware and software for radio access and transport networks. The IT & Cloud business includes two business units: IT & Cloud Products and IT & Cloud Services. The focus in IT & Cloud is to help telecom operators and selected enterprises through the digital transformations ahead. It develops and delivers software-based solutions for television and media and combines a product portfolio that spans the television value chain, with systems integration and managed services. The portfolio includes compression, content publishing through set-top box or pure over-the-top, content delivery and analytics.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
