Stock Price & Analysis

Based on the recent data and market developments, here's a concise analysis of ERIC stock:

Technical Analysis

Recent Performance & Key Events

• Stock has shown significant volatility, with a recent decline of 8.2% following Q4 2024 earnings release
• North American market showed strong growth of 54% in Q4 2024, indicating positive regional momentum
• Recent partnership expansion with Bharti Airtel for 5G deployment shows strategic growth in Indian market

Financial Snapshot

Key Metrics from Latest Quarter

• Sales grew 1% YoY to 72.9B SEK ($6.77B), missing analyst estimates
• Adjusted gross margin improved to 46.3% from 41.1% YoY
• Free cash flow before M&A was SEK 15.82B

Market Sentiment

Based on the current market conditions and recent developments, SELL recommendation is warranted for ERIC stock. The company's missed earnings expectations, coupled with continued market challenges in the telecom equipment sector, suggest potential near-term pressure on the stock price. While there are positive developments in partnerships and regional growth, these may take time to materialize into meaningful financial improvements.

Based on recent developments and market analysis, Ericsson (ERIC) stock is projected to reach $9.50 by end of 2025, driven by expanding 5G partnerships particularly in India with Bharti Airtel [2,3] and technological advancements in upload speed capabilities demonstrated with Verizon. The company's strategic focus on 5G Core network solutions and growing presence in emerging markets positions it well for revenue growth, though market competition remains intense.

The S1 support level for ERIC Stock is $7.87 ,The R1 resistant level for ERIC Stock is $8.29.

As of the end of day on 2025-03-03, the price of ERIC Stock was $8.435.

The target price for ERIC Stock according to analyst rating is 7.47, with the highest price target at 8.90 and the lowest at 5.60. Analysts have a Moderate Sell rating on ERIC Stock overall.

The market cap of ERIC is $27.6B.

Based on the provided data, here's a concise analysis of ERIC's valuation:

ERIC is currently fairly valued considering several key factors:

The stock has shown strong momentum with a 78.14% increase over the past year, indicating market confidence in its turnaround efforts.

Recent Q4 2024 results demonstrate operational improvements with adjusted gross margin expanding to 46.3% from 41.1% YoY, suggesting enhanced operational efficiency.

The company's strategic partnerships, particularly in the 5G space with major telecom operators like Bharti Airtel, indicate strong future growth potential in emerging markets.

The board's recent dividend increase to SEK 2.85 from SEK 2.70 reflects management's confidence in the company's financial stability and future prospects.

The stock currently rates highest on the Multi-Factor Investor model, suggesting a favorable combination of low volatility, strong momentum, and attractive payout yields.

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.

Based on the available data and market analysis, here is a price prediction for Ericsson (ERIC) stock by 2030:

Ericsson stock is projected to reach $12.50 by 2030, driven by the company's strong positioning in 5G infrastructure deployment and strategic partnerships in emerging markets. The recent collaboration with Bharti Airtel and successful 5G monetization strategies demonstrate Ericsson's ability to capture growth in key markets like India.

The stock could face near-term headwinds as indicated by recent quarterly results showing mixed performance, but long-term growth potential remains intact through expanded 5G adoption globally and the company's focus on network programmability and advanced capabilities.

ERIC has a total of 99003 employees.