Telefonaktiebolaget LM Ericsson (publ) (NASDAQ:ERIC) rose 3.54% in recent trade and currently has a stock-market value of $30.93B. The shares finished at $9.36, after trading as low as $9.165 earlier in the session. It hit an intraday high Wednesday at $9.44. Trading activity significantly improved as the volume at ready counter increased to 11,683,411 shares versus 6,641,690 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 6,191,137 shares. The stock is now 56% above against its bear-market low of $6 on April 04, 2018. It has retreated -0.96% since it’s 52-week high of $9.45 reached in October. Now the market price is up 42.47% on the year and up 5.52% YTD.
ERIC’s 50 day simple moving average (SMA 50) price is $8.72 and its 200-day simple moving average (SMA 200) price is $8.3. The company’s stock currently has a total float of 3.04B shares. Its weekly volatility is hovering around 1.94% and felt 1.75% volatility in price over a month. On the upside, the share price will test short term resistance at around $9.48. On a downside, the stock is likely to find some support, which begins at $9.2. The failure to get near-term support could push it to $9.04.
Wall Street’s most bullish Telefonaktiebolaget LM Ericsson (publ) (NASDAQ:ERIC) analysts are predicting the share price to blow past $11.08 per share during the next 12 months. The current median share price forecast by them is $9.39, suggesting that the stock could increase 0.32% in that time frame. The average price target of $9.22 calls for a nearly -1.5% increase in the stock price.
It had seen a positive analyst call from Raymond James, which upgraded the stock from Underperform to Mkt Perform on December 20. Analysts at Argus, shed their negative views on October 19 by lifting it fromHold to Buy. The stock won favor of Credit Suisse analysts who expressed their confidence in it using an upgrade from Underperform to Neutral on September 19.
Moreover, it trades for 18.91 times the next 12 months of expected earnings. Also, it is trading at rather expensive levels at just over 3x price/book and 1.36x price/sales. Compared to others, Telefonaktiebolaget LM Ericsson (publ) is in a different league with regards to profitability, having net margins of -11.7%. To put some perspective around this, the industry’s average net margin is 5.33%. ERIC’s ROE is -26.2%, which is also considerably worse than the industry’s ROE of 8.17%. It’s also very liquid in the near term, with a current ratio of 1.5. The stock has a debt/capital of 0.35.
Shares of Telefonaktiebolaget LM Ericsson (publ) (ERIC) have gained 6.1% since the company’s most recent earnings report. Over the past 12 fiscal quarters, Telefonaktiebolaget LM Ericsson (publ) (NASDAQ:ERIC) has topped consensus earnings estimates in 2 quarters (16%), missed earnings in 10 quarters (83%), whereas at 0 occasion EPS met analyst expectations. ERIC last reported earnings that receded expectations. The company raked in -$0.05 per share, -100.04% change on the same period last year. That was worse than consensus for $0.14. Revenue for the recent quarter stood at $7.21 billion, up 8% on last year and above the $6.83 billion predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $5.23 billion to $5.57 billion, which should be compared with $5.45 billion generated last year.EPS is seen in a range of $0.03 to $0.09, against the $0.03 reported a year ago.