Ericsson (NASDAQ:ERIC) Given Consensus Recommendation of “Reduce” by Brokerages

Ericsson (NASDAQ:ERIC) has earned an average rating of “Reduce” from the nine ratings firms that are currently covering the firm, Marketbeat Ratings reports. Two investment analysts have rated the stock with a sell recommendation, six have given a hold recommendation and one has assigned a buy recommendation to the company. The average 1-year price objective among brokers that have issued ratings on the stock in the last year is $9.80.

ERIC has been the subject of several recent analyst reports. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Ericsson in a research note on Monday, December 22nd. Citigroup restated a “neutral” rating on shares of Ericsson in a research report on Wednesday, October 22nd. Danske lowered Ericsson to a “hold” rating in a report on Wednesday, October 15th. Jefferies Financial Group raised Ericsson to a “hold” rating in a research note on Monday, October 13th. Finally, Wall Street Zen lowered Ericsson from a “strong-buy” rating to a “buy” rating in a research report on Saturday, October 18th.

Ericsson Trading Up 0.1%

NASDAQ:ERIC opened at $9.68 on Monday. The company has a current ratio of 1.17, a quick ratio of 0.94 and a debt-to-equity ratio of 0.29. Ericsson has a 1-year low of $6.64 and a 1-year high of $10.35. The firm has a market capitalization of $32.63 billion, a price-to-earnings ratio of 13.08, a PEG ratio of 1.54 and a beta of 0.91. The business’s 50-day moving average price is $9.65 and its two-hundred day moving average price is $8.60.

Ericsson (NASDAQ:ERIC) last announced its quarterly earnings results on Tuesday, October 14th. The communications equipment provider reported $0.16 EPS for the quarter, beating analysts’ consensus estimates of $0.13 by $0.03. Ericsson had a return on equity of 21.50% and a net margin of 10.44%.The company had revenue of $5.97 billion during the quarter, compared to analysts’ expectations of $57.16 billion. During the same period in the prior year, the business posted $1.14 EPS. Ericsson’s revenue was down 9.0% on a year-over-year basis. On average, equities analysts expect that Ericsson will post 0.48 earnings per share for the current year.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the stock. Jump Financial LLC acquired a new position in Ericsson in the 2nd quarter worth $17,461,000. FNY Investment Advisers LLC raised its stake in shares of Ericsson by 1,050.0% in the 2nd quarter. FNY Investment Advisers LLC now owns 575,000 shares of the communications equipment provider’s stock valued at $4,876,000 after purchasing an additional 525,000 shares during the period. Amundi lifted its holdings in shares of Ericsson by 10.8% in the first quarter. Amundi now owns 498,887 shares of the communications equipment provider’s stock valued at $3,732,000 after purchasing an additional 48,692 shares in the last quarter. Quantbot Technologies LP acquired a new position in shares of Ericsson during the second quarter worth about $2,102,000. Finally, Acadian Asset Management LLC grew its holdings in shares of Ericsson by 0.6% during the first quarter. Acadian Asset Management LLC now owns 87,313,506 shares of the communications equipment provider’s stock worth $677,498,000 after buying an additional 482,691 shares in the last quarter. Institutional investors own 7.99% of the company’s stock.

About Ericsson

Ericsson AB is a Swedish multinational telecommunications equipment and services company headquartered in Stockholm. Founded in 1876 by Lars Magnus Ericsson, the company designs, develops and sells infrastructure, software and services that enable mobile and fixed-line networks worldwide. Ericsson serves a global customer base that includes mobile network operators, enterprise customers and public-sector organizations across Europe, the Americas, Asia-Pacific, the Middle East and Africa.

The company’s core activities center on building and modernizing network infrastructure, with a particular focus on radio access networks (RAN), core network software, cloud-native solutions and network management systems.