Ericsson (NASDAQ:ERIC) Sets New 1-Year High – Should You Buy?

Ericsson (NASDAQ:ERIC) shares reached a new 52-week high during trading on Friday . The company traded as high as $11.38 and last traded at $11.2550, with a volume of 2899755 shares trading hands. The stock had previously closed at $11.25.

More Ericsson News

Here are the key news stories impacting Ericsson this week:

• Positive Sentiment: Ericsson launched an AI-ready radio and RAN portfolio — strengthens product roadmap for operators adopting AI-driven network automation and could accelerate 5G/6G equipment sales. Ericsson unveils AI-ready radio and RAN portfolio
• Positive Sentiment: Partnerships with Mistral AI to embed AI agents for network performance and 6G research — bolsters Ericsson’s AI credentials and R&D pipeline for next‑generation services. Mistral AI and Ericsson partner to drive AI innovation in telecom
• Positive Sentiment: Deals with Microsoft and AWS for enterprise 5G — expands go‑to‑market with hyperscalers and could increase recurring enterprise service revenue. Ericsson strikes Microsoft, AWS deals for enterprise 5G
• Positive Sentiment: Mastercard collaboration to boost digital payments across MEA and a global money‑movement tie-up — diversifies Ericsson’s enterprise offerings and monetization opportunities. Ericsson, Mastercard team up to scale global money movement
• Positive Sentiment: Vonage (part of Ericsson) expanded its developer ecosystem — supports platform monetization and stickiness with developers/enterprises. Vonage Expands Developer Ecosystem to Accelerate the Next Era of Enterprise Digital Transformation
• Neutral Sentiment: Operational updates ahead of MWC26 (mentions Meta deal and Vodafone Dutch asset sale) — event‑driven visibility but outcomes will determine material impact. Ericsson set for MWC26; Meta mega-deal; Vodafone Dutch sale
• Neutral Sentiment: Planned Japan radio R&D hub and university partnership — longer‑term R&D investments that support technology leadership but increase near‑term capex. Yokohama announced as site of new Ericsson Japan R&D Center
• Neutral Sentiment: Short‑interest report in the feed appears to be a data glitch (0 shares / NaN increase) — no clear signal for investor positioning. Short interest data (feed)
• Negative Sentiment: Ericsson sued/countersued Acer over 4G/5G patent licensing — brings litigation risk, potential legal costs and uncertain financial exposure. Ericsson sues Acer over 4G, 5G wireless patent licensing

Analyst Ratings Changes

Several brokerages have recently commented on ERIC. Citigroup reiterated a “neutral” rating on shares of Ericsson in a research report on Friday, January 16th. Morgan Stanley initiated coverage on Ericsson in a research note on Monday, February 9th. They issued an “equal weight” rating and a $11.00 target price for the company. Weiss Ratings reissued a “buy (b-)” rating on shares of Ericsson in a research note on Monday, December 29th. Finally, Argus raised shares of Ericsson to a “hold” rating in a research note on Monday, January 26th. One analyst has rated the stock with a Buy rating, eight have issued a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Reduce” and a consensus target price of $10.40.

Ericsson Stock Up 0.7%

The stock has a market cap of $38.19 billion, a P/E ratio of 12.88, a P/E/G ratio of 1.98 and a beta of 0.94. The company has a quick ratio of 1.08, a current ratio of 1.29 and a debt-to-equity ratio of 0.26. The company has a 50-day simple moving average of $10.18 and a two-hundred day simple moving average of $9.26.

Institutional Trading of Ericsson

Several large investors have recently modified their holdings of ERIC. Jump Financial LLC bought a new position in Ericsson during the 2nd quarter valued at approximately $17,461,000. ABC Arbitrage SA increased its stake in shares of Ericsson by 64.6% during the second quarter. ABC Arbitrage SA now owns 5,121,349 shares of the communications equipment provider’s stock valued at $43,429,000 after buying an additional 2,009,723 shares during the period. Defiance ETFs LLC bought a new position in shares of Ericsson during the fourth quarter valued at approximately $13,766,000. BNP Paribas Financial Markets lifted its stake in Ericsson by 42.9% in the second quarter. BNP Paribas Financial Markets now owns 3,350,029 shares of the communications equipment provider’s stock worth $28,408,000 after acquiring an additional 1,005,398 shares during the period. Finally, Van ECK Associates Corp lifted its stake in Ericsson by 229.3% in the fourth quarter. Van ECK Associates Corp now owns 1,252,437 shares of the communications equipment provider’s stock worth $12,086,000 after acquiring an additional 872,065 shares during the period. 7.99% of the stock is owned by institutional investors.

Ericsson Company Profile

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.