Switch to:

GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 8/10

vs
industry
vs
history
Cash to Debt 3.03
ERIC's Cash to Debt is ranked higher than
73% of the 705 Companies
in the Global Communication Equipment industry.

( Industry Median: 2.15 vs. ERIC: 3.03 )
ERIC' s 10-Year Cash to Debt Range
Min: 0.52   Max: No Debt
Current: 3.03

Equity to Asset 0.52
ERIC's Equity to Asset is ranked higher than
60% of the 677 Companies
in the Global Communication Equipment industry.

( Industry Median: 0.57 vs. ERIC: 0.52 )
ERIC' s 10-Year Equity to Asset Range
Min: 0.27   Max: 0.56
Current: 0.52

0.27
0.56
Interest Coverage 8.53
ERIC's Interest Coverage is ranked higher than
51% of the 435 Companies
in the Global Communication Equipment industry.

( Industry Median: 115.57 vs. ERIC: 8.53 )
ERIC' s 10-Year Interest Coverage Range
Min: 3.82   Max: 25.27
Current: 8.53

3.82
25.27
F-Score: 7
Z-Score: 2.83
M-Score: -2.64
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 7/10

vs
industry
vs
history
Operating margin (%) 8.62
ERIC's Operating margin (%) is ranked higher than
86% of the 697 Companies
in the Global Communication Equipment industry.

( Industry Median: 3.27 vs. ERIC: 8.62 )
ERIC' s 10-Year Operating margin (%) Range
Min: -14.61   Max: 21.93
Current: 8.62

-14.61
21.93
Net-margin (%) 6.06
ERIC's Net-margin (%) is ranked higher than
80% of the 697 Companies
in the Global Communication Equipment industry.

( Industry Median: 3.32 vs. ERIC: 6.06 )
ERIC' s 10-Year Net-margin (%) Range
Min: -13.04   Max: 16.02
Current: 6.06

-13.04
16.02
ROE (%) 9.92
ERIC's ROE (%) is ranked higher than
82% of the 691 Companies
in the Global Communication Equipment industry.

( Industry Median: 5.27 vs. ERIC: 9.92 )
ERIC' s 10-Year ROE (%) Range
Min: -26.77   Max: 27.08
Current: 9.92

-26.77
27.08
ROA (%) 5.16
ERIC's ROA (%) is ranked higher than
79% of the 706 Companies
in the Global Communication Equipment industry.

( Industry Median: 2.96 vs. ERIC: 5.16 )
ERIC' s 10-Year ROA (%) Range
Min: -8.47   Max: 12.36
Current: 5.16

-8.47
12.36
ROC (Joel Greenblatt) (%) 48.49
ERIC's ROC (Joel Greenblatt) (%) is ranked higher than
91% of the 706 Companies
in the Global Communication Equipment industry.

( Industry Median: 9.30 vs. ERIC: 48.49 )
ERIC' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: -40.09   Max: 377.36
Current: 48.49

-40.09
377.36
Revenue Growth (3Y)(%) 3.10
ERIC's Revenue Growth (3Y)(%) is ranked higher than
69% of the 581 Companies
in the Global Communication Equipment industry.

( Industry Median: 3.20 vs. ERIC: 3.10 )
ERIC' s 10-Year Revenue Growth (3Y)(%) Range
Min: -40.2   Max: 20
Current: 3.1

-40.2
20
EBITDA Growth (3Y)(%) -11.80
ERIC's EBITDA Growth (3Y)(%) is ranked higher than
62% of the 424 Companies
in the Global Communication Equipment industry.

( Industry Median: 3.40 vs. ERIC: -11.80 )
ERIC' s 10-Year EBITDA Growth (3Y)(%) Range
Min: -76.6   Max: 219.6
Current: -11.8

-76.6
219.6
EPS Growth (3Y)(%) 1.90
ERIC's EPS Growth (3Y)(%) is ranked higher than
74% of the 396 Companies
in the Global Communication Equipment industry.

( Industry Median: -0.30 vs. ERIC: 1.90 )
ERIC' s 10-Year EPS Growth (3Y)(%) Range
Min: -48.3   Max: 37.8
Current: 1.9

-48.3
37.8
» ERIC's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q4 2013

ERIC Guru Trades in Q4 2013

Jim Simons 4,390,400 sh (+93.79%)
NWQ Managers 615,225 sh (+52.3%)
Dodge & Cox 1,984,774 sh (+5.73%)
Charles Brandes 7,257,256 sh (+5.48%)
John Buckingham 465,998 sh (+0.18%)
Mario Gabelli 87,000 sh (unchged)
PRIMECAP Management 25,469,514 sh (-0.13%)
Ken Fisher 428,443 sh (-1.38%)
Steven Cohen 24,302 sh (-3.17%)
Manning & Napier Advisors, Inc 365,441 sh (-32.73%)
» More
Q1 2014

ERIC Guru Trades in Q1 2014

NWQ Managers 730,375 sh (+18.72%)
John Buckingham 481,178 sh (+3.26%)
Charles Brandes 7,379,377 sh (+1.68%)
Dodge & Cox 2,001,374 sh (+0.84%)
Mario Gabelli 87,000 sh (unchged)
Manning & Napier Advisors, Inc 358,926 sh (-1.78%)
Ken Fisher 418,987 sh (-2.21%)
PRIMECAP Management 18,959,214 sh (-25.56%)
Jim Simons 2,753,701 sh (-37.28%)
Steven Cohen 15,024 sh (-38.18%)
» More
Q2 2014

ERIC Guru Trades in Q2 2014

HOTCHKIS & WILEY 14,026,203 sh (New)
PRIMECAP Management 21,010,814 sh (+10.82%)
Manning & Napier Advisors, Inc 388,275 sh (+8.18%)
Charles Brandes 7,772,102 sh (+5.32%)
John Buckingham 492,626 sh (+2.38%)
Ken Fisher 428,636 sh (+2.3%)
Dodge & Cox 2,042,574 sh (+2.06%)
NWQ Managers 733,850 sh (+0.48%)
Mario Gabelli 87,000 sh (unchged)
Jim Simons 1,217,700 sh (-55.78%)
» More
Q3 2014

ERIC Guru Trades in Q3 2014

Joel Greenblatt 11,589 sh (New)
David Dreman 3,111 sh (New)
PRIMECAP Management 32,117,814 sh (+52.86%)
Manning & Napier Advisors, Inc 470,842 sh (+21.27%)
HOTCHKIS & WILEY 16,782,838 sh (+19.65%)
Charles Brandes 8,052,282 sh (+3.6%)
Dodge & Cox 2,098,184 sh (+2.72%)
John Buckingham 498,117 sh (+1.11%)
Mario Gabelli 87,000 sh (unchged)
Jim Simons 1,202,100 sh (-1.28%)
Ken Fisher 403,609 sh (-5.84%)
NWQ Managers 558,600 sh (-23.88%)
» More
» Details

Insider Trades

Latest Guru Trades with ERIC

(List those with share number changes of more than 20%, or impact to portfolio more than 0.1%)

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
PRIMECAP Management 2014-09-30 Add 52.86%0.15%$11.54 - $13.24 $ 12.3-1%32117814
HOTCHKIS & WILEY 2014-09-30 Add 19.65%0.13%$11.54 - $13.24 $ 12.3-1%16782838
NWQ Managers 2014-09-30 Reduce -23.88%0.02%$11.54 - $13.24 $ 12.3-1%558600
David Dreman 2014-09-30 New Buy$11.54 - $13.24 $ 12.3-1%3111
Joel Greenblatt 2014-09-30 New Buy$11.54 - $13.24 $ 12.3-1%11589
HOTCHKIS & WILEY 2014-06-30 New Buy0.6%$11.88 - $13.59 $ 12.3-1%14026203
PRIMECAP Management 2014-03-31 Reduce -25.56%0.09%$11.54 - $13.16 $ 12.3-1%18959214
NWQ Managers 2013-12-31 Add 52.3%0.02%$11.69 - $13.56 $ 12.3-1%615225
Lee Ainslie 2013-06-30 Sold Out 0.31%$10.85 - $12.52 $ 12.33%0
NWQ Managers 2013-06-30 Add 184.06%0.02%$10.85 - $12.52 $ 12.33%390300
Lee Ainslie 2013-03-31 Add 82.61%0.14%$9.87 - $13.31 $ 12.34%1882853
George Soros 2013-03-31 Sold Out 0.1%$9.87 - $13.31 $ 12.34%0
Lee Ainslie 2012-12-31 Reduce -63.42%0.22%$8.46 - $10.08 $ 12.334%1031098
George Soros 2012-12-31 New Buy0.1%$8.46 - $10.08 $ 12.334%850000
Lee Ainslie 2012-09-30 New Buy0.34%$8.31 - $10.03 $ 12.333%2818797
NWQ Managers 2012-09-30 New Buy0.01%$8.31 - $10.03 $ 12.333%134469
John Hussman 2012-03-31 Sold Out $8.65 - $10.35 $ 12.334%0
PRIMECAP Management 2011-12-31 Reduce -20.28%0.13%$8.97 - $11.18 $ 12.322%31806524
Mario Gabelli 2011-12-31 New Buy0.01%$8.97 - $11.18 $ 12.322%102000
Dodge & Cox 2011-09-30 Reduce -94.19%0.52%$9.49 - $14.8 $ 12.36%1917056
PRIMECAP Management 2011-09-30 Reduce -27.58%0.32%$9.49 - $14.8 $ 12.36%39900007
Premium More recent guru trades are included for Premium Members only!!
Premium More recent guru trades are included for USA Subscribe Members only!!
» Interactive Charts

Peter Lynch Chart ( What is Peter Lynch Charts )

Ratios

vs
industry
vs
history
P/E(ttm) 21.50
ERIC's P/E(ttm) is ranked higher than
81% of the 761 Companies
in the Global Communication Equipment industry.

( Industry Median: 59.50 vs. ERIC: 21.50 )
ERIC' s 10-Year P/E(ttm) Range
Min: 9.17   Max: 92.59
Current: 21.5

9.17
92.59
P/B 2.00
ERIC's P/B is ranked higher than
68% of the 761 Companies
in the Global Communication Equipment industry.

( Industry Median: 2.25 vs. ERIC: 2.00 )
ERIC' s 10-Year P/B Range
Min: 1.05   Max: 6.22
Current: 2

1.05
6.22
P/S 1.30
ERIC's P/S is ranked higher than
70% of the 761 Companies
in the Global Communication Equipment industry.

( Industry Median: 1.50 vs. ERIC: 1.30 )
ERIC' s 10-Year P/S Range
Min: 0.71   Max: 3.3
Current: 1.3

0.71
3.3
PFCF 15.00
ERIC's PFCF is ranked higher than
88% of the 761 Companies
in the Global Communication Equipment industry.

( Industry Median: 350.00 vs. ERIC: 15.00 )
ERIC' s 10-Year PFCF Range
Min: 6.21   Max: 208.75
Current: 15

6.21
208.75
EV-to-EBIT 12.57
ERIC's EV-to-EBIT is ranked higher than
85% of the 761 Companies
in the Global Communication Equipment industry.

( Industry Median: 61.99 vs. ERIC: 12.57 )
ERIC' s 10-Year EV-to-EBIT Range
Min: -98.7   Max: 64
Current: 12.57

-98.7
64
Shiller P/E 29.80
ERIC's Shiller P/E is ranked higher than
86% of the 761 Companies
in the Global Communication Equipment industry.

( Industry Median: 9999.00 vs. ERIC: 29.80 )
ERIC' s 10-Year Shiller P/E Range
Min: 10.78   Max: 178.48
Current: 29.8

10.78
178.48
Current Ratio 2.06
ERIC's Current Ratio is ranked higher than
66% of the 695 Companies
in the Global Communication Equipment industry.

( Industry Median: 2.11 vs. ERIC: 2.06 )
ERIC' s 10-Year Current Ratio Range
Min: 1.54   Max: 2.9
Current: 2.06

1.54
2.9
Quick Ratio 1.74
ERIC's Quick Ratio is ranked higher than
70% of the 695 Companies
in the Global Communication Equipment industry.

( Industry Median: 1.68 vs. ERIC: 1.74 )
ERIC' s 10-Year Quick Ratio Range
Min: 1.14   Max: 2.54
Current: 1.74

1.14
2.54

Dividend & Buy Back

vs
industry
vs
history
Dividend Yield 3.70
ERIC's Dividend Yield is ranked higher than
83% of the 372 Companies
in the Global Communication Equipment industry.

( Industry Median: 1.72 vs. ERIC: 3.70 )
ERIC' s 10-Year Dividend Yield Range
Min: 1.58   Max: 5.68
Current: 3.7

1.58
5.68
Dividend Payout 0.71
ERIC's Dividend Payout is ranked higher than
79% of the 761 Companies
in the Global Communication Equipment industry.

( Industry Median: 9999.00 vs. ERIC: 0.71 )
ERIC' s 10-Year Dividend Payout Range
Min: 1.24   Max: 7.35
Current: 0.71

1.24
7.35
Dividend growth (3y) 11.20
ERIC's Dividend growth (3y) is ranked higher than
84% of the 196 Companies
in the Global Communication Equipment industry.

( Industry Median: 6.60 vs. ERIC: 11.20 )
ERIC' s 10-Year Dividend growth (3y) Range
Min: 0   Max: 11.2
Current: 11.2

0
11.2
Yield on cost (5-Year) 6.15
ERIC's Yield on cost (5-Year) is ranked higher than
89% of the 379 Companies
in the Global Communication Equipment industry.

( Industry Median: 1.89 vs. ERIC: 6.15 )
ERIC' s 10-Year Yield on cost (5-Year) Range
Min: 2.63   Max: 9.44
Current: 6.15

2.63
9.44
Share Buyback Rate -0.60
ERIC's Share Buyback Rate is ranked higher than
74% of the 444 Companies
in the Global Communication Equipment industry.

( Industry Median: -0.60 vs. ERIC: -0.60 )
ERIC' s 10-Year Share Buyback Rate Range
Min: 0.3   Max: -26
Current: -0.6

Valuation & Return

vs
industry
vs
history
Price/Net Current Asset Value 71.80
ERIC's Price/Net Current Asset Value is ranked higher than
72% of the 761 Companies
in the Global Communication Equipment industry.

( Industry Median: 9999.00 vs. ERIC: 71.80 )
ERIC' s 10-Year Price/Net Current Asset Value Range
Min: 16.86   Max: 290.45
Current: 71.8

16.86
290.45
Price/Tangible Book 3.16
ERIC's Price/Tangible Book is ranked higher than
65% of the 761 Companies
in the Global Communication Equipment industry.

( Industry Median: 3.42 vs. ERIC: 3.16 )
ERIC' s 10-Year Price/Tangible Book Range
Min: 0.94   Max: 24.38
Current: 3.16

0.94
24.38
Price/DCF (Projected) 1.16
ERIC's Price/DCF (Projected) is ranked higher than
86% of the 761 Companies
in the Global Communication Equipment industry.

( Industry Median: 18.50 vs. ERIC: 1.16 )
ERIC' s 10-Year Price/DCF (Projected) Range
Min: 0.36   Max: 20.17
Current: 1.16

0.36
20.17
Price/Median PS Value 1.09
ERIC's Price/Median PS Value is ranked higher than
71% of the 761 Companies
in the Global Communication Equipment industry.

( Industry Median: 1.10 vs. ERIC: 1.09 )
ERIC' s 10-Year Price/Median PS Value Range
Min: 0.18   Max: 5.5
Current: 1.09

0.18
5.5
Price/Peter Lynch Fair Value 2.01
ERIC's Price/Peter Lynch Fair Value is ranked higher than
93% of the 761 Companies
in the Global Communication Equipment industry.

( Industry Median: 9999.00 vs. ERIC: 2.01 )
ERIC' s 10-Year Price/Peter Lynch Fair Value Range
Min: 0.07   Max: 8.74
Current: 2.01

0.07
8.74
Price/Graham Number 1.74
ERIC's Price/Graham Number is ranked higher than
79% of the 761 Companies
in the Global Communication Equipment industry.

( Industry Median: 4.44 vs. ERIC: 1.74 )
ERIC' s 10-Year Price/Graham Number Range
Min: 1.01   Max: 10.42
Current: 1.74

1.01
10.42
Earnings Yield (Greenblatt) 8.00
ERIC's Earnings Yield (Greenblatt) is ranked higher than
83% of the 695 Companies
in the Global Communication Equipment industry.

( Industry Median: 2.60 vs. ERIC: 8.00 )
ERIC' s 10-Year Earnings Yield (Greenblatt) Range
Min: 1.6   Max: 29.1
Current: 8

1.6
29.1
Forward Rate of Return (Yacktman) 3.74
ERIC's Forward Rate of Return (Yacktman) is ranked higher than
66% of the 325 Companies
in the Global Communication Equipment industry.

( Industry Median: 11.75 vs. ERIC: 3.74 )
ERIC' s 10-Year Forward Rate of Return (Yacktman) Range
Min: -9.6   Max: 26.9
Current: 3.74

-9.6
26.9

Business Description

Industry: Communication Equipment » Communication Equipment
Compare:PTFRY, QCOM, CSCO, NOK, JNPR » details
Traded in other countries:ERIXF.USA, 0O86.UK, ERIBR.Finland, 0O87.UK, ERIC B.Sweden, ERIC A.Sweden, ERCG.Germany, ERCB.Germany, ERCA.Germany, ERIC N.Mexico,
LM Ericsson Telephone Company was incorporated on August 18, 1918. It is a provider of communications networks, telecom services and support solutions. Its segments include Networks, Global Services, Support Solutions and ST-Ericsson. The Networks segment delivers products and solutions for mobile access, IP and transport networks and core networks. It offers Radio access solutions, Switching and IMS solutions and Operations Support Systems. The Global Services segment delivers managed services, product-related services and consulting and systems integration services. Managed services offer solutions for designing, building, operating and managing the day-to-day operations of the customer's network or solution, maintenance, network sharing solutions as well as shared solutions such as hosting of platforms and applications. Product-related services offers Services to expand, upgrade, restructure networks, network-rollout services, customer support and network optimization services. Consulting and Systems Integration offers technology and operational consulting, integration of multi-vendor equipment, design and integration of new solutions and transforming programs. The Support Solutions segment provides enablers and applications for operators. It offers Operations Support Systems, Business Support Systems, TV solutions and M-Commerce solutions. The ST-Ericsson segment is a joint venture, it offers modems and ModAps (integrated modem and application processor platforms) for device manufacturers. The Company is subject to certain environmental, health and safety laws and regulations that affect its operations, facilities and products in each of the jurisdictions in which it operates.
» More Articles for ERIC

Headlines

Articles On GuruFocus.com
Know Your Margin of Safety – Ericsson Telephone Study Dec 17 2014 
Nokia's Struggle to Stabilize Market Performance Continues Nov 20 2014 
Alcatel-Lucent: Buy the Drop Sep 25 2014 
Widely Held Guru Stocks Near 52-Week Lows Jul 15 2014 
Vodafone Playing it Smart Mar 10 2014 
Marty Whitman’s Third Avenue Management Buys 3 New Stocks Mar 07 2013 
Is Cisco Destined to Grow Further? Dec 30 2012 
Cheapest Large Cap Stocks: 13 Hot Growth Picks to Consider Nov 24 2012 
Cheapest Large Caps with Highest Expected Growth as of October 2012 Oct 23 2012 
Cheapest Large Caps With Highest Expected Growth As Of September 2012 Sep 22 2012 

More From Other Websites
Apple- and Microsoft-backed patent group ends its war on Android Dec 23 2014
Telefonica and Ericsson connect the Peruvian Amazon with 4G/LTE Dec 20 2014
Telefonica and Ericsson connect the Peruvian Amazon with 4G/LTE Dec 18 2014
Ethiopia Telecom to invest with Ericsson to transform its network in Ethiopia Dec 16 2014
Orange and Ericsson have successfully completed the world's first live LTE-Advanced FDD trial in the... Dec 15 2014
India blocks sales of Chinese Xiaomi phones Dec 14 2014
Can China’s smartphone makers thrive in countries which take IP rights seriously? Ask Xiaomi Dec 12 2014
Entel and Ericsson complete Latin America's first live test of APT700 band Dec 11 2014
Entel and Ericsson complete Latin America's first live test of APT700 band Dec 11 2014
The 'Apple Of China' Is Now Banned From Selling Its Phones In India Dec 11 2014
Ericsson named a leader in Integrated Revenue and Customer Management Magic Quadrant Dec 11 2014
Xiaomi willing to open patent talks with Ericsson post facing temporary ban in India Dec 11 2014
Ericsson's 10 hot consumer trends for 2015: Connectivity integrated into daily life Dec 10 2014
ERICSSON's 10 hot consumer trends for 2015: connectivity integrated into daily life Dec 10 2014
Ericsson to Edify Deprived Indian Students via ICT Solutions Dec 10 2014
Vodafone and Ericsson deploy first Radio Dot System at Dutch University Dec 10 2014
Vodafone and Ericsson deploy first Radio Dot System at Dutch University Dec 10 2014
Ericsson launches Connect To Learn initiative in India Dec 09 2014
Ericsson launches Connect To Learn initiative in India Dec 09 2014
Ericsson Inks First Pan-India Deal, Extends Tie with Reliance Dec 08 2014

Personalized Checklist

Checklist has been moved to "Checklist" tab.

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK