Telefonaktiebolaget L M Ericsson (HAM:ERCB) Days Payable: 92.51 (As of Mar. 2026) — 20% Above Median


HAM:ERCB Telefonaktiebolaget L M Ericsson HAM:ERCB
62 GF Score
Price €9.59
GF Value €6.25
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Telefonaktiebolaget L M Ericsson Days Payable?

Telefonaktiebolaget L M Ericsson HAM:ERCB -0.44% 62 Days Payable is 92.51 as of Mar. 2026, which is 20% above its 10-year median of 76.81. GuruFocus rates HAM:ERCB with a GF Score™ of 62/100 and a GF Value™ of €6.25 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 2,441 Hardware companies, Telefonaktiebolaget L M Ericsson ranks better than 56.33% on this metric.

Telefonaktiebolaget L M Ericsson's average Accounts Payable for the three months ended in Mar. 2026 was €2,450 Mil. Telefonaktiebolaget L M Ericsson's Cost of Goods Sold for the three months ended in Mar. 2026 was €2,417 Mil. Hence, Telefonaktiebolaget L M Ericsson's Days Payable for the three months ended in Mar. 2026 was 92.51.

The historical rank and industry rank for Telefonaktiebolaget L M Ericsson's Days Payable or its related term are showing as below:

HAM:ERCB' s Days Payable Range Over the Past 10 Years
Min: 56.77   Med: 76.81   Max: 93.87
Current: 77.87

During the past 13 years, Telefonaktiebolaget L M Ericsson's highest Days Payable was 93.87. The lowest was 56.77. And the median was 76.81.

HAM:ERCB's Days Payable is ranked better than
56.33% of 2441 companies
in the Hardware industry
Industry Median: 69.99 vs HAM:ERCB: 77.87

Telefonaktiebolaget L M Ericsson's Days Payable increased from Mar. 2025 (88.38) to Mar. 2026 (92.51). It may suggest that Telefonaktiebolaget L M Ericsson delayed paying its suppliers.


Telefonaktiebolaget L M Ericsson Days Payable Related Terms


Telefonaktiebolaget L M Ericsson Days Payable Historical Data

* Premium members only.

The historical data trend for Telefonaktiebolaget L M Ericsson's Days Payable can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Telefonaktiebolaget L M Ericsson Days Payable Chart

Telefonaktiebolaget L M Ericsson Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Days Payable
Get a 7-Day Free Trial Premium Member Only Premium Member Only 94.29 88.38 75.46 77.38 80.76

Telefonaktiebolaget L M Ericsson Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Days Payable Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 88.38 79.53 77.63 64.13 92.51

HAM:ERCB vs CSCO, CIEN, MSI: Days Payable Comparison

For the Communication Equipment subindustry, Telefonaktiebolaget L M Ericsson's Days Payable, along with its competitors' market caps and Days Payable data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Telefonaktiebolaget L M Ericsson Days Payable vs Hardware Industry

For the Hardware industry and Technology sector, Telefonaktiebolaget L M Ericsson's Days Payable distribution charts can be found below:

* The bar in red indicates where Telefonaktiebolaget L M Ericsson's Days Payable falls into.


HAM:ERCB
62GF Score
Telefonaktiebolaget L M Ericsson HAM:ERCB
Days Payable is just one metric. See GF Score™, valuation, warning signs, and more.
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Telefonaktiebolaget L M Ericsson Days Payable Calculation

Days Payable indicates the number of days that the account payable relative to cost of goods sold the company has. An increase of Days Payable may suggest that the company delays paying its suppliers.

Telefonaktiebolaget L M Ericsson's Days Payable for the fiscal year that ended in Dec. 2025 is calculated as

Days Payable (A: Dec. 2025 )
=Average Accounts Payable /Cost of Goods Sold*Days in Period
=( (Accounts Payable (A: Dec. 2024 ) + Accounts Payable (A: Dec. 2025 )) / count ) / Cost of Goods Sold (A: Dec. 2025 )*Days in Period
=( (2623.142 + 2419.981) / 2 ) / 11395.826*365
=2521.5615 / 11395.826*365
=80.76

Telefonaktiebolaget L M Ericsson's Days Payable for the quarter that ended in Mar. 2026 is calculated as:

Days Payable (Q: Mar. 2026 )
=Average Accounts Payable / Cost of Goods Sold*Days in Period
=( (Accounts Payable (Q: Dec. 2025 ) + Accounts Payable (Q: Mar. 2026 )) / count ) / Cost of Goods Sold (Q: Mar. 2026 )*Days in Period
=( (2419.981 + 2480.567) / 2 ) / 2416.879*365 / 4
=2450.274 / 2416.879*365 / 4
=92.51

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Days Payable →
What does a Days Payable of 92.51 mean?
Telefonaktiebolaget L M Ericsson (HAM:ERCB) has a Days Payable of 92.51 as of Mar. 2026. Days payable represents the average amount of days a company waits to pay its invoices from suppliers. View historical data on Telefonaktiebolaget L M Ericsson and its competitors. This is 20% above median its historical median of 76.81. Over the past decade, Telefonaktiebolaget L M Ericsson's Days Payable has ranged from 56.77 to 93.87. According to the industry distribution chart, Telefonaktiebolaget L M Ericsson ranks #1066 out of 2441 companies in the Hardware industry, placing it in the top 43.7%.
Is Telefonaktiebolaget L M Ericsson's Days Payable too high?
Telefonaktiebolaget L M Ericsson's current Days Payable of 92.51 is 20% above median its 10-year median of 76.81. Over the past 10 years, this metric has ranged from a low of 56.77 to a high of 93.87. The Hardware industry median Days Payable is 69.99. Telefonaktiebolaget L M Ericsson's value of 92.51 is 32.2% above this industry median. Based on the distribution chart, Telefonaktiebolaget L M Ericsson ranks #1066 out of 2441 companies in the Hardware industry, which is above the industry midpoint. Overall, Telefonaktiebolaget L M Ericsson has a GF Score™ of 62/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Telefonaktiebolaget L M Ericsson's Days Payable compare to CSCO and CIEN?
According to the Hardware industry distribution chart, Telefonaktiebolaget L M Ericsson ranks #1066 out of 2441 companies for Days Payable. This puts Telefonaktiebolaget L M Ericsson in the upper half of its industry. The industry median Days Payable is 69.99. Telefonaktiebolaget L M Ericsson's value of 92.51 is 32.2% above this benchmark. Historically, Telefonaktiebolaget L M Ericsson's own Days Payable has ranged from 56.77 to 93.87 over the past decade. While the company's 10-year median is 76.81 vs. the industry median of 69.99, Telefonaktiebolaget L M Ericsson has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Days Payable for a Hardware company?
The median Days Payable among Hardware companies is 69.99, based on 2,441 companies in the industry. Companies in the top quartile (top 25%) have a Days Payable significantly above this median, while those in the bottom quartile fall well below. However, Days Payable should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Telefonaktiebolaget L M Ericsson's current Days Payable of 92.51 is 32.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Days Payable mean?
A high Days Payable can signal that a stock is expensive relative to its fundamentals. Days payable represents the average amount of days a company waits to pay its invoices from suppliers. View historical data on Telefonaktiebolaget L M Ericsson and its competitors. For the Hardware industry, the median Days Payable is 69.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Telefonaktiebolaget L M Ericsson's current Days Payable is 92.51, which is 20% above median its own 10-year median of 76.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Telefonaktiebolaget L M Ericsson stock overvalued right now?
Based on GuruFocus' analysis, Telefonaktiebolaget L M Ericsson (HAM:ERCB) is currently considered Significantly Overvalued. The stock's GF Value™ is €6.25, compared to a current price of €9.59 — trading 53.5% above its estimated fair value. The current Days Payable is 92.51, which is 20% above median its 10-year median of 76.81 and 32.2% above the Hardware industry median of 69.99. Telefonaktiebolaget L M Ericsson's overall GF Score™ is 62/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Days Payable calculated?
Days Payable is calculated from a company's financial statements. For Telefonaktiebolaget L M Ericsson (HAM:ERCB), the current Days Payable is 92.51 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Telefonaktiebolaget L M Ericsson (HAM:ERCB) Overvalued in 2026?

Based on GuruFocus' analysis, Telefonaktiebolaget L M Ericsson stock appears to be overvalued. The current stock price of €9.59 is trading 53.5% above its estimated GF Value™ of €6.25. GuruFocus considers Telefonaktiebolaget L M Ericsson to be Significantly Overvalued.

Key valuation signals for HAM:ERCB:

  • Days Payable: 92.51 (20% above median its 10-year median of 76.81)
  • GF Value™: €6.25 vs. price of €9.59 (53.5% above fair value)
  • GF Score™: 62/100 with 3 warning signs
  • Industry Position: 32.2% above the Hardware median (#1066 of 2441)

No single metric tells the full story. See the HAM:ERCB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Telefonaktiebolaget L M Ericsson Business Description

Address Torshamnsgatan 21, Kista, Stockholm, SWE, SE-164 83
Ericsson is a networking equipment and software provider, primarily selling mobile networking equipment and services to wireless service providers. Ericsson operates in three segments: networks, cloud software and services, and enterprise. While large wireless carriers are its largest customers, Ericsson has expanded its offerings for large enterprises. These products and services include private 5G networking, contact centers as a service, and application performance interfaces. Ericsson aims to combine its 5G network expertise with cloud-native, as-a-service platforms offering a more comprehensive hardware and software package. Ericsson also monetizes its research and development investments by licensing patents to handset manufacturers.
62GF Score

Get the complete analysis for HAM:ERCB

Days Payable is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€9.59
Price
€6.25
GF Value