Telefonaktiebolaget L M EricssonERIXF -4.47%59 Shareholder Yield % is 3.60% as of Mar. 2026, which is 58% above its 10-year median of 2.28. GuruFocus rates ERIXF with a GF Score™ of 59/100 and a GF Value™ of $7.19 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 2,440 Hardware companies, Telefonaktiebolaget L M Ericsson ranks better than 73.89% on this metric.
Shareholder Yield % is how much money shareholders receive from a company that is in the form of cash dividends, net stock repurchases, and debt reduction. It is a measure of shareholder return.
As of today, Telefonaktiebolaget L M Ericsson's Shareholder Yield % was 3.60%.
Telefonaktiebolaget L M Ericsson (OTCPK:ERIXF) Shareholder Yield % Explanation
Shareholder Yield % is how much money shareholders receive from a company that is in the form of cash dividends, net stock repurchases, and debt reduction. The term was coined by William W. Priest of Epoch Investment Partners in a paper in 2005 entitled The Case for Shareholder Yield as a Dominant Driver of Future Equity Returns. William Priest indicated that "shareholder yield is a term that we came up with to reflect the various ways dividends can be paid to owners of a business in a publicly-traded company."
Dividend Yield % shows how much a company pays out in dividends each year relative to its stock price, which is most obvious form of shareholder return.
Buyback Yield % is the net repurchase of shares outstanding over the market capital of the company. Shares repurchases also increase shareholder value by returning the money back to shareholders.
Net Debt Paydown Yield % is the change in average of four quarters of company's total debt over a company's market cap. Assuming the total value of a company remains that same, shareholder value is increased as debt is reduced.
Telefonaktiebolaget L M Ericsson Shareholder Yield % Related Terms
Telefonaktiebolaget L M Ericsson Shareholder Yield % Historical Data
* 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 Shareholder Yield % Chart
ERIXF vs CSCO, CIEN, MSI: Shareholder Yield % Comparison
For the Communication Equipment subindustry, Telefonaktiebolaget L M Ericsson's Shareholder Yield %, along with its competitors' market caps and Shareholder Yield % 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 Shareholder Yield % vs Hardware Industry
For the Hardware industry and Technology sector, Telefonaktiebolaget L M Ericsson's Shareholder Yield % distribution charts can be found below:
* The bar in red indicates where Telefonaktiebolaget L M Ericsson's Shareholder Yield % falls into.
* 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.
* All the data are calculated by TTM values. Note that if a companies is traded in several exchanges, then we calculate the company level data for Shareholder Yield % using the primary share class stock data. The calculation result in definition page is for demonstration purpose only, and it's showing the share class level data. Therefore, the numbers in the calculation may differ from elsewhere if the stock is not a primary share.
Telefonaktiebolaget L M Ericsson (ERIXF) has a Shareholder Yield % of 3.60% as of Mar. 2026. Shareholder Yield is how much money shareholders receive from a company that is in the form of cash dividends, net stock repurchases, and debt reduction. View historical data on Telefonaktiebolaget L M Ericsson and its competitors. This is 58% above median its historical median of 2.28. According to the industry distribution chart, Telefonaktiebolaget L M Ericsson ranks #637 out of 2440 companies in the Hardware industry, placing it in the top 26.1%.
Is Telefonaktiebolaget L M Ericsson's Shareholder Yield % too high?
Telefonaktiebolaget L M Ericsson's current Shareholder Yield % of 3.60% is 58% above median its 10-year median of 2.28. The Hardware industry median Shareholder Yield % is 0.48. Telefonaktiebolaget L M Ericsson's value of 3.60% is 657.9% above this industry median. Based on the distribution chart, Telefonaktiebolaget L M Ericsson ranks #637 out of 2440 companies in the Hardware industry, which is above the industry midpoint. Overall, Telefonaktiebolaget L M Ericsson has a GF Score™ of 59/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Telefonaktiebolaget L M Ericsson's Shareholder Yield % compare to CSCO and CIEN?
According to the Hardware industry distribution chart, Telefonaktiebolaget L M Ericsson ranks #637 out of 2440 companies for Shareholder Yield %. This puts Telefonaktiebolaget L M Ericsson in the upper half of its industry. The industry median Shareholder Yield % is 0.48. Telefonaktiebolaget L M Ericsson's value of 3.60% is 657.9% above this benchmark. While the company's 10-year median is 2.28 vs. the industry median of 0.48, 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 Shareholder Yield % for a Hardware company?
The median Shareholder Yield % among Hardware companies is 0.48, based on 2,440 companies in the industry. Companies in the top quartile (top 25%) have a Shareholder Yield % significantly above this median, while those in the bottom quartile fall well below. However, Shareholder Yield % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Telefonaktiebolaget L M Ericsson's current Shareholder Yield % of 3.60% is 657.9% 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 Shareholder Yield % mean?
A high Shareholder Yield % can signal that a stock is expensive relative to its fundamentals. Shareholder Yield is how much money shareholders receive from a company that is in the form of cash dividends, net stock repurchases, and debt reduction. View historical data on Telefonaktiebolaget L M Ericsson and its competitors. For the Hardware industry, the median Shareholder Yield % is 0.48 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Telefonaktiebolaget L M Ericsson's current Shareholder Yield % is 3.60%, which is 58% above median its own 10-year median of 2.28. 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 (ERIXF) is currently considered Significantly Overvalued. The stock's GF Value™ is $7.19, compared to a current price of $10.91 — trading 51.7% above its estimated fair value. The current Shareholder Yield % is 3.60%, which is 58% above median its 10-year median of 2.28 and 657.9% above the Hardware industry median of 0.48. Telefonaktiebolaget L M Ericsson's overall GF Score™ is 59/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Shareholder Yield % calculated?
Shareholder Yield % is calculated from a company's financial statements. For Telefonaktiebolaget L M Ericsson (ERIXF), the current Shareholder Yield % is 3.60% 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 (ERIXF) Overvalued in 2026?
Based on GuruFocus' analysis, Telefonaktiebolaget L M Ericsson stock appears to be overvalued.
The current stock price of $10.91 is trading 51.7% above its estimated GF Value™ of $7.19.
GuruFocus considers Telefonaktiebolaget L M Ericsson to be Significantly Overvalued.
Key valuation signals for ERIXF:
Shareholder Yield %: 3.60% (58% above median its 10-year median of 2.28)
GF Value™: $7.19 vs. price of $10.91 (51.7% above fair value)
Industry Position: 657.9% above the Hardware median (#637 of 2440)
No single metric tells the full story. See the ERIXF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Telefonaktiebolaget L M Ericsson Business Description
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.
59GF Score
Get the complete analysis for ERIXF
Shareholder Yield % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ERIXF has been successfully added to your 
