Ericsson (NASDAQ:ERIC) Stock Gets Price Target Trim from JPMorgan Chase & Co.

Ericsson (NASDAQ:ERIC) had its price target cut by JPMorgan Chase & Co. from $11.40 to $10.20 in a report released on Thursday,Benzinga reports. They currently have a neutral rating on the communications equipment provider’s stock.

Other equities research analysts have also recently issued research reports about the stock. Danske raised shares of Ericsson from a “hold” rating to a “buy” rating in a research note on Wednesday, July 15th. Weiss Ratings cut shares of Ericsson from a “buy (b)” rating to a “buy (b-)” rating in a research report on Friday, August 28th. Citigroup reissued a “neutral” rating on shares of Ericsson in a research note on Wednesday, July 15th. Finally, Morgan Stanley lowered shares of Ericsson from an “equal weight” rating to an “underweight” rating and lowered their price target for the stock from $11.00 to $9.00 in a research report on Tuesday, September 22nd. Two equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat.com, Ericsson has an average rating of “Hold” and an average target price of $9.60.

Ericsson Price Performance

Shares of Ericsson stock opened at $9.56 on Thursday. The stock has a market capitalization of $32.23 billion, a P/E ratio of 12.26, a PEG ratio of 1.77 and a beta of 0.96. The business has a 50 day simple moving average of $9.94 and a two-hundred day simple moving average of $11.00. Ericsson has a 12 month low of $8.12 and a 12 month high of $13.77. The company has a debt-to-equity ratio of 0.21, a current ratio of 1.12 and a quick ratio of 0.89.

Ericsson (NASDAQ:ERIC) last issued its quarterly earnings results on Tuesday, June 30th. The communications equipment provider reported $0.13 earnings per share (EPS) for the quarter. Ericsson had a return on equity of 20.63% and a net margin of 10.72%. The firm had revenue of $5.43 billion for the quarter. As a group, analysts predict that Ericsson will post 0.60 EPS for the current fiscal year.

Ericsson Announces Dividend

The business also recently announced a dividend, which was paid on Tuesday, September 29th. Shareholders of record on Tuesday, September 29th were issued a $0.1579 dividend. The ex-dividend date was Tuesday, September 29th. Ericsson’s dividend payout ratio is presently 26.92%.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. Public Employees Retirement System of Ohio acquired a new stake in Ericsson during the second quarter worth about $15,812,000. Bank of New York Mellon Corp raised its stake in Ericsson by 8.5% during the first quarter. Bank of New York Mellon Corp now owns 160,581 shares of the communications equipment provider’s stock worth $1,810,000 after purchasing an additional 12,534 shares during the period. Advisors Preferred LLC acquired a new position in Ericsson in the 1st quarter valued at about $493,000. Finally, Atlas Capital Advisors Inc. acquired a new position in Ericsson in the 4th quarter valued at about $429,000. Institutional investors and hedge funds own 7.99% of the company’s stock.

Key Headlines Impacting Ericsson

Here are the key news stories impacting Ericsson this week:

• Positive Sentiment: Ericsson India Managing Director Nitin Bansal said the growth of AI applications will require faster uplink speeds and force telecom operators to rethink spectrum allocation, network architecture and power usage. This highlights a potential long-term demand opportunity for Ericsson’s network equipment and services. Ericsson India MD urges faster uploads for AI
• Positive Sentiment: Ericsson has begun exporting antennas manufactured in India to Europe and other global markets. The move could improve manufacturing scale, strengthen supply-chain flexibility and position the company to benefit from the transition from 5G toward 6G. Ericsson to export India-made antennas to Europe
• Neutral Sentiment: Ericsson and Nokia are competing with Huawei over the design of AI-focused 6G core networks. The development reinforces Ericsson’s strategic relevance, but commercial benefits remain longer term and competition is intense. Ericsson and Nokia battle Huawei in 6G core networks
• Neutral Sentiment: JPMorgan lowered its Ericsson price target from $11.40 to $10.20 and maintained a “neutral” rating. The revised target still implies approximately 6.7% upside based on the referenced $9.56 price, but the cut signals more limited analyst conviction. JPMorgan lowers Ericsson price target
• Neutral Sentiment: Ericsson is expected to report quarterly results shortly, making earnings, guidance and telecommunications spending trends the next major catalysts. Recent comparisons with Arista Networks and Optical Cable provide limited direct stock-moving information. Ericsson expected to announce quarterly earnings
• Neutral Sentiment: A report lists Ericsson’s short interest at zero shares and a 0.0-day short-interest ratio, despite describing a large increase. Because the figures appear internally inconsistent, they do not provide a reliable short-seller or covering signal.

About Ericsson

Telefonaktiebolaget LM Ericsson, commonly known as Ericsson, is a Swedish telecommunications and technology company that provides communications infrastructure, software, and related services to telecommunications operators and enterprises worldwide. The company was founded in 1876 by Lars Magnus Ericsson and is headquartered in Stockholm, Sweden.

Ericsson’s offerings include mobile network equipment and services for 4G and 5G networks, radio access systems, core networks, transport solutions, and network management software.