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Telefonaktiebolaget LM Ericsson
NASDAQ:ERIC

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Telefonaktiebolaget LM Ericsson Logo
Telefonaktiebolaget LM Ericsson
NASDAQ:ERIC
Watchlist
Price: 5.18 USD -1.15% Market Closed
Updated: Apr 29, 2024
Section:
 

Relative Value

The Relative Value of one ERIC stock under the Base Case scenario is 9.45 USD. Compared to the current market price of 5.18 USD, Telefonaktiebolaget LM Ericsson is Undervalued by 45%.

Relative Value is the estimated value of a stock based on various valuation multiples like P/E and EV/EBIT ratios. It offers a quick snapshot of a stock's valuation in relation to its peers and historical norms.

ERIC Relative Value
Base Case
9.45 USD
Undervaluation 45%
Relative Value
Price
Worst Case
Base Case
Best Case

Valuation Multiples

0.8
P/S
P/S
Price to Sales
0.8
vs History
55
vs Industry
65
Median 3Y
0.9
Median 5Y
0.8
Industry
1.7
Forward
0.7
More Details
Negative
P/E
P/E
Price to Earnings
N/A
vs History
vs Industry
40
Median 3Y
11.3
Median 5Y
10.9
Industry
25.6
Forward
12.9
More Details
10.6
P/OCF
P/OCF
Price to OCF
10.6
vs History
42
vs Industry
33
Median 3Y
8.4
Median 5Y
8.2
Industry
13.8
More Details
18.1
P/FCFE
P/FCFE
Price to FCFE
18.1
vs History
47
vs Industry
24
Median 3Y
18.1
Median 5Y
17.6
Industry
19.9
More Details
1.8
P/B
P/B
Price to Book Value
1.8
vs History
68
vs Industry
44
Median 3Y
1.9
Median 5Y
2.7
Industry
1.9
More Details
0.7
EV/S
EV/S
Enterprise Value to Sales
0.7
vs History
52
vs Industry
64
Median 3Y
0.8
Median 5Y
0.8
Industry
1.7
Forward
0.7
More Details
1.8
EV/GP
EV/GP
Enterprise Value to Gross Profit
1.8
vs History
47
vs Industry
71
Median 3Y
1.9
Median 5Y
1.9
Industry
5.8
More Details
6.4
EV/EBITDA
EV/EBITDA
Enterprise Value to EBITDA
6.4
vs History
39
vs Industry
45
Median 3Y
5.3
Median 5Y
5.2
Industry
15.4
Forward
5.8
More Details
10.4
EV/EBIT
EV/EBIT
Enterprise Value to EBIT
10.4
vs History
25
vs Industry
38
Median 3Y
7.3
Median 5Y
7.2
Industry
21.2
Forward
8.1
More Details
10.4
EV/OCF
EV/OCF
Enterprise Value to OCF
10.4
vs History
36
vs Industry
32
Median 3Y
8
Median 5Y
7.8
Industry
13
More Details
14.1
EV/FCFF
EV/FCFF
Enterprise Value to FCFF
14.1
vs History
33
vs Industry
22
Median 3Y
9.9
Median 5Y
9.6
Industry
14.3
More Details
0.8
EV/IC
EV/IC
Enterprise Value to IC
0.8
vs History
63
vs Industry
64
Median 3Y
0.9
Median 5Y
1.1
Industry
1.6
More Details

Multiples Across Competitors

ERIC Competitors Multiples
Telefonaktiebolaget LM Ericsson Competitors

All Multiples
P/S
P/E
EV/EBITDA
EV/EBIT
All Countries
All Countries
Close
Market Cap P/S P/E EV/EBITDA EV/EBIT
SE
Telefonaktiebolaget LM Ericsson
NASDAQ:ERIC
191.3B USD 0.8 -7.5 6.4 10.4
US
Cisco Systems Inc
NASDAQ:CSCO
193.8B USD 3.4 14.4 10.1 11.2
US
Arista Networks Inc
NYSE:ANET
82.7B USD 14.1 39.6 33.4 34.4
US
Motorola Solutions Inc
NYSE:MSI
57.6B USD 5.8 33.7 22.3 25.7
CN
Zhongji Innolight Co Ltd
SZSE:300308
148.4B CNY 15.1 89 87.5 87.5
FI
Nokia Oyj
OMXH:NOKIA
19B EUR 0.9 28.5 6 10.5
CN
ZTE Corp
SZSE:000063
137.5B CNY 1.1 14.7 12.7 12.7
US
Juniper Networks Inc
NYSE:JNPR
11.1B USD 2 35.8 15.1 20.3
US
F5 Inc
NASDAQ:FFIV
10.7B USD 3.8 23.2 13.6 16.2
CN
Suzhou TFC Optical Communication Co Ltd
SZSE:300394
61.9B CNY 40.9 109.5 108.8 108.8
TW
Accton Technology Corp
TWSE:2345
238.9B TWD 2.8 26.8 17.4 18.8

See Also

Summary
ERIC intrinsic value, competitors valuation, and company profile.
DCF Valuation
ERIC stock valuation using Discount Cash Flow valuation method.
Relative Valuation
ERIC stock valuation using valuation multiples.
Wall Street Estimates
ERIC price targets and financial estimates made by Wall st analysts.
Profitability Analysis
Detailed analysis of the company's profitability.
Solvency Analysis
Analysis of the financial position and solvency of the company.
Financials
Income Statement, Balance Sheet, Cash Flow Statement.
Discount Rate
ERIC stock discount rate: cost of equity and WACC.
Summary
DCF Valuation
Relative Valuation
Wall Street Estimates
Profitability Analysis
Solvency Analysis
Financials
Discount Rate
Discover More
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