Telefonaktiebolaget LM Ericsson
STO:ERIC B

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Telefonaktiebolaget LM Ericsson
STO:ERIC B
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Price: 90.42 SEK 0.33% Market Closed
Market Cap: 301.4B SEK

Relative Value

The Relative Value of one ERIC B stock under the Base Case scenario is 100.64 SEK. Compared to the current market price of 90.42 SEK, Telefonaktiebolaget LM Ericsson is Undervalued by 10%.

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 B Relative Value
Base Case
100.64 SEK
Undervaluation 10%
Relative Value
Price
Worst Case
Base Case
Best Case

Valuation Multiples

vs History
23
vs Industry
55
Median 3Y
0.9
Median 5Y
1
Industry
2.2
Forward
1.3
vs History
47
vs Industry
0
Median 3Y
10.1
Median 5Y
12.1
Industry
27.1
Forward
11.7
vs History
39
vs Industry
47
Median 3Y
7.7
Median 5Y
7.8
Industry
16.2
vs History
52
vs Industry
33
Median 3Y
11.9
Median 5Y
11.9
Industry
21.2
vs History
39
vs Industry
33
Median 3Y
2.1
Median 5Y
2.8
Industry
2.5
vs History
17
vs Industry
55
Median 3Y
0.8
Median 5Y
1
Industry
2.4
Forward
1.2
vs History
33
vs Industry
64
Median 3Y
2
Median 5Y
2.2
Industry
7.6
vs History
34
vs Industry
42
Median 3Y
6.2
Median 5Y
6.3
Industry
17.1
Forward
6.4
vs History
46
vs Industry
36
Median 3Y
9.3
Median 5Y
8.7
Industry
23.3
Forward
8.2
vs History
39
vs Industry
46
Median 3Y
7.2
Median 5Y
7.3
Industry
15.8
vs History
44
vs Industry
36
Median 3Y
8.9
Median 5Y
8.9
Industry
16.9
vs History
23
vs Industry
49
Median 3Y
0.9
Median 5Y
1.2
Industry
1.9

Multiples Across Competitors

ERIC B Competitors Multiples
Telefonaktiebolaget LM Ericsson Competitors

All Multiples
P/S
P/E
EV/EBITDA
EV/EBIT
All Countries
Close
Market Cap P/S P/E EV/EBITDA EV/EBIT
SE
Telefonaktiebolaget LM Ericsson
STO:ERIC B
301.5B SEK 1.3 12.2 7 9.2
JP
Nakayo Inc
TSE:6715
111.4T JPY 6 383.2 7 956 708 364 019 -1 113 898.2
US
Cisco Systems Inc
NASDAQ:CSCO
309B USD 5.4 29.9 20.1 24.2
US
Arista Networks Inc
NYSE:ANET
164.8B USD 19.5 49.1 41.9 42.7
CN
Zhongji Innolight Co Ltd
SZSE:300308
635.2B CNY 20.1 74.3 62.9 62.9
US
Motorola Solutions Inc
NYSE:MSI
62.1B USD 5.5 29.4 22.1 25
FI
Nokia Oyj
OMXH:NOKIA
29.5B EUR 1.5 31.8 14.4 27.5
US
Ubiquiti Inc
NYSE:UI
34B USD 12.3 42.9 35.6 36.4
US
Ciena Corp
NYSE:CIEN
29.7B USD 6.2 240.9 66.3 96.3
CN
ZTE Corp
SZSE:000063
177.1B CNY 1.3 30.3 33.3 33.3
US
Lumentum Holdings Inc
NASDAQ:LITE
26.3B USD 14.3 234.1 190.4 -262
EV/EBITDA Multiple
EBITDA Growth EV/EBITDA to Growth
SE
Telefonaktiebolaget LM Ericsson
STO:ERIC B
Average EV/EBITDA: 33 137.6
7
5%
1.4
JP
N
Nakayo Inc
TSE:6715
364 019
N/A N/A
US
Cisco Systems Inc
NASDAQ:CSCO
20.1
19%
1.1
US
Arista Networks Inc
NYSE:ANET
41.9
28%
1.5
CN
Zhongji Innolight Co Ltd
SZSE:300308
62.9
85%
0.7
US
Motorola Solutions Inc
NYSE:MSI
22.1
14%
1.6
FI
Nokia Oyj
OMXH:NOKIA
14.4
N/A N/A
US
Ubiquiti Inc
NYSE:UI
35.6
7%
5.1
US
Ciena Corp
NYSE:CIEN
66.3
38%
1.7
CN
ZTE Corp
SZSE:000063
33.3
19%
1.8
US
Lumentum Holdings Inc
NASDAQ:LITE
190.4
159%
1.2
EV/EBIT Multiple
EBIT Growth EV/EBIT to Growth
SE
Telefonaktiebolaget LM Ericsson
STO:ERIC B
Average EV/EBIT: 39.7
9.2
10%
0.9
JP
N
Nakayo Inc
TSE:6715
Negative Multiple: -1 113 898.2 N/A N/A
US
Cisco Systems Inc
NASDAQ:CSCO
24.2
23%
1.1
US
Arista Networks Inc
NYSE:ANET
42.7
28%
1.5
CN
Zhongji Innolight Co Ltd
SZSE:300308
62.9
87%
0.7
US
Motorola Solutions Inc
NYSE:MSI
25
15%
1.7
FI
Nokia Oyj
OMXH:NOKIA
27.5
N/A N/A
US
Ubiquiti Inc
NYSE:UI
36.4
7%
5.2
US
Ciena Corp
NYSE:CIEN
96.3
48%
2
CN
ZTE Corp
SZSE:000063
33.3
1%
33.3
US
Lumentum Holdings Inc
NASDAQ:LITE
Negative Multiple: -262 N/A N/A