Telefonaktiebolaget LM Ericsson (publ) (NASDAQ:ERIC) Shares Gap Down on Disappointing Earnings

Telefonaktiebolaget LM Ericsson (publ) (NASDAQ:ERIC)’s share price gapped down before the market opened on Friday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $8.90, but opened at $7.98. Telefonaktiebolaget LM Ericsson (publ) shares last traded at $7.88, with a volume of 8,269,693 shares changing hands.

The communications equipment provider reported $0.17 EPS for the quarter, missing the consensus estimate of $0.21 by ($0.04). Telefonaktiebolaget LM Ericsson (publ) had a positive return on equity of 13.31% and a negative net margin of 0.47%.

Wall Street Analysts Forecast Growth

A number of research analysts have commented on ERIC shares. JPMorgan Chase & Co. raised their target price on shares of Telefonaktiebolaget LM Ericsson (publ) from $5.90 to $6.70 and gave the company a “neutral” rating in a research report on Monday, October 21st. StockNews.com downgraded shares of Telefonaktiebolaget LM Ericsson (publ) from a “strong-buy” rating to a “buy” rating in a research report on Friday.

Institutional Trading of Telefonaktiebolaget LM Ericsson (publ)

A number of institutional investors have recently modified their holdings of the company. Alliance Wealth Advisors LLC UT bought a new stake in shares of Telefonaktiebolaget LM Ericsson (publ) in the 4th quarter valued at about $94,000. Caprock Group LLC bought a new stake in shares of Telefonaktiebolaget LM Ericsson (publ) in the 4th quarter valued at about $1,169,000. First Affirmative Financial Network boosted its holdings in shares of Telefonaktiebolaget LM Ericsson (publ) by 4.7% in the 4th quarter. First Affirmative Financial Network now owns 40,182 shares of the communications equipment provider’s stock valued at $324,000 after buying an additional 1,798 shares in the last quarter. Baron Wealth Management LLC acquired a new stake in Telefonaktiebolaget LM Ericsson (publ) in the 4th quarter worth approximately $122,000. Finally, Baldwin Wealth Partners LLC MA boosted its stake in Telefonaktiebolaget LM Ericsson (publ) by 187.6% in the 4th quarter. Baldwin Wealth Partners LLC MA now owns 51,916 shares of the communications equipment provider’s stock worth $418,000 after purchasing an additional 33,865 shares in the last quarter. 7.99% of the stock is currently owned by institutional investors.

Telefonaktiebolaget LM Ericsson (publ) Stock Down 14.4 %

The business’s 50 day moving average is $8.23 and its 200 day moving average is $7.71. The company has a market capitalization of $25.39 billion, a price-to-earnings ratio of -254.00 and a beta of 0.79. The company has a debt-to-equity ratio of 0.39, a quick ratio of 0.95 and a current ratio of 1.19.

About Telefonaktiebolaget LM Ericsson (publ)

Telefonaktiebolaget LM Ericsson (publ), together with its subsidiaries, provides mobile connectivity solutions for telcom operators and enterprise customers in various sectors in North America, Europe, Latin America, the Middle East, Africa, North East Asia, South East Asia, Oceania, and India. It operates in four segments: Networks; Cloud Software and Services; Enterprise; and Other.