Ericsson provides telecom equipment and services that are primarily used to build and facilitate mobile networks through operations in three segments: networks, cloud and software services, and enterprises. The firm's customers have historically been primarily wireless carriers, but the firm is making a push to cater more to other enterprises as well, both as they try to take advantage of 5G capabilities and on other "as-a-service" communications platforms. The company also licenses its patents to handset manufacturers so their devices are compatible with wireless networks.

Financial Strength

7/10

Name	Current	Vs Industry
Cash-To-Debt	1.18
Equity-to-Asset	0.32
Debt-to-Equity	0.5
Debt-to-EBITDA	1.65
Interest Coverage	13.58
Piotroski F-Score	6/9	0 1 2 3 4 5 6 7 8 9
Altman Z-Score	2.01	Distress Grey Safe
Beneish M-Score	-2.82	Manipulator Not Manipulator
WACC vs ROIC		WACC ROIC

Growth Rank

1/10

	Name	Current	Vs Industry		Vs History
	3-Year Revenue Growth Rate	4.2
	3-Year EPS without NRI Growth Rate	-46.5
	3-Year FCF Growth Rate	-58.4
	3-Year Book Growth Rate	4.4
	Future 3-5Y EPS without NRI Growth Rate Estimate	87.7

Momentum Rank

6/10

	Name	Current	Vs Industry		Vs History
	5-Day RSI	38.74
	9-Day RSI	57.13
	14-Day RSI	63.2
	6-1 Month Momentum %	38.22
	12-1 Month Momentum %	56.34

Liquidity Ratio

	Name	Current	Vs Industry		Vs History
	Current Ratio	1.19
	Quick Ratio	0.95
	Cash Ratio	0.43
	Days Inventory	90.3
	Days Sales Outstanding	63.01
	Days Payable	70.29

Dividend & Buy Back

	Name	Current	Vs Industry		Vs History
	Dividend Yield %	3.07
	Dividend Payout Ratio	0.27
	3-Year Dividend Growth Rate	21.6
	Forward Dividend Yield %	3.08
	5-Year Yield-on-Cost %	9.63
	Shareholder Yield %	1.36

Profitability Rank

6/10

	Name	Current	Vs Industry		Vs History
	Gross Margin %	42.64
	Operating Margin %	19.53
	Net Margin %	-0.55
	FCF Margin %	15.93
	ROE %	-1.41
	ROA %	-0.47
	ROIC %	328.86
	3-Year ROIIC %	-11.1
	ROC (Joel Greenblatt) %	19.08
	ROCE %	2.16
	Years of Profitability over Past 10-Year	7

GF Value Rank

3/10

	Name	Current	Vs Industry		Vs History
	Forward PE Ratio	13.73
	PE Ratio without NRI	9.21
	Shiller PE Ratio	200.52
	Price-to-Owner-Earnings	27.16
	PS Ratio	1.21
	PB Ratio	3.44
	Price-to-Tangible-Book	13.51
	Price-to-Free-Cash-Flow	7.59
	Price-to-Operating-Cash-Flow	6.9
	EV-to-EBIT	83.35
	EV-to-Forward-EBIT	12.73
	EV-to-EBITDA	10.99
	EV-to-Forward-EBITDA	8.62
	EV-to-Revenue	1.18
	EV-to-Forward-Revenue	1.15
	EV-to-FCF	7.38
	Price-to-Projected-FCF	1.15
	Price-to-Median-PS-Value	1.08
	Price-to-Peter-Lynch-Fair-Value	1.35
	Price-to-Graham-Number	2.35
	Earnings Yield (Greenblatt) %	1.2
	FCF Yield %	13.19
	Forward Rate of Return (Yacktman) %	14.16

GF Value: €5.52

HAM:ERCB

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