ERIC Stock Analysis: Buy, Sell, or Hold?
ERIC - Ericsson American Depositary Shares
$11.07
-0.08 (-0.67%)
▼
5d:
-2.25%
30d:
-4.61%
90d:
+14.31%
BUY
MODERATE Confidence
Analysis Updated: Mar 30, 2026 12:00 AM ET
Earnings: Apr 17, 2026
17d
Get Alerted When ERIC Hits Your Target Price
Join 10,000+ traders who never miss a move
You're in! Check your email to confirm and set your target price.
100% Free
No spam, ever
Unsubscribe anytime
Interactive Price Chart (1 Month)
Loading chart...
Loading historical data...
Bottom Line:
💡 BUY OPPORTUNITY: ERIC shows positive signals but monitor for confirmation. Market pricing in 1.0% decline. Moderate conviction.
💡 BUY OPPORTUNITY: ERIC shows positive signals but monitor for confirmation. Market pricing in 1.0% decline. Moderate conviction.
Long-Term Wealth Forecast (2031)
Based on Analyst Consensus Growth & Historical Valuation
0% (Stagnation)
50% (Hyper Growth)
EST. PRICE IN 2031
$11.47
Based on 0.0% avg growth
INTRINSIC VALUE TODAY
$7.12
Trading above fair value
How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 16.6x Exit PE.
In-depth Analysis How we analyze
Valuation Analysis: ERIC is currently trading at $11.06, which is considered oversold relative to its 30-day fair value range of $11.15 to $11.60. The stock's valuation (Forward PE: 16.1) is in line with its historical norms (16.6). Remarkably, the market is currently pricing in an annual earnings decline of 1.0% over the next few years. This pessimistic expectation contrasts with the company's recent 79.2% earnings growth, suggesting potential undervaluation if the company simply maintains stability.
Technical Outlook: Technically, ERIC is in a strong uptrend. The price is currently testing key support at $11.08. A bounce from this level would confirm strength, while a break below could signal further downside.
Market Sentiment: The stock shows a mixed technical setup (40/100), with neutral trendline and momentum signals. Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.
Technical Outlook: Technically, ERIC is in a strong uptrend. The price is currently testing key support at $11.08. A bounce from this level would confirm strength, while a break below could signal further downside.
Market Sentiment: The stock shows a mixed technical setup (40/100), with neutral trendline and momentum signals. Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.
Quick Decision Summary
Current Position
OVERSOLD
Fair Price Range
$11.15 -
$11.60
Company Quality Score
56/100
(HOLD)
Volume Confirmation
HIGH
Confidence Score
72.4%
All Signals
- BULLISH: Price oversold vs 30-day range
- NEUTRAL: Mixed technical signals (40/100)
- BULLISH: High volume confirmation
- BEARISH: Trading above Wall St target ($10.08)
Fair Price Analysis
30-Day Fair Range
$11.15 -
$11.60
Current vs Fair Value
OVERSOLD
Support & Resistance Levels
Support Level
$11.08
Resistance Level
$12.12
Current Trend
Strong Uptrend
Technical data as of
Mar 30, 2026
Fundamental Context
Forward P/E (Next Year Est.)
16.09
Wall Street Target
$10.08
(-9.5%)
Revenue Growth (YoY)
-5.0%
Earnings Growth (YoY)
79.2%
Profit Margin
12.0%
Valuation Discount vs History
-1.0% cheaper
PE vs Historical
16.1 vs 16.6
FAIR
Market-Implied Price Targets
If current PE multiple persists
Implied Growth (YoY):
-1.0%
(market-implied from PE analysis)
1-Year Target
$11.03
(-1%)
2-Year Target
$10.92
(-2%)
3-Year Target
$10.81
(-3%)
3-Yr Target (if PE normalizes)
(PE: 16→17)
$11.15
(+0%)
3-Year Scenarios
Using analyst projected EPS growth
Bull:
(PE: 22.4, Growth: -4.0%)
$13.72
(+23%)
Base:
(SPY PE: 16.1, Growth: -4.0%)
$9.85
(-12%)
Bear:
(PE: 13.7, Growth: -4.0%)
$8.37
(-25%)
📈
Valuation based on Current Earnings
Trailing PE: 12.42 | Current EPS (TTM): $0.90
Bull Case
$9.46
(-16%)
Analyst growth -23.1%, PE expands to 13.7
Base Case
$8.60
(-24%)
Market implied -23.1%, PE stable at 12.4
Bear Case
$7.60
(-33%)
Severe decline -20.0%, PE contracts to 10.6
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
💡
Upside Surprise Potential
If earnings stabilize (0% growth), PE could expand from 16.1 to 16.6
Stabilization Target:
$11.50
(+3.2%)
PE Expansion Potential:
+3.2%
Share & Embed Analysis
Last updated: March 30, 2026 3:08 PM ET
Data refreshes hourly during market hours. Next update: 4:08 PM
Data refreshes hourly during market hours. Next update: 4:08 PM
🔥 Top Stocks Breaking Out Now
| Ticker | Score | Recommendation | Change % |
|---|
Technical Signals Check
Is ERIC showing a specific setup today?
Insider Activity (6 Months)
0
Buys
0
Sells
0
Net
NEUTRAL
Top Rated Communication Equipment Stocks
Top-rated stocks in Communication Equipment by analyst ratings.
| Stock | Analyst Consensus | Analyst Target | Tradestie Score |
|---|---|---|---|
|
CSCO
Cisco Systems Inc |
BUY
26 analysts |
$89 | 62 BUY |
|
ZBRA
Zebra Technologies Corpo… |
BUY
19 analysts |
$336 | 55 HOLD |
|
LITE
Lumentum Holdings Inc |
STRONG BUY
16 analysts |
$673 | 51 HOLD |
|
CIEN
Ciena Corp |
BUY
16 analysts |
$329 | 56 HOLD |
|
MSI
Motorola Solutions Inc |
STRONG BUY
13 analysts |
$502 | 60 HOLD |
