Telefonaktiebolaget LM Ericsson Class A

Telefonaktiebolaget LM Ericsson Class A

26.28
BRL
-0.30
(-1.13%)
2.25EPS
12.93P/E
193.17BMarket Cap
Jan 22Next Earn

Total Valuation

BRL

As of June 30, 2026, Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B carries a market capitalization of 193.17B, placing it among publicly traded companies globally. Its enterprise value stands at 184.88B, reflecting the total theoretical takeover cost after accounting for cash holdings and debt obligations.

Market Cap193.17B
Enterprise Value184.88B

Important Dates

Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B's next confirmed earnings release is scheduled for January 22, 2027.

Earnings Date1/22/2027

Share Statistics

As of June 30, 2026, Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B has 6.68B shares outstanding.

Shares Outstanding6.68B

Valuation Ratios

As of June 30, 2026, Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B trades at a trailing price-to-earnings ratio of 12.93. The price-to-sales ratio is 1.40, and the price-to-book ratio stands at 3.48.

PE Ratio12.93
PS Ratio1.40
PB Ratio3.48
P/TBV Ratio7.92
P/FCF Ratio10.24
P/OCF Ratio9.43

Enterprise Valuation

As of June 30, 2026, Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B trades at an EV/EBITDA multiple of 10.23 - the valuation measure that neutralizes differences in capital structure, tax rates, and depreciation policy, making it the standard yardstick for comparing companies across an industry. The EV/Sales ratio of 1.52 reflects the premium investors pay for the company's revenue stream, a useful check when earnings are depressed or negative. Its EV/EBIT multiple of 13.37 values the business against core operating earnings after depreciation, a stricter test than EV/EBITDA for capital-intensive businesses. Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B trades at an EV/FCF ratio of 10.54, comparing the total takeover cost of the business to the cash it actually generates for all capital providers. These enterprise value multiples are built on an enterprise value of 184.88B versus a market cap of 193.17B, with the gap driven by net debt and cash on the balance sheet.

EV / Sales1.52
EV / EBITDA10.23
EV / EBIT13.37
EV / FCF10.54

Financial Position

As of June 30, 2026, Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B maintains a current ratio of 1.12, meaning it holds 1.1x the short-term assets needed to cover near-term liabilities. The debt-to-equity ratio is 37.68, indicating elevated leverage, while an interest coverage ratio of 14.99 demonstrates strong ability to service its debt obligations.

Current Ratio1.12
Quick Ratio0.89
Debt / Equity37.68
Debt / EBITDA1.16
Interest Coverage14.99

Financial Efficiency

BRL

Over the twelve months ended June 30, 2026, Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B posted a return on equity (ROE) of 25.84, showing how much profit the company earns on every dollar of shareholder capital. Return on invested capital (ROIC) comes in at 13.84 - the clearest signal of whether the business earns more on its capital than that capital costs, and the core measure of a durable competitive advantage. Return on assets (ROA) stands at 8.83, measuring how efficiently the asset base is converted into earnings. Return on capital employed (ROCE) is 19.11, useful for judging operating efficiency across full business cycles. The company generates approximately 1.35M in revenue per employee across its workforce of 90,178.50, a quick read on workforce productivity versus industry peers. Inventory turnover of 4.18 indicates how many times Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B sells and replaces its inventory over a year, a key working capital efficiency ratio.

Return on Equity (ROE)25.84
Return on Assets (ROA)8.83
Return on Invested Capital (ROIC)13.84
Return on Capital Employed (ROCE)19.11
Revenue Per Employee1.35M
Employee Count90,178.50
Inventory Turnover4.18

Taxes

BRL

Over the twelve months ended June 30, 2026, Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B recorded 4.36B in income tax expense. That works out to an effective tax rate of 24.77, which can sit above or below the statutory corporate tax rate depending on foreign earnings mix, tax credits, and one-off items. Taxes are levied on pretax income of 17.60B, leaving 13.14B in net income after tax - the gap is what shifts in the tax rate do to reported earnings and EPS.

Income Tax4.36B
Effective Tax Rate24.77

Stock Price Statistics

BRL

As of the close on October 21, 2026, Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B's stock has gained approximately 2.94% over the past 52 weeks. The 50-day moving average sits at 26.71, while the 200-day moving average is 26.05.

52-Week Price Change2.94%
50-Day Moving Average26.71
200-Day Moving Average26.05

Income Statement

BRL

Over the twelve months ended June 30, 2026, Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B generated 121.32B in revenue and converted that into 13.14B in net income, yielding earnings per share of 2.25. EBITDA reached 18.07B, while operating income came in at 13.86B.

Revenue121.32B
Gross Profit57.00B
Operating Income13.86B
Pretax Income17.60B
Net Income13.14B
EBITDA18.07B
EBIT13.83B
Earnings Per Share (EPS)2.25

Balance Sheet

BRL

As of June 30, 2026, Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B holds 29.73B in cash and equivalents against 21.05B in total debt, resulting in a net debt position of -5.46B. Total book value stands at 55.47B, with working capital of 8.42B providing operational flexibility.

Cash & Cash Equivalents29.73B
Total Debt21.05B
Net Debt-5.46B
Equity (Book Value)55.47B
Book Value Per Share8.30
Working Capital8.42B

Cash Flow

BRL

Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B produced 18.01B in operating cash flow over the twelve months ended June 30, 2026. After subtracting -1.38B in capital expenditures, free cash flow totaled 16.63B - equivalent to 2.83 per share.

Operating Cash Flow18.01B
Capital Expenditures-1.38B
Free Cash Flow16.63B
FCF Per Share2.83

Margins

Over the twelve months ended June 30, 2026, Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B posted a gross margin of 46.98, reflecting its pricing power and cost economics. The operating margin of 11.42 and net profit margin of 10.83 provide insight into operational efficiency.

Gross Margin46.98
Operating Margin11.42
Pretax Margin14.51
Profit Margin10.83
EBITDA Margin14.89

Dividends & Yields

BRL

Over the twelve months ended June 30, 2026, Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B paid dividends of 0.89 per share. The dividend payout ratio of 39.05 indicates the proportion of earnings distributed to shareholders, a key gauge of how sustainable the dividend is and how much room remains for future dividend growth. Free cash flow yield stands at 9.76, showing how much cash the business generates relative to its market value - dividends covered by free cash flow are generally more durable than those funded by debt. Total shareholder yield reaches 5.94, combining dividends paid with share buybacks and debt reduction for a fuller picture of capital returned to Telefonaktiebolaget LM Ericsson ADR B Unsponsored Brazilian Depositary Receipt Repr 0.5 ADR B shareholders.

Dividend Per Share0.89
Payout Ratio39.05
Shareholder Yield5.94
FCF Yield9.76