Telefonaktiebolaget LM Ericsson B ADR (ERIC)vsNokia Corp ADR (NOK)
ERIC
Telefonaktiebolaget LM Ericsson B ADR
$11.07
-0.14%
TECHNOLOGY · Cap: $35.91B
NOK
Nokia Corp ADR
$8.89
+3.71%
TECHNOLOGY · Cap: $51.17B
Smart Verdict
WallStSmart Research — data-driven comparison
Telefonaktiebolaget LM Ericsson B ADR generates 1078% more annual revenue ($240.31B vs $20.39B). ERIC leads profitability with a 8.4% profit margin vs 3.5%. NOK appears more attractively valued with a PEG of 0.91. NOK earns a higher WallStSmart Score of 44/100 (D).
ERIC
Hold41
out of 100
Grade: D
NOK
Hold44
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+66.5%
Fair Value
$33.29
Current Price
$11.06
$22.23 discount
Margin of Safety
-59.6%
Fair Value
$5.10
Current Price
$8.89
$3.79 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Attractively priced relative to earnings
Generating 5.3B in free cash flow
Large-cap with strong market position
Conservative balance sheet, low leverage
Growing faster than its price suggests
Reasonable price relative to book value
Areas to Watch
Operating margin of 0.0%
Expensive relative to growth rate
Earnings declined 46.8%
Distress zone — elevated risk
ROE of 3.6% — below average capital efficiency
3.5% margin — thin
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : ERIC
The strongest argument for ERIC centers on Price/Book, P/E Ratio, Free Cash Flow.
Bull Case : NOK
The strongest argument for NOK centers on Market Cap, Debt/Equity, PEG Ratio. PEG of 0.91 suggests the stock is reasonably priced for its growth.
Bear Case : ERIC
The primary concerns for ERIC are Operating Margin, PEG Ratio, EPS Growth.
Bear Case : NOK
The primary concerns for NOK are Altman Z-Score, Return on Equity, Profit Margin. A P/E of 65.3x leaves little room for execution misses. Thin 3.5% margins leave little buffer for downturns.
Key Dynamics to Monitor
NOK carries more volatility with a beta of 0.73 — expect wider price swings.
NOK is growing revenue faster at 8.4% — sustainability is the question.
ERIC generates stronger free cash flow (5.3B), providing more financial flexibility.
Monitor COMMUNICATION EQUIPMENT industry trends, competitive dynamics, and regulatory changes.
Bottom Line
NOK scores higher overall (44/100 vs 41/100). ERIC offers better value entry with a 66.5% margin of safety. Both earn "Hold" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Telefonaktiebolaget LM Ericsson B ADR
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Telefonaktiebolaget LM Ericsson (publ), provides communications infrastructure, services and software solutions for telecommunications and other sectors. The company is headquartered in Stockholm, Sweden.
Visit Website →Nokia Corp ADR
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Nokia Corporation offers fixed and mobile network solutions globally. The company is headquartered in Espoo, Finland.
Visit Website →Compare with Other COMMUNICATION EQUIPMENT Stocks
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