WallStSmart

Telefonaktiebolaget LM Ericsson B ADR (ERIC)vsZepp Health Corp (ZEPP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Telefonaktiebolaget LM Ericsson B ADR generates 92720% more annual revenue ($240.31B vs $258.90M). ERIC leads profitability with a 10.9% profit margin vs -15.5%. ERIC earns a higher WallStSmart Score of 42/100 (D).

ERIC

Hold

42

out of 100

Grade: D

Growth: 2.0Profit: 6.5Value: 6.7Quality: 5.8
Piotroski: 4/9

ZEPP

Hold

41

out of 100

Grade: D

Growth: 4.7Profit: 2.0Value: 6.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ERICUndervalued (+86.2%)

Margin of Safety

+86.2%

Fair Value

$80.79

Current Price

$11.81

$68.98 discount

UndervaluedFair: $80.79Overvalued
ZEPPUndervalued (+48.6%)

Margin of Safety

+48.6%

Fair Value

$46.70

Current Price

$17.47

$29.23 discount

UndervaluedFair: $46.70Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ERIC4 strengths · Avg: 8.8/10
Price/BookValuation
0.4x10/10

Reasonable price relative to book value

Return on EquityProfitability
27.0%9/10

Every $100 of equity generates 27 in profit

P/E RatioValuation
13.9x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$7.03B8/10

Generating 7.0B in free cash flow

ZEPP2 strengths · Avg: 10.0/10
Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Revenue GrowthGrowth
43.0%10/10

Revenue surging 43.0% year-over-year

Areas to Watch

ERIC4 concerns · Avg: 2.3/10
Operating MarginProfitability
0.0%3/10

Operating margin of 0.0%

PEG RatioValuation
3.532/10

Expensive relative to growth rate

Revenue GrowthGrowth
-10.3%2/10

Revenue declined 10.3%

EPS GrowthGrowth
-78.5%2/10

Earnings declined 78.5%

ZEPP4 concerns · Avg: 2.0/10
Market CapQuality
$247.54M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-17.2%2/10

ROE of -17.2% — below average capital efficiency

EPS GrowthGrowth
-68.1%2/10

Earnings declined 68.1%

Profit MarginProfitability
-15.5%1/10

Currently unprofitable

Comparative Analysis Report

WallStSmart Research

Bull Case : ERIC

The strongest argument for ERIC centers on Price/Book, Return on Equity, P/E Ratio.

Bull Case : ZEPP

The strongest argument for ZEPP centers on Price/Book, Revenue Growth. Revenue growth of 43.0% demonstrates continued momentum.

Bear Case : ERIC

The primary concerns for ERIC are Operating Margin, PEG Ratio, Revenue Growth.

Bear Case : ZEPP

The primary concerns for ZEPP are Market Cap, Return on Equity, EPS Growth.

Key Dynamics to Monitor

ERIC profiles as a declining stock while ZEPP is a hypergrowth play — different risk/reward profiles.

ZEPP carries more volatility with a beta of 1.77 — expect wider price swings.

ZEPP is growing revenue faster at 43.0% — sustainability is the question.

Monitor COMMUNICATION EQUIPMENT industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ERIC scores higher overall (42/100 vs 41/100). ZEPP offers better value entry with a 48.6% 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.

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Zepp Health Corp

TECHNOLOGY · CONSUMER ELECTRONICS · China

Zepp Health Corporation, an activity and biometric data-driven company, develops, manufactures and sells smart wearable technology devices in the People's Republic of China. The company is headquartered in Hefei, the People's Republic of China.

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