WallStSmart
ERIC

Telefonaktiebolaget LM Ericsson B ADR

NASDAQ: ERIC · TECHNOLOGY · COMMUNICATION EQUIPMENT

$11.81
+3.28% today

Updated 2026-04-30

Market cap
$37.64B
P/E ratio
13.95
P/S ratio
1.48x
EPS (TTM)
$0.81
Dividend yield
2.77%
52W range
$7 – $12
Volume
10.2M
OverviewPrice TargetsFinancialsValuationInsidersEarnings

Telefonaktiebolaget LM Ericsson B ADR (ERIC) Financial Forecast & Price Target 2030

Research-backed projections from analyst consensus, management guidance, and sector analysis.

Price target summary

Current
$11.81
Consensus
$10.40
-11.94%
2030 Target
$969.11
+8105.84%
DCF
$80.79
+86.21% MoS
2 analysts:
1 Buy2 Hold3 Sell

Management guidance

No specific revenue targets or growth guidance provided by CEO Börje Ekholm in available documents. Management focus is on strategic partnerships (Intel 6G, Mastercard payments, NTT DATA private 5G) and contract wins (Virgin Media O2, VTel Wireless, SoftBank) rather than quantified revenue projections. Q1 2026 results briefing scheduled for April 17, 2026 may provide updated guidance.

Sources: Management guidance, analyst consensus, sector analysishigh confidence

Revenue & price projection

Actual revenue Projected revenue Base case Bull to bear range
Bull case (2030)
$1,616.34
$271.8B Rev × 20x P/S
Base case (2030)
$969.11
$271.8B Rev × 12x P/S
Bear case (2030)
$646.07
$271.8B Rev × 8x P/S

Financial forecast — research-backed

Metric2023202420252026 (E)2027 (E)2028 (E)2029 (E)2030 (E)
Revenue$249.8B$259.4B$222.5B$233.4B$236.9B$246.2B$257.5B$271.8B
Revenue growth—3.8%-14.2%-1.4%1.5%3.9%4.6%5.6%
EPS$0.32$0.11$3.24$6.98$7.38$7.85$8.42$9.15
P/S ratio———12.0x12.0x12.0x12.0x12.0x
Implied price———$833.15$844.77$878.47$917.98$969.11

Catalysts & risks

Growth catalysts
+ 6G AI-native network commercialization with Intel partnership accelerating enterprise demand beyond traditional telecom
+ Private 5G expansion with NTT DATA and enterprise edge AI services creating new revenue streams
+ Vonage digital payments and enterprise communications platform (Broot.ai, Mastercard partnerships) diversifying beyond infrastructure
+ Major contract wins: Virgin Media O2 multi-year RAN extension (hundreds of millions EUR), VTel Wireless 5G SA rural deployment
+ Geographic expansion into underserved North American rural 5G SA market with VTel and Xtreme Enterprises
+ Share buyback authorization (up to 10% of shares) at 2026 AGM providing EPS accretion
Key risks
- Operator capex weakness: Traditional telecom RAN spending declining, only partially offset by 5G SA migration and new partnerships
- Geopolitical headwinds: China competition, US-Europe regulatory tensions, Huawei ban impacts addressable market sizing
- Enterprise/Vonage execution risk: New business lines (payments, AI edge, enterprise comms) unproven at scale; integration complexity from Vonage acquisition
- Data breach incident (April 2025) may impact enterprise customer trust and contract awards
- Analyst consensus shows earnings declining 2026-2027 (EPS -18% to -42% worst case) despite revenue stabilization
- Dividend sustainability: Approved SEK 3.00 (approx $0.27) with unstable payout ratio history; buyback may signal capital constraints

Methodology

Telefonaktiebolaget LM Ericsson B ADR's forward estimates are derived from AI-powered research synthesis combining analyst consensus from 2 Wall Street analysts, management guidance from the latest earnings call, and sector growth forecasts from industry research. Revenue and EPS projections use analyst consensus where available and conservative extrapolation with growth deceleration for outer years. Price targets are calculated using a tiered Price-to-Sales (P/S) methodology, where the P/S multiple is determined by the projected revenue growth rate.

WallStSmart proprietary research model · Not financial advice · Past performance is not indicative of future results · Last researched: April 7, 2026.