NASDAQ:ERIC

Ericsson LM Telephone (ERIC)

12.56
-0.79 (5.92%)
as of Jun 5, 2026, 8:00:00 pm Market Open.
75 watching
0
PAST TOP PICK
It is up 7% since last JUne. It had more upside but went down in May due to some problems. Has come back a little in last 3 months. Still likes it and it is a top pick for today as well.
DON'T BUY
Telecommunications is the most dangerous sector in technology. Probably the highest quality name but it's a tough area to be making money in.
TOP PICK
(A Top Pick Jan 26/06. Up 2%.) Earnings report disappointed the market. Has to take a $400 million Kroner write off in each of the next 10 quarters but is a taxable write off which the market has missed. Free cash flow is growing at a very healthy rate. iAn attractive entry point.
TOP PICK
(A Top Pick August 16/05. Down 2.3%.) Has the highest margins in the telecommunication equipment space. It is a direct beneficiary of the change to the next generation to 3G. Also winning service contracts for a lot of their customers.
HOLD
Wireless equipment manufacturers look pretty interesting right now. Has a great franchise internationally and are winning a lot of new business.
TOP PICK
(A Top Pick Feb 8/05. Up 25%.) Their margins are the best in class. Have almost doubledd the next best competitor (Nokia). Has the lead in providing the next generation in phones. Their handset division (partnered with Sony) has now turned around. Coming out with a new Walkman phone.
TOP PICK
Trading at about 14 X his expected earnings for next year. They have doubled the margins of their next competitor. Starting to gain software contracts. Well run company. In the next 5 years, the move to 3g is going to happen universally and this company is going to gain the lion share of the business.
TOP PICK
Just came out with their numbers and they were absolutely tremendous. Record high operating margins at 48% which is double anyone elses in the industry. Taking the costs out of the business with more outsourcing. Also selling more higher margin products. 12 X next years earnings which is impressive.
TOP PICK
Has the best growth profile of anything in that space. Have been winning global contracts. They are the leader in 3G, the next generation mobile. Still winning contracts in GSM, the 2nd generation and profitibility is very high for them. Has about 490 billion in Swedish Krona on its balance sheet. Has the highest margins in the industry.
TOP PICK
It is the premier architect of wireless network systems in the world. Have the highest margin in the business. A really strong growth industry. Will probably trade at 12 X 05's earnings, but will continue to grow in '06. As the GSM upgrades to 3G, it will become a global standard.
BUY
In wireless, this would probably be their top pick. Prefers over Nokia.
TOP PICK
A turnaround situation. A 3rd generation mobile play. Benefiting from the migration to 3G throughout Asia. No debt.
WAIT
Have a good nich in the global wireless sector. Expects a reverse split.
DON'T BUY
Losing money on the handset market. Burning cash.
DON'T BUY
Weak along with most telecoms. Prefers Nortel.
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