Ericsson (ERIC - Free Report) closed the most recent trading day at $9.75, moving +0.31% from the previous trading session. This change outpaced the S&P 500's 0% on the day. At the same time, the Dow lost 0.05%, and the tech-heavy Nasdaq lost 0.21%.
Coming into today, shares of the telecommunications equipment provider had gained 3.96% in the past month. In that same time, the Computer and Technology sector gained 7.39%, while the S&P 500 gained 5.49%.
ERIC will be looking to display strength as it nears its next earnings release, which is expected to be April 17, 2019. The company is expected to report EPS of $0.04, up 300% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $5.26 billion, down 1.72% from the year-ago period.
ERIC's full-year Zacks Consensus Estimates are calling for earnings of $0.32 per share and revenue of $23.26 billion. These results would represent year-over-year changes of +966.67% and -5.37%, respectively.
Investors might also notice recent changes to analyst estimates for ERIC. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. ERIC is holding a Zacks Rank of #5 (Strong Sell) right now.
In terms of valuation, ERIC is currently trading at a Forward P/E ratio of 30.61. This valuation marks a premium compared to its industry's average Forward P/E of 24.6.
Also, we should mention that ERIC has a PEG ratio of 0.73. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Wireless Equipment stocks are, on average, holding a PEG ratio of 2.34 based on yesterday's closing prices.
The Wireless Equipment industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 64, putting it in the top 26% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.