Is Ericsson (NASDAQ:ERIC) Now a Sell? Why did Credit Suisse Downgrade The Stock?

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Ericsson (NASDAQ:ERIC) Receives a Downgrade

In an analyst note revealed to clients today, Credit Suisse cut shares of Ericsson (NASDAQ:ERIC) to a “Underperform” rating from the previous “Neutral” rating.

From a total of 9 analysts covering Ericsson (NASDAQ:ERIC) stock, 6 rate it a ”Buy”, 0 a “Sell”, and 6 a ”Hold”. This means that 50% of the ratings are positive. The highest target price is $14.46 while the lowest target price is $10. The mean of all analyst targets is $11.85 with a 23.42% above today’s ($9.52) stock price. Ericsson was the topic of 8 analyst reports since August 5, 2015 according to the firm StockzIntelligence Inc. RBC Capital Markets maintained shares on November 11 with “Outperform” rating. Danske Bank upgraded ERIC stock in a recent report from August 27 to “Hold” rating.

Approximately 1.78 million shares of stock traded hands. Ericsson (ADR) (NASDAQ:ERIC) has declined 14.63% since April 28, 2015 and is downtrending. It has underperformed by 13.00% the S&P500.

Is Ericsson (NASDAQ:ERIC) Now a Sell? Why did Credit Suisse Downgrade The Stock?

Telefonaktiebolaget LM Ericsson is a well-known provider of communications technology and services. The company has a market cap of $31.10 billion. Ericsson offers services, software and infrastructure for mobility, broadband and the cloud in telecom industry and other sectors. It has 25.39 P/E ratio. The Company’s two core businesses are Radio, Core and Transmission and Telecom Services.

According to Zacks Investment Research, “Ericsson is a world-leading supplier in the fast-growing and dynamic telecommunications and data communications industry, offering advanced communications solutions for mobile and fixed networks, as well as consumer products. The company is a total solutions supplier for all customer segments: network operators and service providers, enterprises and consumers. The company has the world’s largest customer base in the telecommunications field.” Get a free copy of the Zacks research report on Ericsson (ADR) (ERIC)

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