Update shared on04 Sep 2025
As both the forward P/E and revenue growth forecasts for Telefonaktiebolaget LM Ericsson remained essentially flat, analyst estimates on fair value were unchanged, with the price target holding steady at SEK78.65.
What's in the News
- Ericsson is in advanced talks to invest several hundred million dollars for a minority stake in Intel's newly spun-off networking and edge business, NEX, deepening an already close supplier relationship; Intel is seeking additional investors and continues to retain a stake in NEX (Bloomberg, Key Developments).
- AstraZeneca, Ericsson, Saab, SEB, and Wallenberg Investments jointly launched Sferical AI, a sovereign AI supercomputer initiative based in Sweden using NVIDIA DGX SuperPOD technology, aiming to bolster Swedish industry in the AI era with advanced computing infrastructure and skills development (Key Developments).
- Ericsson and SoftBank Corp. have entered a new commercial agreement to deploy Ericsson's 4G/5G radio solutions across key Japanese regions, enhancing 5G Standalone coverage, automation, and network efficiency using AI-driven technologies (Key Developments).
- In India, Ericsson has expanded its collaboration with Bharti Airtel, securing new agreements for both Fixed Wireless Access (FWA) core network deployment and a multi-year pan-India Network Operations Center managed services contract, further cementing their long-term partnership (Key Developments).
- Ericsson announced a strategic collaboration with Supermicro to accelerate Edge AI deployments by combining 5G connectivity with Edge AI platforms, targeting industries such as retail, manufacturing, and healthcare with pre-integrated, low-latency AI solutions for enhanced data processing and operational efficiency (Key Developments).
Valuation Changes
Summary of Valuation Changes for Telefonaktiebolaget LM Ericsson
- The Consensus Analyst Price Target remained effectively unchanged, at SEK78.65.
- The Future P/E for Telefonaktiebolaget LM Ericsson remained effectively unchanged, moving only marginally from 17.31x to 17.32x.
- The Consensus Revenue Growth forecasts for Telefonaktiebolaget LM Ericsson remained effectively unchanged, at -0.5% per annum.
Disclaimer
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