Seek Returns logo

DELL vs. ERIC: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at DELL and ERIC, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

DELL is a standard domestic listing, while ERIC trades as an American Depositary Receipt (ADR), offering U.S. investors access to its foreign-listed shares.

SymbolDELLERIC
Company NameDell Technologies Inc.Telefonaktiebolaget LM Ericsson (publ)
CountryUnited StatesSweden
GICS SectorInformation TechnologyInformation Technology
GICS IndustryTechnology Hardware, Storage & PeripheralsCommunications Equipment
Market Capitalization86.90 billion USD25.74 billion USD
ExchangeNYSENasdaqGS
Listing DateAugust 17, 2016August 24, 1981
Security TypeCommon StockADR

Historical Performance

This chart compares the performance of DELL and ERIC by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

DELL vs. ERIC: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolDELLERIC
5-Day Price Return-7.48%1.36%
13-Week Price Return12.43%-10.72%
26-Week Price Return16.52%-11.99%
52-Week Price Return14.85%1.44%
Month-to-Date Return-3.17%4.32%
Year-to-Date Return11.49%-17.20%
10-Day Avg. Volume4.77M3.48M
3-Month Avg. Volume5.69M6.34M
3-Month Volatility33.18%26.67%
Beta1.030.77

Profitability

Return on Equity (TTM)

DELL

130.70%

Technology Hardware, Storage & Peripherals Industry

Max
47.24%
Q3
29.40%
Median
9.11%
Q1
6.06%
Min
-0.79%

DELL’s Return on Equity of 130.70% is exceptionally high, placing it well beyond the typical range for the Technology Hardware, Storage & Peripherals industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

ERIC

19.57%

Communications Equipment Industry

Max
32.05%
Q3
19.58%
Median
11.77%
Q1
2.23%
Min
-11.93%

ERIC’s Return on Equity of 19.57% is on par with the norm for the Communications Equipment industry, indicating its profitability relative to shareholder equity is typical for the sector.

DELL vs. ERIC: A comparison of their Return on Equity (TTM) against their respective Technology Hardware, Storage & Peripherals and Communications Equipment industry benchmarks.

Net Profit Margin (TTM)

DELL

4.75%

Technology Hardware, Storage & Peripherals Industry

Max
13.86%
Q3
8.17%
Median
4.62%
Q1
3.65%
Min
-0.21%

DELL’s Net Profit Margin of 4.75% is aligned with the median group of its peers in the Technology Hardware, Storage & Peripherals industry. This indicates its ability to convert revenue into profit is typical for the sector.

ERIC

7.04%

Communications Equipment Industry

Max
23.65%
Q3
14.32%
Median
5.31%
Q1
1.45%
Min
-12.72%

ERIC’s Net Profit Margin of 7.04% is aligned with the median group of its peers in the Communications Equipment industry. This indicates its ability to convert revenue into profit is typical for the sector.

DELL vs. ERIC: A comparison of their Net Profit Margin (TTM) against their respective Technology Hardware, Storage & Peripherals and Communications Equipment industry benchmarks.

Operating Profit Margin (TTM)

DELL

6.70%

Technology Hardware, Storage & Peripherals Industry

Max
17.80%
Q3
10.33%
Median
6.31%
Q1
4.86%
Min
2.53%

DELL’s Operating Profit Margin of 6.70% is around the midpoint for the Technology Hardware, Storage & Peripherals industry, indicating that its efficiency in managing core business operations is typical for the sector.

ERIC

10.60%

Communications Equipment Industry

Max
42.27%
Q3
18.90%
Median
6.21%
Q1
2.97%
Min
-20.72%

ERIC’s Operating Profit Margin of 10.60% is around the midpoint for the Communications Equipment industry, indicating that its efficiency in managing core business operations is typical for the sector.

DELL vs. ERIC: A comparison of their Operating Profit Margin (TTM) against their respective Technology Hardware, Storage & Peripherals and Communications Equipment industry benchmarks.

Profitability at a Glance

SymbolDELLERIC
Return on Equity (TTM)130.70%19.57%
Return on Assets (TTM)5.55%6.22%
Net Profit Margin (TTM)4.75%7.04%
Operating Profit Margin (TTM)6.70%10.60%
Gross Profit Margin (TTM)22.11%47.18%

Financial Strength

Current Ratio (MRQ)

DELL

0.85

Technology Hardware, Storage & Peripherals Industry

Max
2.47
Q3
1.98
Median
1.40
Q1
1.26
Min
0.70

DELL’s Current Ratio of 0.85 falls into the lower quartile for the Technology Hardware, Storage & Peripherals industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ERIC

1.09

Communications Equipment Industry

Max
1.72
Q3
1.72
Median
1.46
Q1
1.18
Min
0.93

ERIC’s Current Ratio of 1.09 falls into the lower quartile for the Communications Equipment industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

DELL vs. ERIC: A comparison of their Current Ratio (MRQ) against their respective Technology Hardware, Storage & Peripherals and Communications Equipment industry benchmarks.

Debt-to-Equity Ratio (MRQ)

DELL

5.36

Technology Hardware, Storage & Peripherals Industry

Max
1.47
Q3
0.93
Median
0.32
Q1
0.19
Min
0.00

With a Debt-to-Equity Ratio of 5.36, DELL operates with exceptionally high leverage compared to the Technology Hardware, Storage & Peripherals industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

ERIC

0.50

Communications Equipment Industry

Max
1.55
Q3
0.92
Median
0.55
Q1
0.30
Min
0.00

ERIC’s Debt-to-Equity Ratio of 0.50 is typical for the Communications Equipment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

DELL vs. ERIC: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Technology Hardware, Storage & Peripherals and Communications Equipment industry benchmarks.

Interest Coverage Ratio (TTM)

DELL

5.32

Technology Hardware, Storage & Peripherals Industry

Max
204.63
Q3
90.22
Median
21.70
Q1
6.79
Min
-23.93

In the lower quartile for the Technology Hardware, Storage & Peripherals industry, DELL’s Interest Coverage Ratio of 5.32 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

ERIC

3.82

Communications Equipment Industry

Max
181.73
Q3
113.63
Median
7.59
Q1
3.82
Min
-5.39

ERIC’s Interest Coverage Ratio of 3.82 is positioned comfortably within the norm for the Communications Equipment industry, indicating a standard and healthy capacity to cover its interest payments.

DELL vs. ERIC: A comparison of their Interest Coverage Ratio (TTM) against their respective Technology Hardware, Storage & Peripherals and Communications Equipment industry benchmarks.

Financial Strength at a Glance

SymbolDELLERIC
Current Ratio (MRQ)0.851.09
Quick Ratio (MRQ)0.700.86
Debt-to-Equity Ratio (MRQ)5.360.50
Interest Coverage Ratio (TTM)5.323.82

Growth

Revenue Growth

DELL vs. ERIC: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

DELL vs. ERIC: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

DELL

1.53%

Technology Hardware, Storage & Peripherals Industry

Max
4.50%
Q3
3.66%
Median
1.90%
Q1
0.00%
Min
0.00%

DELL’s Dividend Yield of 1.53% is consistent with its peers in the Technology Hardware, Storage & Peripherals industry, providing a dividend return that is standard for its sector.

ERIC

3.73%

Communications Equipment Industry

Max
3.88%
Q3
2.75%
Median
0.93%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 3.73%, ERIC offers a more attractive income stream than most of its peers in the Communications Equipment industry, signaling a strong commitment to shareholder returns.

DELL vs. ERIC: A comparison of their Dividend Yield (TTM) against their respective Technology Hardware, Storage & Peripherals and Communications Equipment industry benchmarks.

Dividend Payout Ratio (TTM)

DELL

29.04%

Technology Hardware, Storage & Peripherals Industry

Max
142.87%
Q3
66.07%
Median
42.79%
Q1
0.00%
Min
0.00%

DELL’s Dividend Payout Ratio of 29.04% is within the typical range for the Technology Hardware, Storage & Peripherals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ERIC

70.91%

Communications Equipment Industry

Max
111.16%
Q3
55.91%
Median
28.42%
Q1
0.00%
Min
0.00%

ERIC’s Dividend Payout Ratio of 70.91% is in the upper quartile for the Communications Equipment industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

DELL vs. ERIC: A comparison of their Dividend Payout Ratio (TTM) against their respective Technology Hardware, Storage & Peripherals and Communications Equipment industry benchmarks.

Dividend at a Glance

SymbolDELLERIC
Dividend Yield (TTM)1.53%3.73%
Dividend Payout Ratio (TTM)29.04%70.91%

Valuation

Price-to-Earnings Ratio (TTM)

DELL

18.93

Technology Hardware, Storage & Peripherals Industry

Max
43.16
Q3
27.56
Median
17.85
Q1
12.48
Min
6.21

DELL’s P/E Ratio of 18.93 is within the middle range for the Technology Hardware, Storage & Peripherals industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ERIC

14.44

Communications Equipment Industry

Max
57.30
Q3
47.92
Median
27.50
Q1
17.89
Min
13.89

In the lower quartile for the Communications Equipment industry, ERIC’s P/E Ratio of 14.44 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

DELL vs. ERIC: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Technology Hardware, Storage & Peripherals and Communications Equipment industry benchmarks.

Price-to-Sales Ratio (TTM)

DELL

0.90

Technology Hardware, Storage & Peripherals Industry

Max
4.27
Q3
1.99
Median
0.93
Q1
0.45
Min
0.04

DELL’s P/S Ratio of 0.90 aligns with the market consensus for the Technology Hardware, Storage & Peripherals industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

ERIC

1.02

Communications Equipment Industry

Max
11.03
Q3
5.53
Median
2.20
Q1
0.99
Min
0.40

ERIC’s P/S Ratio of 1.02 aligns with the market consensus for the Communications Equipment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

DELL vs. ERIC: A comparison of their Price-to-Sales Ratio (TTM) against their respective Technology Hardware, Storage & Peripherals and Communications Equipment industry benchmarks.

Price-to-Book Ratio (MRQ)

DELL

9.40

Technology Hardware, Storage & Peripherals Industry

Max
12.51
Q3
6.11
Median
1.73
Q1
1.01
Min
0.31

DELL’s P/B Ratio of 9.40 is in the upper tier for the Technology Hardware, Storage & Peripherals industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

ERIC

3.15

Communications Equipment Industry

Max
9.66
Q3
5.60
Median
3.73
Q1
2.67
Min
0.30

ERIC’s P/B Ratio of 3.15 is within the conventional range for the Communications Equipment industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

DELL vs. ERIC: A comparison of their Price-to-Book Ratio (MRQ) against their respective Technology Hardware, Storage & Peripherals and Communications Equipment industry benchmarks.

Valuation at a Glance

SymbolDELLERIC
Price-to-Earnings Ratio (TTM)18.9314.44
Price-to-Sales Ratio (TTM)0.901.02
Price-to-Book Ratio (MRQ)9.403.15
Price-to-Free Cash Flow Ratio (TTM)22.906.44