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

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

Company Profile

Both ERIC and NOK are American Depositary Receipts (ADRs). This provides U.S. investors with straightforward access to investing in these foreign-listed companies.

SymbolERICNOK
Company NameTelefonaktiebolaget LM Ericsson (publ)Nokia Oyj
CountrySwedenFinland
GICS SectorInformation TechnologyInformation Technology
GICS IndustryCommunications EquipmentCommunications Equipment
Market Capitalization25.46 billion USD22.54 billion USD
ExchangeNasdaqGSNYSE
Listing DateAugust 24, 1981July 1, 1994
Security TypeADRADR

Historical Performance

This chart compares the performance of ERIC and NOK 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.

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

Historical Performance at a Glance

SymbolERICNOK
5-Day Price Return2.37%1.39%
13-Week Price Return-8.82%-20.42%
26-Week Price Return-11.85%-21.06%
52-Week Price Return4.50%-30.85%
Month-to-Date Return2.83%-0.70%
Year-to-Date Return-18.38%-16.65%
10-Day Avg. Volume4.03M9.95M
3-Month Avg. Volume6.66M10.25M
3-Month Volatility27.46%30.64%
Beta0.800.18

Profitability

Return on Equity (TTM)

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.

NOK

5.01%

Communications Equipment Industry

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

NOK’s Return on Equity of 5.01% is on par with the norm for the Communications Equipment industry, indicating its profitability relative to shareholder equity is typical for the sector.

ERIC vs. NOK: A comparison of their Return on Equity (TTM) against the Communications Equipment industry benchmark.

Net Profit Margin (TTM)

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.

NOK

5.31%

Communications Equipment Industry

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

NOK’s Net Profit Margin of 5.31% 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.

ERIC vs. NOK: A comparison of their Net Profit Margin (TTM) against the Communications Equipment industry benchmark.

Operating Profit Margin (TTM)

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.

NOK

6.21%

Communications Equipment Industry

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

NOK’s Operating Profit Margin of 6.21% is around the midpoint for the Communications Equipment industry, indicating that its efficiency in managing core business operations is typical for the sector.

ERIC vs. NOK: A comparison of their Operating Profit Margin (TTM) against the Communications Equipment industry benchmark.

Profitability at a Glance

SymbolERICNOK
Return on Equity (TTM)19.57%5.01%
Return on Assets (TTM)6.22%2.68%
Net Profit Margin (TTM)7.04%5.31%
Operating Profit Margin (TTM)10.60%6.21%
Gross Profit Margin (TTM)47.18%44.23%

Financial Strength

Current Ratio (MRQ)

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.

NOK

1.46

Communications Equipment Industry

Max
1.72
Q3
1.72
Median
1.46
Q1
1.18
Min
0.93

NOK’s Current Ratio of 1.46 aligns with the median group of the Communications Equipment industry, indicating that its short-term liquidity is in line with its sector peers.

ERIC vs. NOK: A comparison of their Current Ratio (MRQ) against the Communications Equipment industry benchmark.

Debt-to-Equity Ratio (MRQ)

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.

NOK

0.21

Communications Equipment Industry

Max
1.55
Q3
0.92
Median
0.55
Q1
0.30
Min
0.00

Falling into the lower quartile for the Communications Equipment industry, NOK’s Debt-to-Equity Ratio of 0.21 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

ERIC vs. NOK: A comparison of their Debt-to-Equity Ratio (MRQ) against the Communications Equipment industry benchmark.

Interest Coverage Ratio (TTM)

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.

NOK

34.19

Communications Equipment Industry

Max
181.73
Q3
113.63
Median
7.59
Q1
3.82
Min
-5.39

NOK’s Interest Coverage Ratio of 34.19 is positioned comfortably within the norm for the Communications Equipment industry, indicating a standard and healthy capacity to cover its interest payments.

ERIC vs. NOK: A comparison of their Interest Coverage Ratio (TTM) against the Communications Equipment industry benchmark.

Financial Strength at a Glance

SymbolERICNOK
Current Ratio (MRQ)1.091.46
Quick Ratio (MRQ)0.861.21
Debt-to-Equity Ratio (MRQ)0.500.21
Interest Coverage Ratio (TTM)3.8234.19

Growth

Revenue Growth

ERIC vs. NOK: 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

ERIC vs. NOK: 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)

ERIC

3.79%

Communications Equipment Industry

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

With a Dividend Yield of 3.79%, ERIC offers a more attractive income stream than most of its peers in the Communications Equipment industry, signaling a strong commitment to shareholder returns.

NOK

3.69%

Communications Equipment Industry

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

With a Dividend Yield of 3.69%, NOK offers a more attractive income stream than most of its peers in the Communications Equipment industry, signaling a strong commitment to shareholder returns.

ERIC vs. NOK: A comparison of their Dividend Yield (TTM) against the Communications Equipment industry benchmark.

Dividend Payout Ratio (TTM)

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.

NOK

50.74%

Communications Equipment Industry

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

NOK’s Dividend Payout Ratio of 50.74% is within the typical range for the Communications Equipment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ERIC vs. NOK: A comparison of their Dividend Payout Ratio (TTM) against the Communications Equipment industry benchmark.

Dividend at a Glance

SymbolERICNOK
Dividend Yield (TTM)3.79%3.69%
Dividend Payout Ratio (TTM)70.91%50.74%

Valuation

Price-to-Earnings Ratio (TTM)

ERIC

14.23

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 14.23 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

NOK

18.81

Communications Equipment Industry

Max
57.30
Q3
47.92
Median
27.50
Q1
17.89
Min
13.89

NOK’s P/E Ratio of 18.81 is within the middle range for the Communications Equipment 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 vs. NOK: A comparison of their Price-to-Earnings Ratio (TTM) against the Communications Equipment industry benchmark.

Price-to-Sales Ratio (TTM)

ERIC

1.00

Communications Equipment Industry

Max
11.03
Q3
5.53
Median
2.20
Q1
0.99
Min
0.40

ERIC’s P/S Ratio of 1.00 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.

NOK

1.00

Communications Equipment Industry

Max
11.03
Q3
5.53
Median
2.20
Q1
0.99
Min
0.40

NOK’s P/S Ratio of 1.00 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.

ERIC vs. NOK: A comparison of their Price-to-Sales Ratio (TTM) against the Communications Equipment industry benchmark.

Price-to-Book Ratio (MRQ)

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.

NOK

1.21

Communications Equipment Industry

Max
9.66
Q3
5.60
Median
3.73
Q1
2.67
Min
0.30

NOK’s P/B Ratio of 1.21 is in the lower quartile for the Communications Equipment industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

ERIC vs. NOK: A comparison of their Price-to-Book Ratio (MRQ) against the Communications Equipment industry benchmark.

Valuation at a Glance

SymbolERICNOK
Price-to-Earnings Ratio (TTM)14.2318.81
Price-to-Sales Ratio (TTM)1.001.00
Price-to-Book Ratio (MRQ)3.151.21
Price-to-Free Cash Flow Ratio (TTM)6.3512.97