ERIC vs. ON: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ERIC and ON, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
ERIC trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, ON is a standard domestic listing.
| Symbol | ERIC | ON |
|---|---|---|
| Company Name | Telefonaktiebolaget LM Ericsson (publ) | ON Semiconductor Corporation |
| Country | Sweden | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry | Communications Equipment | Semiconductors & Semiconductor Equipment |
| Market Capitalization | 25.74 billion USD | 20.23 billion USD |
| Exchange | NasdaqGS | NasdaqGS |
| Listing Date | August 24, 1981 | May 2, 2000 |
| Security Type | ADR | Common Stock |
Historical Performance
This chart compares the performance of ERIC and ON 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.
Historical Performance at a Glance
| Symbol | ERIC | ON |
|---|---|---|
| 5-Day Price Return | 1.36% | -4.17% |
| 13-Week Price Return | -10.72% | 12.84% |
| 26-Week Price Return | -11.99% | -2.85% |
| 52-Week Price Return | 1.44% | -36.35% |
| Month-to-Date Return | 4.32% | -12.23% |
| Year-to-Date Return | -17.20% | -21.54% |
| 10-Day Avg. Volume | 3.48M | 8.38M |
| 3-Month Avg. Volume | 6.34M | 9.99M |
| 3-Month Volatility | 26.67% | 57.08% |
| Beta | 0.77 | 1.54 |
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.
ON
5.59%
Semiconductors & Semiconductor Equipment Industry
- Max
- 52.74%
- Q3
- 23.49%
- Median
- 11.60%
- Q1
- 3.23%
- Min
- -20.69%
ON’s Return on Equity of 5.59% is on par with the norm for the Semiconductors & Semiconductor Equipment industry, indicating its profitability relative to shareholder equity is typical for the sector.
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.
ON
7.28%
Semiconductors & Semiconductor Equipment Industry
- Max
- 44.17%
- Q3
- 22.38%
- Median
- 11.95%
- Q1
- 3.21%
- Min
- -25.16%
ON’s Net Profit Margin of 7.28% is aligned with the median group of its peers in the Semiconductors & Semiconductor Equipment industry. This indicates its ability to convert revenue into profit is typical for the sector.
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.
ON
7.40%
Semiconductors & Semiconductor Equipment Industry
- Max
- 58.03%
- Q3
- 27.84%
- Median
- 12.45%
- Q1
- 5.15%
- Min
- -28.61%
ON’s Operating Profit Margin of 7.40% is around the midpoint for the Semiconductors & Semiconductor Equipment industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | ERIC | ON |
|---|---|---|
| Return on Equity (TTM) | 19.57% | 5.59% |
| Return on Assets (TTM) | 6.22% | 3.43% |
| Net Profit Margin (TTM) | 7.04% | 7.28% |
| Operating Profit Margin (TTM) | 10.60% | 7.40% |
| Gross Profit Margin (TTM) | 47.18% | 37.89% |
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.
ON
5.02
Semiconductors & Semiconductor Equipment Industry
- Max
- 8.42
- Q3
- 4.70
- Median
- 2.75
- Q1
- 2.07
- Min
- 1.04
ON’s Current Ratio of 5.02 is in the upper quartile for the Semiconductors & Semiconductor Equipment industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
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.
ON
0.43
Semiconductors & Semiconductor Equipment Industry
- Max
- 1.09
- Q3
- 0.45
- Median
- 0.22
- Q1
- 0.01
- Min
- 0.00
ON’s Debt-to-Equity Ratio of 0.43 is typical for the Semiconductors & Semiconductor Equipment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
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.
ON
30.75
Semiconductors & Semiconductor Equipment Industry
- Max
- 174.00
- Q3
- 81.10
- Median
- 27.22
- Q1
- 7.28
- Min
- -4.26
ON’s Interest Coverage Ratio of 30.75 is positioned comfortably within the norm for the Semiconductors & Semiconductor Equipment industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | ERIC | ON |
|---|---|---|
| Current Ratio (MRQ) | 1.09 | 5.02 |
| Quick Ratio (MRQ) | 0.86 | 3.37 |
| Debt-to-Equity Ratio (MRQ) | 0.50 | 0.43 |
| Interest Coverage Ratio (TTM) | 3.82 | 30.75 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
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.
ON
0.00%
Semiconductors & Semiconductor Equipment Industry
- Max
- 4.16%
- Q3
- 1.78%
- Median
- 0.74%
- Q1
- 0.00%
- Min
- 0.00%
ON currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
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.
ON
0.00%
Semiconductors & Semiconductor Equipment Industry
- Max
- 196.12%
- Q3
- 87.72%
- Median
- 26.57%
- Q1
- 0.00%
- Min
- 0.00%
ON has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | ERIC | ON |
|---|---|---|
| Dividend Yield (TTM) | 3.73% | 0.00% |
| Dividend Payout Ratio (TTM) | 70.91% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
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.
ON
43.45
Semiconductors & Semiconductor Equipment Industry
- Max
- 109.37
- Q3
- 57.11
- Median
- 28.95
- Q1
- 22.13
- Min
- 11.14
ON’s P/E Ratio of 43.45 is within the middle range for the Semiconductors & Semiconductor 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.
Price-to-Sales Ratio (TTM)
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.
ON
3.16
Semiconductors & Semiconductor Equipment Industry
- Max
- 16.09
- Q3
- 10.10
- Median
- 4.82
- Q1
- 2.60
- Min
- 0.93
ON’s P/S Ratio of 3.16 aligns with the market consensus for the Semiconductors & Semiconductor Equipment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
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.
ON
2.98
Semiconductors & Semiconductor Equipment Industry
- Max
- 13.56
- Q3
- 6.75
- Median
- 3.68
- Q1
- 1.89
- Min
- 0.60
ON’s P/B Ratio of 2.98 is within the conventional range for the Semiconductors & Semiconductor 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.
Valuation at a Glance
| Symbol | ERIC | ON |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 14.44 | 43.45 |
| Price-to-Sales Ratio (TTM) | 1.02 | 3.16 |
| Price-to-Book Ratio (MRQ) | 3.15 | 2.98 |
| Price-to-Free Cash Flow Ratio (TTM) | 6.44 | 15.70 |