ERIC vs. WDC: Telefonaktiebolaget LM Ericsson vs. Western Digital Stock Comparison
How do Telefonaktiebolaget LM Ericsson (ERIC) and Western Digital (WDC) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
Telefonaktiebolaget LM Ericsson (ERIC) and Western Digital (WDC) both fall under the Technology Hardware & Equipment industry group, but ERIC is classified in Communications Equipment while WDC is classified in Technology Hardware, Storage & Peripherals.
Western Digital (WDC) trades as ordinary local shares, while Telefonaktiebolaget LM Ericsson (ERIC) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.
| Profile Item | ERIC | WDC |
|---|---|---|
| Name | Telefonaktiebolaget LM Ericsson Sponsored ADR | Western Digital Corp. |
| Country/Region | Sweden | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry Group | Technology Hardware & Equipment | Technology Hardware & Equipment |
| GICS Industry | Communications Equipment | Technology Hardware, Storage & Peripherals |
| GICS Sub-Industry | Communications Equipment | Technology Hardware, Storage & Peripherals |
| Market Capitalization | 33.25 billion USD | 98.74 billion USD |
| Currency | USD | USD |
| Exchange | Nasdaq | Nasdaq |
| Listing Date | August 24, 1981 | October 31, 1978 |
| Security Type | ADR | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | ERIC | WDC |
|---|---|---|
| Total Return (1Y) | 11.58% | 78.89% |
| Total Return (3Y, Annualized) | 36.47% | 106.11% |
| Total Return (5Y, Annualized) | 2.71% | 47.06% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
Western Digital (WDC) carries a highly aggressive beta of 2.35, indicating much higher sensitivity to broad-market moves, whereas Telefonaktiebolaget LM Ericsson (ERIC) is closer to market-like at 0.96 — a noticeable difference in market-sensitivity profile.
| Metric | ERIC | WDC |
|---|---|---|
| Volatility (1Y, Annualized) | 36.32% | 83.20% |
| Beta (5Y) | 0.96 | 2.35 |
| Max Drawdown (5Y) | -62.81% | -64.64% |
| Avg. Volume (3M) | 9.73M | 8.01M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | ERIC | WDC |
|---|---|---|
| Sharpe Ratio (1Y) | 0.20 | 0.90 |
| Sortino Ratio (1Y) | 0.29 | 1.32 |
Profitability
ROE (TTM)
Western Digital (WDC) at 129.60% clears its industry range for ROE, a sharper capital-efficiency signal than Telefonaktiebolaget LM Ericsson (ERIC) at 18.09%, which is closer to a typical peer reading.
ERIC
Technology Hardware & Equipment industry group
18.09%
- Max
- 42.47%
- Q3
- 19.13%
- ERIC
- 18.09%
- Median
- 11.00%
- Q1
- 1.63%
- Min
- -20.62%
WDC
Technology Hardware & Equipment industry group
129.60%
- WDC
- 129.60%
- Max
- 42.47%
- Q3
- 19.13%
- Median
- 11.00%
- Q1
- 1.63%
- Min
- -20.62%
Net Margin (TTM)
Western Digital (WDC) at 69.20% converts revenue to bottom-line profit above its industry’s benchmark range, while Telefonaktiebolaget LM Ericsson (ERIC) at 8.36% keeps roughly the typical share for its industry.
ERIC
Technology Hardware & Equipment industry group
8.36%
- Max
- 27.60%
- Q3
- 11.66%
- ERIC
- 8.36%
- Median
- 4.08%
- Q1
- 0.00%
- Min
- -11.02%
WDC
Technology Hardware & Equipment industry group
69.20%
- WDC
- 69.20%
- Max
- 27.60%
- Q3
- 11.66%
- Median
- 4.08%
- Q1
- 0.00%
- Min
- -11.02%
Operating Margin (TTM)
Western Digital (WDC) at 47.68% runs an above-range operating margin, while Telefonaktiebolaget LM Ericsson (ERIC) at 0.00% sits in the bottom quartile — a wide gap in core operating efficiency before financing and tax.
ERIC
Technology Hardware & Equipment industry group
0.00%
- Max
- 36.27%
- Q3
- 18.36%
- Median
- 8.84%
- Q1
- 1.46%
- ERIC
- 0.00%
- Min
- -21.39%
WDC
Technology Hardware & Equipment industry group
47.68%
- WDC
- 47.68%
- Max
- 36.27%
- Q3
- 18.36%
- Median
- 8.84%
- Q1
- 1.46%
- Min
- -21.39%
Profitability Metrics
| Metric | ERIC | WDC |
|---|---|---|
| ROE (TTM) | 18.09% | 129.60% |
| ROA (TTM) | 7.07% | 25.88% |
| Net Margin (TTM) | 8.36% | 69.20% |
| Operating Margin (TTM) | 0.00% | 47.68% |
| Gross Margin (TTM) | 48.01% | 52.60% |
Growth
Revenue Growth
Western Digital (WDC) at 35.70% sits in the top revenue growth quartile, while Telefonaktiebolaget LM Ericsson (ERIC) at -4.52% is in the bottom quartile, showing a clear gap in revenue momentum.
EPS Growth
Both Telefonaktiebolaget LM Ericsson (ERIC) at 85,000.00% and Western Digital (WDC) at 372.38% grew per-share earnings faster than their entire industry benchmark ranges for EPS growth — a strong showing on both sides, though a depressed base year can exaggerate the percentage, so the level of earnings matters too.
Growth Metrics
| Metric | ERIC | WDC |
|---|---|---|
| Revenue Growth (YoY) | -4.52% | 35.70% |
| Revenue Growth (3Y CAGR) | -4.48% | 27.35% |
| EPS Growth (YoY) | 85,000.00% | 372.38% |
| EPS Growth (3Y CAGR) | 14.83% | -- |
Financial Strength
Current Ratio (MRQ)
Western Digital (WDC) at 1.43 keeps current ratio within its industry’s typical mid-range, while Telefonaktiebolaget LM Ericsson (ERIC) at 1.16 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for ERIC.
ERIC
Technology Hardware & Equipment industry group
1.16
- Max
- 5.34
- Q3
- 3.02
- Median
- 1.95
- Q1
- 1.32
- ERIC
- 1.16
- Min
- 0.17
WDC
Technology Hardware & Equipment industry group
1.43
- Max
- 5.34
- Q3
- 3.02
- Median
- 1.95
- WDC
- 1.43
- Q1
- 1.32
- Min
- 0.17
Debt / Equity (MRQ)
Both Telefonaktiebolaget LM Ericsson (ERIC) at 0.41 and Western Digital (WDC) at 0.10 fund their balance sheets with roughly industry-typical debt-to-equity mixes.
ERIC
Technology Hardware & Equipment industry group
0.41
- Max
- 1.76
- Q3
- 0.78
- ERIC
- 0.41
- Median
- 0.24
- Q1
- 0.04
- Min
- 0.01
WDC
Technology Hardware & Equipment industry group
0.10
- Max
- 1.76
- Q3
- 0.78
- Median
- 0.24
- WDC
- 0.10
- Q1
- 0.04
- Min
- 0.01
Financial Strength Metrics
| Metric | ERIC | WDC |
|---|---|---|
| Current Ratio (MRQ) | 1.16 | 1.43 |
| Debt / Equity (MRQ) | 0.41 | 0.10 |
| Net Debt / EBITDA | -- | -0.06 |
Dividends
Dividend Yield (TTM)
Telefonaktiebolaget LM Ericsson (ERIC) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Western Digital (WDC) reports a yield of 0.21%, ranking against industry peers normally.
ERIC
Technology Hardware & Equipment industry group
0.00%
- Max
- 0.73%
- Q3
- 0.31%
- ERIC
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
WDC
Technology Hardware & Equipment industry group
0.21%
- Max
- 0.73%
- Q3
- 0.31%
- WDC
- 0.21%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Western Digital (WDC) at 1.93% keeps its payout in the industry’s typical band, while Telefonaktiebolaget LM Ericsson (ERIC) at 51.66% pays out more than any of its peers — the most stretched cover in its group.
ERIC
Technology Hardware & Equipment industry group
51.66%
- ERIC
- 51.66%
- Max
- 32.27%
- Q3
- 14.48%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
WDC
Technology Hardware & Equipment industry group
1.93%
- Max
- 32.27%
- Q3
- 14.48%
- WDC
- 1.93%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | ERIC | WDC |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.21% |
| Dividend Payout Ratio (TTM) | 51.66% | 1.93% |
Valuation
P/E Ratio (TTM)
Both Telefonaktiebolaget LM Ericsson (ERIC) at 16.55 and Western Digital (WDC) at 9.28 sit in the cheaper earnings-multiple quartile for P/E ratio, with the market paying less for a dollar of trailing earnings than it pays for typical peers.
ERIC
Technology Hardware & Equipment industry group
16.55
- Max
- 69.48
- Q3
- 41.02
- Median
- 26.39
- Q1
- 19.36
- ERIC
- 16.55
- Min
- 6.07
WDC
Technology Hardware & Equipment industry group
9.28
- Max
- 69.48
- Q3
- 41.02
- Median
- 26.39
- Q1
- 19.36
- WDC
- 9.28
- Min
- 6.07
P/S Ratio (TTM)
A sales-based read is only available for Western Digital (WDC), whose P/S ratio of 6.82 ranks against industry peers; Telefonaktiebolaget LM Ericsson (ERIC) reports no figure this period.
ERIC
Technology Hardware & Equipment industry group
--
- Max
- 11.30
- Q3
- 5.82
- Median
- 2.56
- Q1
- 1.05
- Min
- 0.00
- ERIC
- --
WDC
Technology Hardware & Equipment industry group
6.82
- Max
- 11.30
- WDC
- 6.82
- Q3
- 5.82
- Median
- 2.56
- Q1
- 1.05
- Min
- 0.00
P/B Ratio (MRQ)
Telefonaktiebolaget LM Ericsson (ERIC) at 0.33 looks cheap against book in the lower P/B ratio quartile, while Western Digital (WDC) at 10.55 carries a premium in the upper quartile — a clear price-to-book gap.
ERIC
Technology Hardware & Equipment industry group
0.33
- Max
- 10.75
- Q3
- 5.52
- Median
- 3.17
- Q1
- 1.79
- ERIC
- 0.33
- Min
- 0.33
WDC
Technology Hardware & Equipment industry group
10.55
- Max
- 10.75
- WDC
- 10.55
- Q3
- 5.52
- Median
- 3.17
- Q1
- 1.79
- Min
- 0.33
Valuation Metrics
| Metric | ERIC | WDC |
|---|---|---|
| P/E Ratio (TTM) | 16.55 | 9.28 |
| P/S Ratio (TTM) | -- | 6.82 |
| P/B Ratio (MRQ) | 0.33 | 10.55 |
| Free Cash Flow Yield (TTM) | 86.49% | 2.76% |