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

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Here’s a clear look at ERIC and XYZ, 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, XYZ is a standard domestic listing.

SymbolERICXYZ
Company NameTelefonaktiebolaget LM Ericsson (publ)Block, Inc.
CountrySwedenUnited States
GICS SectorInformation TechnologyFinancials
GICS IndustryCommunications EquipmentFinancial Services
Market Capitalization25.46 billion USD46.91 billion USD
ExchangeNasdaqGSNYSE
Listing DateAugust 24, 1981November 19, 2015
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of ERIC and XYZ 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. XYZ: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolERICXYZ
5-Day Price Return2.37%0.13%
13-Week Price Return-8.82%39.86%
26-Week Price Return-11.85%-10.61%
52-Week Price Return4.50%25.96%
Month-to-Date Return2.83%-0.40%
Year-to-Date Return-18.38%-9.46%
10-Day Avg. Volume4.03M9.79M
3-Month Avg. Volume6.66M11.23M
3-Month Volatility27.46%44.62%
Beta0.802.77

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.

XYZ

12.76%

Financial Services Industry

Max
40.58%
Q3
20.06%
Median
10.67%
Q1
4.19%
Min
-10.31%

XYZ’s Return on Equity of 12.76% is on par with the norm for the Financial Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

ERIC vs. XYZ: A comparison of their Return on Equity (TTM) against their respective Communications Equipment and Financial Services industry benchmarks.

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.

XYZ

10.92%

Financial Services Industry

Max
52.86%
Q3
25.58%
Median
12.23%
Q1
6.64%
Min
-9.92%

XYZ’s Net Profit Margin of 10.92% is aligned with the median group of its peers in the Financial Services industry. This indicates its ability to convert revenue into profit is typical for the sector.

ERIC vs. XYZ: A comparison of their Net Profit Margin (TTM) against their respective Communications Equipment and Financial Services industry benchmarks.

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.

XYZ

4.06%

Financial Services Industry

Max
77.28%
Q3
37.68%
Median
18.17%
Q1
9.27%
Min
-8.19%

XYZ’s Operating Profit Margin of 4.06% is in the lower quartile for the Financial Services industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

ERIC vs. XYZ: A comparison of their Operating Profit Margin (TTM) against their respective Communications Equipment and Financial Services industry benchmarks.

Profitability at a Glance

SymbolERICXYZ
Return on Equity (TTM)19.57%12.76%
Return on Assets (TTM)6.22%7.11%
Net Profit Margin (TTM)7.04%10.92%
Operating Profit Margin (TTM)10.60%4.06%
Gross Profit Margin (TTM)47.18%37.95%

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.

XYZ

2.27

Financial Services Industry

Max
4.58
Q3
2.59
Median
1.33
Q1
0.69
Min
0.01

For the Financial Services industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

ERIC vs. XYZ: A comparison of their Current Ratio (MRQ) against their respective Communications Equipment and Financial Services industry benchmarks.

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.

XYZ

0.27

Financial Services Industry

Max
4.96
Q3
2.10
Median
0.57
Q1
0.12
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Financial Services industry.

ERIC vs. XYZ: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Communications Equipment and Financial Services industry benchmarks.

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.

XYZ

12.18

Financial Services Industry

Max
136.23
Q3
56.08
Median
6.55
Q1
2.01
Min
-33.27

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Financial Services industry.

ERIC vs. XYZ: A comparison of their Interest Coverage Ratio (TTM) against their respective Communications Equipment and Financial Services industry benchmarks.

Financial Strength at a Glance

SymbolERICXYZ
Current Ratio (MRQ)1.092.27
Quick Ratio (MRQ)0.862.22
Debt-to-Equity Ratio (MRQ)0.500.27
Interest Coverage Ratio (TTM)3.8212.18

Growth

Revenue Growth

ERIC vs. XYZ: 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. XYZ: 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.

XYZ

0.00%

Financial Services Industry

Max
8.18%
Q3
3.60%
Median
1.56%
Q1
0.00%
Min
0.00%

XYZ 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.

ERIC vs. XYZ: A comparison of their Dividend Yield (TTM) against their respective Communications Equipment and Financial Services industry benchmarks.

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.

XYZ

0.00%

Financial Services Industry

Max
155.56%
Q3
63.71%
Median
18.08%
Q1
0.00%
Min
0.00%

XYZ 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.

ERIC vs. XYZ: A comparison of their Dividend Payout Ratio (TTM) against their respective Communications Equipment and Financial Services industry benchmarks.

Dividend at a Glance

SymbolERICXYZ
Dividend Yield (TTM)3.79%0.00%
Dividend Payout Ratio (TTM)70.91%0.00%

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.

XYZ

18.17

Financial Services Industry

Max
63.23
Q3
32.10
Median
14.41
Q1
10.81
Min
0.37

XYZ’s P/E Ratio of 18.17 is within the middle range for the Financial Services 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. XYZ: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Communications Equipment and Financial Services industry benchmarks.

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.

XYZ

1.99

Financial Services Industry

Max
11.16
Q3
5.45
Median
2.61
Q1
1.25
Min
0.04

The P/S Ratio is often not a primary valuation tool in the Financial Services industry.

ERIC vs. XYZ: A comparison of their Price-to-Sales Ratio (TTM) against their respective Communications Equipment and Financial Services industry benchmarks.

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.

XYZ

1.57

Financial Services Industry

Max
7.09
Q3
3.79
Median
1.46
Q1
0.83
Min
0.04

XYZ’s P/B Ratio of 1.57 is within the conventional range for the Financial Services 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.

ERIC vs. XYZ: A comparison of their Price-to-Book Ratio (MRQ) against their respective Communications Equipment and Financial Services industry benchmarks.

Valuation at a Glance

SymbolERICXYZ
Price-to-Earnings Ratio (TTM)14.2318.17
Price-to-Sales Ratio (TTM)1.001.99
Price-to-Book Ratio (MRQ)3.151.57
Price-to-Free Cash Flow Ratio (TTM)6.3539.25