Telefonaktiebolaget LM Ericsson B ADR (ERIC)vsMotorola Solutions Inc (MSI)
ERIC
Telefonaktiebolaget LM Ericsson B ADR
$10.31
+3.00%
TECHNOLOGY · Cap: $32.98B
MSI
Motorola Solutions Inc
$466.16
+0.49%
TECHNOLOGY · Cap: $77.15B
Smart Verdict
WallStSmart Research — data-driven comparison
Telefonaktiebolaget LM Ericsson B ADR generates 1864% more annual revenue ($240.31B vs $12.24B). MSI leads profitability with a 17.4% profit margin vs 10.8%. ERIC appears more attractively valued with a PEG of 1.90. MSI earns a higher WallStSmart Score of 62/100 (C+).
ERIC
Hold46
out of 100
Grade: D+
MSI
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+64.9%
Fair Value
$31.71
Current Price
$10.31
$21.40 discount
Intrinsic value data unavailable for MSI.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Every $100 of equity generates 24 in profit
Attractively priced relative to earnings
Generating 1.3B in free cash flow
Every $100 of equity generates 80 in profit
Large-cap with strong market position
Strong operational efficiency at 27.4%
Areas to Watch
Expensive relative to growth rate
Operating margin of 0.0%
Revenue declined 6.1%
Earnings declined 10.9%
Expensive relative to growth rate
Premium valuation, high expectations priced in
Weak financial health signals
Trading at 28.9x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : ERIC
The strongest argument for ERIC centers on Price/Book, Return on Equity, P/E Ratio.
Bull Case : MSI
The strongest argument for MSI centers on Return on Equity, Market Cap, Operating Margin. Profitability is solid with margins at 17.4% and operating margin at 27.4%. Revenue growth of 13.3% demonstrates continued momentum.
Bear Case : ERIC
The primary concerns for ERIC are PEG Ratio, Operating Margin, Revenue Growth.
Bear Case : MSI
The primary concerns for MSI are PEG Ratio, P/E Ratio, Piotroski F-Score. Debt-to-equity of 3.60 is elevated, increasing financial risk.
Key Dynamics to Monitor
ERIC profiles as a declining stock while MSI is a mature play — different risk/reward profiles.
MSI carries more volatility with a beta of 0.88 — expect wider price swings.
MSI is growing revenue faster at 13.3% — sustainability is the question.
ERIC generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
MSI scores higher overall (62/100 vs 46/100), backed by strong 17.4% margins and 13.3% revenue growth. ERIC offers better value entry with a 64.9% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Telefonaktiebolaget LM Ericsson B ADR
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Telefonaktiebolaget LM Ericsson (publ), provides communications infrastructure, services and software solutions for telecommunications and other sectors. The company is headquartered in Stockholm, Sweden.
Visit Website →Motorola Solutions Inc
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Motorola Solutions, Inc., is an American data communications and telecommunications equipment provider that succeeded Motorola, Inc., following the spinoff of the mobile phone division into Motorola Mobility in 2011. The company is headquartered in Chicago, Illinois.
Visit Website →Compare with Other COMMUNICATION EQUIPMENT Stocks
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