WallStSmart

Telefonaktiebolaget LM Ericsson B ADR (ERIC)vsNVIDIA Corporation (NVDA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Telefonaktiebolaget LM Ericsson B ADR generates 11% more annual revenue ($240.31B vs $215.94B). NVDA leads profitability with a 55.6% profit margin vs 10.9%. NVDA appears more attractively valued with a PEG of 0.76. NVDA earns a higher WallStSmart Score of 79/100 (B+).

ERIC

Hold

42

out of 100

Grade: D

Growth: 2.0Profit: 6.5Value: 6.7Quality: 5.8
Piotroski: 4/9

NVDA

Strong Buy

79

out of 100

Grade: B+

Growth: 10.0Profit: 10.0Value: 5.7Quality: 8.5
Piotroski: 3/9Altman Z: 6.75
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ERICUndervalued (+86.2%)

Margin of Safety

+86.2%

Fair Value

$80.79

Current Price

$11.81

$68.98 discount

UndervaluedFair: $80.79Overvalued

Intrinsic value data unavailable for NVDA.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ERIC4 strengths · Avg: 8.8/10
Price/BookValuation
0.4x10/10

Reasonable price relative to book value

Return on EquityProfitability
27.0%9/10

Every $100 of equity generates 27 in profit

P/E RatioValuation
13.9x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$7.03B8/10

Generating 7.0B in free cash flow

NVDA6 strengths · Avg: 10.0/10
Market CapQuality
$5.09T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
101.5%10/10

Every $100 of equity generates 102 in profit

Profit MarginProfitability
55.6%10/10

Keeps 56 of every $100 in revenue as profit

Operating MarginProfitability
65.0%10/10

Strong operational efficiency at 65.0%

Revenue GrowthGrowth
73.2%10/10

Revenue surging 73.2% year-over-year

EPS GrowthGrowth
95.6%10/10

Earnings expanding 95.6% YoY

Areas to Watch

ERIC4 concerns · Avg: 2.3/10
Operating MarginProfitability
0.0%3/10

Operating margin of 0.0%

PEG RatioValuation
3.532/10

Expensive relative to growth rate

Revenue GrowthGrowth
-10.3%2/10

Revenue declined 10.3%

EPS GrowthGrowth
-78.5%2/10

Earnings declined 78.5%

NVDA3 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
42.7x2/10

Premium valuation, high expectations priced in

Price/BookValuation
30.8x2/10

Trading at 30.8x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : ERIC

The strongest argument for ERIC centers on Price/Book, Return on Equity, P/E Ratio.

Bull Case : NVDA

The strongest argument for NVDA centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 55.6% and operating margin at 65.0%. Revenue growth of 73.2% demonstrates continued momentum.

Bear Case : ERIC

The primary concerns for ERIC are Operating Margin, PEG Ratio, Revenue Growth.

Bear Case : NVDA

The primary concerns for NVDA are Piotroski F-Score, P/E Ratio, Price/Book. A P/E of 42.7x leaves little room for execution misses.

Key Dynamics to Monitor

ERIC profiles as a declining stock while NVDA is a growth play — different risk/reward profiles.

NVDA carries more volatility with a beta of 2.33 — expect wider price swings.

NVDA is growing revenue faster at 73.2% — sustainability is the question.

NVDA generates stronger free cash flow (34.9B), providing more financial flexibility.

Bottom Line

NVDA scores higher overall (79/100 vs 42/100), backed by strong 55.6% margins and 73.2% revenue growth. ERIC offers better value entry with a 86.2% margin of safety. Both earn "Strong 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.

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NVIDIA Corporation

TECHNOLOGY · SEMICONDUCTORS · USA

Nvidia Corporation is an American multinational technology company incorporated in Delaware and based in Santa Clara, California. It designs graphics processing units (GPUs) for the gaming and professional markets, as well as system on a chip units (SoCs) for the mobile computing and automotive market.

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