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Ericsson Announces Acquisition Offer for C Shares to Support LTV Programs

Story Highlights

Telefonaktiebolaget LM Ericsson ( (ERIC) ) has issued an announcement.

On May 5, 2025, Ericsson announced an acquisition offer for C shares to support its Long-Term Variable Compensation Programs (LTV) for 2025 and 2024. This move, authorized by the Annual General Meeting in March 2025, involves acquiring 23.1 million C shares from Skandinaviska Enskilda Banken AB, which will then be converted to B shares. This acquisition is part of Ericsson’s strategy to expand its treasury stock, impacting the total number of shares and supporting executive compensation plans.

Spark’s Take on ERIC Stock

According to Spark, TipRanks’ AI Analyst, ERIC is a Neutral.

Ericsson’s overall stock score reflects its stable financial performance and positive earnings call sentiment, particularly driven by strong growth in the Americas and improved margins. However, the high P/E ratio and regional sales declines pose challenges. Technical indicators suggest short-term upward momentum, but caution is warranted due to potential overvaluation.

To see Spark’s full report on ERIC stock, click here.

More about Telefonaktiebolaget LM Ericsson

Ericsson, a leader in mobile communication and connectivity solutions, has been pioneering technology for nearly 150 years. The company provides high-performing networks that connect billions of people every day, working with service providers and enterprises to shape the digital future.

YTD Price Performance: 4.59%

Average Trading Volume: 24,467,031

Technical Sentiment Signal: Sell

Current Market Cap: $28.06B

See more data about ERIC stock on TipRanks’ Stock Analysis page.

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