Ericsson Expands Share Structure to Support Executive Compensation

An announcement from Telefonaktiebolaget LM Ericsson ( (ERIC) ) is now available.

On May 30, 2025, Telefonaktiebolaget LM Ericsson announced an increase in its total number of shares and votes, resulting from the issuance of 23.1 million C shares. These shares were repurchased and converted into B shares to support the company’s Long-Term Variable Compensation Programs for executives. This strategic move, approved by the AGM 2025, aims to enhance the company’s treasury stock, impacting its financial structure and stakeholder interests.

The most recent analyst rating on (ERIC) stock is a Hold with a $5.90 price target. To see the full list of analyst forecasts on Telefonaktiebolaget LM Ericsson stock, see the ERIC Stock Forecast page.

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 is a leading provider of mobile communication and connectivity solutions, offering high-performing networks that connect billions of people globally. With nearly 150 years of experience, the company collaborates with service providers and enterprises to advance digital communication technologies.

Average Trading Volume: 27,056,912

Technical Sentiment Signal: Buy

Current Market Cap: $29.09B

For detailed information about ERIC stock, go to TipRanks’ Stock Analysis page.