Ericsson price target lowered to SEK 88 from SEK 89 at BofA

BofA analyst Oliver Wong lowered the firm’s price target on Ericsson (ERIC) to SEK 88 from SEK 89 and keeps an Underperform rating on the shares. While acknowledging that Ericsson has improved its market share in recent years, including crucial wins in the U.S. over rival Nokia (NOK), the firm adds that sustained competition from peers Nokia and Samsung means it has to continue spending on R&D to maintain its market position, leaving Ericsson in “a difficult position to grow earnings.”