Reviewing Telefonaktiebolaget LM Ericsson (publ) (ERIC)’s and Motorola Solutions Inc. (NYSE:MSI)’s results

We are contrasting Telefonaktiebolaget LM Ericsson (publ) (NASDAQ:publ) and Motorola Solutions Inc. (NYSE:MSI) on their dividends, analyst recommendations, profitability, institutional ownership, risk, earnings and valuation. They both are Communication Equipment companies, competing one another.

Valuation & Earnings

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Telefonaktiebolaget LM Ericsson (publ) N/A 0.00 N/A -0.21 0.00
Motorola Solutions Inc. 7.34B 3.23 966.00M 5.15 27.60

Table 1 demonstrates Telefonaktiebolaget LM Ericsson (publ) and Motorola Solutions Inc.’s top-line revenue, earnings per share and valuation.

Profitability

Table 2 shows Telefonaktiebolaget LM Ericsson (publ) and Motorola Solutions Inc.’s net margins, return on assets and return on equity.

Net Margins Return on Equity Return on Assets
Telefonaktiebolaget LM Ericsson (publ) 0.00% -26.2% -9.4%
Motorola Solutions Inc. 13.16% -67% 10.6%

Volatility & Risk

Telefonaktiebolaget LM Ericsson (publ) has a beta of 0.53 and its 47.00% less volatile than Standard & Poor’s 500. Motorola Solutions Inc.’s 0.62 beta is the reason why it is 38.00% less volatile than Standard & Poor’s 500.

Liquidity

1.5 and 1.2 are the respective Current Ratio and a Quick Ratio of Telefonaktiebolaget LM Ericsson (publ). Its rival Motorola Solutions Inc.’s Current and Quick Ratios are 1.4 and 1.3 respectively. Telefonaktiebolaget LM Ericsson (publ) has a better chance of clearing its pay short and long-term debts than Motorola Solutions Inc.

Dividends

The annual dividend that Telefonaktiebolaget LM Ericsson (publ) pay is $0.11 per share with a dividend yield of 1.17%. On the other side Motorola Solutions Inc. pays an annual dividend of $2.13 per share. It’s dividend yield is 1.47%.

Analyst Recommendations

The table delivered features the ratings and recommendations for Telefonaktiebolaget LM Ericsson (publ) and Motorola Solutions Inc.

Sell Ratings Hold Ratings Buy Ratings Rating Score
Telefonaktiebolaget LM Ericsson (publ) 0 0 0 0.00
Motorola Solutions Inc. 1 0 4 2.80

Competitively Motorola Solutions Inc. has an average price target of $147.8, with potential upside of 2.33%.

Insider and Institutional Ownership

The shares of both Telefonaktiebolaget LM Ericsson (publ) and Motorola Solutions Inc. are owned by institutional investors at 0% and 90.2% respectively. About 0.9% of Telefonaktiebolaget LM Ericsson (publ)’s share are held by insiders. On the other hand, insiders held about 0.1% of Motorola Solutions Inc.’s shares.

Performance

Here are the Weekly, Monthly, Quarterly, Half Yearly, Yearly and YTD Performance of both pretenders.

Performance (W) Performance (M) Performance (Q) Performance (HY) Performance (Y) Performance (YTD)
Telefonaktiebolaget LM Ericsson (publ) 0.76% 3.82% 9.47% 8.06% 42.75% 4.28%
Motorola Solutions Inc. 0.56% 21.46% 7.52% 10.32% 33.56% 23.44%

For the past year Telefonaktiebolaget LM Ericsson (publ)’s stock price has smaller growth than Motorola Solutions Inc.

Summary

Motorola Solutions Inc. beats Telefonaktiebolaget LM Ericsson (publ) on 11 of the 13 factors.

Telefonaktiebolaget LM Ericsson (publ) provides information and communications technology solutions for networks, IT and cloud, and media markets worldwide. It operates through three segments: Networks, Global Services, and Support Solutions. The Networks segment delivers products and solutions for mobile access, Internet protocol (IP) and transmission networks, core networks, and cloud. It offers radio access solutions; IP routing and transport solutions; microwave and optical transmission solutions for mobile and fixed networks; IP multimedia subsystem solutions; a cloud platform that handles workloads for various clouds; and telecom, IT, and commercial cloud services. The Global Services segment delivers managed services, including services for designing, building, operating, and managing the day-to-day operations of the customerÂ’s network or solutions; maintenance services; network sharing solutions; shared solutions; and managed services of IT environments. It also offers product-related services, consulting and systems integration services, and broadcast services for industry-specific solutions, primarily in the areas of utilities, transport, and public safety. The Support Solutions segment provides software suites for operators, such as operations support systems, business support systems, television and media solutions, and M-commerce solutions for money transfer. The company has a strategic partnership with Net Insight AB (publ) to offer end-to-end media contribution solutions to the broadcast industry. Telefonaktiebolaget LM Ericsson (publ) was founded in 1876 and is headquartered in Stockholm, Sweden.

Motorola Solutions, Inc. provides mission-critical communication infrastructure, devices, accessories, software, and services in North America, Latin America, the Asia Pacific, the Middle East, Europe, and Africa. The company operates in two segments, Products and Services. The Products segment offers a portfolio of infrastructure, devices, accessories, and software for government, public safety and first-responder agencies, municipalities, and commercial and industrial customers. This segmentÂ’s products include two-way portable radios and vehicle-mounted radios; accessories, such as speaker microphones, batteries, earpieces, headsets, carry cases, and cables; software features and upgrades; and radio network core and central processing software, base stations, consoles, repeaters, and software applications and features. The Services segment provides integration services, such as implementation, optimization, and integration of networks, devices, software, and applications; and managed and support services, such as repair, technical support, and hardware maintenance services, as well as network monitoring, software maintenance, and cyber security services across radio network technologies, command center consoles, and smart public safety solutions. This segment also offers Integrated Digital Enhanced Network (iDEN), a push-to-talk technology, as well as provides iDEN services, including hardware and software maintenance services for its legacy iDEN customers. The company was formerly known as Motorola, Inc. and changed its name to Motorola Solutions, Inc. in January 2011. Motorola Solutions, Inc. was founded in 1928 and is headquartered in Chicago, Illinois.