Investors Buy Large Volume of Call Options on Ericsson (NASDAQ:ERIC)

Ericsson (NASDAQ:ERIC - Get Free Report) was the target of some unusual options trading on Tuesday. Stock traders acquired 2,030 call options on the stock. This is an increase of 162% compared to the average volume of 775 call options.

Ericsson Price Performance

NASDAQ ERIC traded down $0.62 during trading hours on Tuesday, reaching $7.22. 72,330,254 shares of the company's stock were exchanged, compared to its average volume of 19,929,237. The firm has a fifty day moving average of $8.44 and a 200-day moving average of $8.15. The company has a current ratio of 1.09, a quick ratio of 0.88 and a debt-to-equity ratio of 0.35. Ericsson has a one year low of $6.41 and a one year high of $9.00. The stock has a market cap of $24.17 billion, a PE ratio of 144.40, a price-to-earnings-growth ratio of 5.64 and a beta of 0.93.

Ericsson (NASDAQ:ERIC - Get Free Report) last issued its quarterly earnings data on Tuesday, April 15th. The communications equipment provider reported $0.12 EPS for the quarter, topping analysts' consensus estimates of $0.09 by $0.03. Ericsson had a net margin of 0.67% and a return on equity of 16.45%. The firm had revenue of $5.68 billion for the quarter, compared to analyst estimates of $55.83 billion. On average, equities research analysts predict that Ericsson will post 0.48 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

Several analysts recently issued reports on ERIC shares. Kepler Capital Markets raised Ericsson from a "strong sell" rating to a "hold" rating in a report on Wednesday, April 16th. JPMorgan Chase & Co. increased their price target on Ericsson from $8.90 to $9.80 and gave the company a "neutral" rating in a report on Friday, April 11th. Finally, Wall Street Zen raised Ericsson from a "buy" rating to a "strong-buy" rating in a research report on Thursday, April 17th.

Hedge Funds Weigh In On Ericsson

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Acadian Asset Management LLC boosted its position in Ericsson by 0.6% during the first quarter. Acadian Asset Management LLC now owns 87,313,506 shares of the communications equipment provider's stock valued at $677,498,000 after purchasing an additional 482,691 shares during the last quarter. Renaissance Technologies LLC boosted its holdings in shares of Ericsson by 401.1% during the fourth quarter. Renaissance Technologies LLC now owns 13,607,012 shares of the communications equipment provider's stock worth $109,673,000 after acquiring an additional 10,891,451 shares during the period. Millennium Management LLC grew its position in shares of Ericsson by 234.6% in the fourth quarter. Millennium Management LLC now owns 6,744,940 shares of the communications equipment provider's stock valued at $54,364,000 after purchasing an additional 4,729,207 shares during the last quarter. DigitalBridge Group Inc. lifted its holdings in Ericsson by 28.8% during the 4th quarter. DigitalBridge Group Inc. now owns 6,382,140 shares of the communications equipment provider's stock worth $51,440,000 after purchasing an additional 1,427,386 shares during the last quarter. Finally, Sei Investments Co. boosted its stake in Ericsson by 55.0% in the 4th quarter. Sei Investments Co. now owns 4,808,322 shares of the communications equipment provider's stock valued at $38,755,000 after purchasing an additional 1,705,246 shares during the period. Institutional investors own 7.99% of the company's stock.

About Ericsson

Telefonaktiebolaget LM Ericsson (publ), together with its subsidiaries, provides mobile connectivity solutions for telcom operators and enterprise customers in various sectors in North America, Europe, Latin America, the Middle East, Africa, North East Asia, South East Asia, Oceania, and India. It operates in four segments: Networks; Cloud Software and Services; Enterprise; and Other.