Ericsson: Q2 preview: Earnings setup, LEO, New CEO

研报英文原文证据摘录

Ericsson: Q2 preview: Earnings setup, LEO, New CEO

Accessible version

Ericsson

Q2 preview: Earnings setup, LEO, New CEO

Maintain Rating: UNDERPERFORM | PO: 88.00 SEK | Price: 105.80 SEK

Cautious into Q2 print; Reiterate Underperform 03 July 2026

Ericsson reports 2Q26 results on July 14th. Overall, Ericsson continues to guide for a Equity

flattish RAN market. We view css estimates, which are above Q2 guided target, as

presenting a relatively high bar to beat. We are also slightly below css on the Q3 guide, Oliver Wong >> Research Analyst

at +1% qoq for Networks revenue (css at +2% qoq) and +3% qoq for Cloud revenue (css MLI (UK)

at +4% qoq). Reiterate Underperform with PO of SEK 88/US$9.6 on 6.0x FY27E +44oliver.wong2@bofa.com20 7995 9014

EV/EBITDA, within its historical 4-10x range. Didier Scemama >>

Research Analyst

Q2 css sits above guide, presenting a higher bar to beat MLI+44 (UK)20 7995 6751

Ericsson guided Q2 Networks revenue broadly similar to 3yr average seasonality (of +4% didier.scemama@bofa.com

qoq), while css is higher at +5% qoq. Q2 Networks GM was guided to 49-51%, with css Amelia Banks >>

in-line at 50.2%. Q2 Cloud revenue was guided above seasonality (of +13% qoq), versus MLI (UK)

css at +21%. Thus, css expectations are overall above Q2 guided targets, leading to the +44 20 7995 3554

amelia.banks@bofa.com

risk of a more difficult earnings setup.

LEO satellites: a potential long-term overhang?

Satellite telecom services presents a potential overhang to RAN equipment revenue in Stock Data

the future. Our EU telecom team analyzed the initial threat in their deep-dive. While LEO Price (Common / ADR) 105.80 SEK / 10.79 USD

connectivity is currently focused on the broadband network, it could potentially target Price Objective 88.00 SEK / 9.60 USD