Is Telefonaktiebolaget LM Ericsson (publ) a good dividend stock?

Telefonaktiebolaget LM Ericsson (publ) (ERIC) is a dividend-paying stock with a current dividend yield of 3.26%. Review its dividend history, payout consistency and growth to judge whether it fits your income strategy.

What is ERIC's dividend yield?

The dividend yield for ERIC stock is currently 3.26%.

How much does ERIC pay in dividends per year?

Telefonaktiebolaget LM Ericsson (publ) pays an annual dividend of $0.3130 per share over the trailing twelve months.

How often does ERIC pay dividends?

ERIC stock pays dividends bi-annually.

Is ERIC's dividend growing?

Telefonaktiebolaget LM Ericsson (publ)'s 3-year dividend CAGR is 8.71%.

ERIC Stock Price, Chart, Stats & News

Telefonaktiebolaget LM Ericsson (publ)

Save

Overview Dividend safety Dividends Fundamentals

Telefonaktiebolaget LM Ericsson (publ) (ERIC) is a dividend-paying stock with a current dividend yield of 3.26% as of Jul 21, 2026. It pays $0.3130 per share over the trailing twelve months and distributes bi-annually. Its dividend has grown at a 9.21% 5-year compound annual rate.

31.66B

Market cap

16.26x

Current P/E

20.92x

Forward P/E

3.26%

Dividend yield

$0.3130

ERIC dividend

Dividend safety

Strong

Dividend coverage looks healthy — ERIC pays out about 53% of earnings.

See the safety analysis

ERIC chart

Loading chart...

Fundamentals

Gross margin	48.14%
Operating margin	13.84%
Pretax margin	16.25%
Net margin	12.07%
Effective tax rate	25.01%
ROA	9.94%
ROE	28.92%
D/E	0.42x
Interest coverage ratio	10.77x

All financials

ERIC valuation

P/E	16.26x
P/S	1.54x
P/B	3.21x
P/CF	11.13x
P/FCF	12.22x
P/OCF	11.13x
PEG	0.09x
EV multiple	7.43x

About

Technology

Sector

Communication Equipment

Industry

Telefonaktiebolaget LM Ericsson (publ), along with its various subsidiaries, operates as a global supplier of communication infrastructure, software, and service solutions, primarily serving the telecommunications industry and other diverse sectors. The company's business is organized into four distinct segments: Networks, Digital Services, Managed Services, and Emerging Business and Other. The Networks division focuses on delivering cutting-edge radio access network (RAN) solutions for a wide array of network spectrums, encompassing robust integrated hardware and software, complete antenna and transport systems, and a full spectrum of services for network setup and ongoing maintenance.