Ericsson (ERIC) Q3 Earnings: Another Miss In The Cards?
Zacks Investment Research | Oct 17, 2017 10:06PM ET
Ericsson (BS:ERICAs) (NASDAQ:ERIC) is set to report third-quarter 2017 results on Oct 20.
The company has a dreadful earnings history, with repeated, colossal earnings misses. Last quarter, the company missed estimates for the sixth consecutive quarter, recording a huge negative surprise of 60%. Ericsson witnessed an average negative surprise of 288% for the trailing four quarters.
Let's see how things are shaping up for this announcement and whether Ericsson is set to add yet another earnings miss to its losing streak.
Factors to Consider
Ericsson is in the midst of its worst crisis in a decade, grappling with shrinking markets and stiff competition from China's Huawei and Finland's Nokia (HE:NOKIA). Slowdown in spending by wireless carriers severely hurt the company’s financials in the past few quarters and will likely hurt the third-quarter results as well.
The beleaguered infrastructure giant’s repeated earnings misses, eroding profitability and precipitous revenue decline have left investors high and dry. The stock has lost 6.3% over the past six months, much wider than the Zacks Investment Research
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