Ericsson: Liberum cuts target price

(CercleFinance.com) - Liberum maintains its 'buy' rating on Ericsson shares, although has cut its target price for them to 120 Swedish kronor (from 140 Swedish kronor), in the wake of its outlook for the Scandinavian telecoms equipment maker after its Q2 results.


The broker is becoming increasingly cautious about its outlook, saying it "seems likely that the company will lose material market share in both Networks and Digital Services in China".

"While this is likely to be partially compensated by strength elsewhere, especially in US C-band deployments, the weakness in China adds uncertainty to the medium term outlook in Networks and the turnaround to profitability in Digital Services", Liberum adds.


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