Telefonaktiebolaget LM Ericsson

“Ericsson is a structurally defensible telecom infrastructure business anchored by a Western RAN duopoly, Standard Essential Patents, and Huawei's geopolitical exclusion — but management has committed serious, documented failures in both ethics (FCPA guilty plea, active DPA concealment) and capital allocation (Vonage write-down), ROIC is mediocre at 8–12%, and the stock is priced near its 52-week high with a recovering but not yet proven earnings base; the risk-adjusted expected return of roughly 8–11% annually is market-equivalent at best, and does not compensate for the governance overhang, Open RAN structural threat, and absence of a margin of safety at current prices.”