“We expect the emerging markets to form a higher proportion of Ericsson's business in 2006 and Ericsson will have to fight hard in these markets and pay the price of lower margins to maintain its market share lead.”
“The raw material cost in the quarter is surprising given that the company generally has six-month visibility on raw materials based on forward purchases.”
“Oil demand elsewhere in Asia has slowed somewhat relative to 2004, but is still growing. Despite some evidence that demand growth has been impacted by higher prices, we believe this is temporarily moderating demand.”
“Although these changes may provide significant cost avoidance benefits to the company in the future, they don't meaningfully change the near-term cash picture.”
“We find that capital flows trends are once again moving against the dollar, which could prove fortuitous in providing yet another leg to this gold price rally.”
“Although Thales politely left the door open to a subsequent deal with EADS, which could bring Thales to its satellite business, we believe this is unlikely.”
