We recently published a list of 10 Firms End Stronger on Tuesday. In this article, we are going to take a look at where Telefonaktiebolaget LM Ericsson (NASDAQ:ERIC) stands against other firms that end stronger on Tuesday.

A muted trading persisted on the stock market on Tuesday, with major indices ending in the red, recording minimal losses while digesting President Donald Trump’s tariff policies.

The Dow Jones declined by 0.38 percent, the S&P 500 dipped by 0.17 percent, while the tech-heavy Nasdaq dipped by 0.05 percent.

Ten companies bucked a broader market pessimism, booking modest gains during the session. In this article, we have identified the reasons behind their gains.

To come up with the list, we only considered the stocks with $2 billion market capitalization and $5 million trading volume.

An aerial view of a large telecommunications network covering a city skyline.

Telefonaktiebolaget LM Ericsson (NASDAQ:ERIC)

Ericsson rallied for a third consecutive day on Tuesday, adding 8.32 percent to finish at $8.07 apiece as investors cheered the company’s better-than-expected first-quarter earnings performance.

According to the Swedish telephone equipment maker, earnings per share stood at 1.24 Swedish kronor, up by 61 percent year-on-year and well above analysts’ estimates.

Revenues, however, inched up by 3 percent to 55 billion kronor but missed consensus.

According to ERIC, the better-than-expected profit was attributed to the 20-percent growth in sales, which it owed to “accelerated network investments.”

“In the evolving global trade landscape and macro volatility, we continue to focus on controlling what we can control and delivering to our customers,” CEO Borje Ekholm said. “We are not immune, but we are resilient, with well-diversified production close to the customer and the flexibility to adapt to changing conditions over time.”

Overall, ERIC ranks 2nd on our list of firms that end stronger on Tuesday. While we acknowledge the potential of ERIC as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than ERIC but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.