Goldman pulls Sell recommendation on Ericsson

• Even though "top-line trends" will continue to be tough this year thanks to weaker spending by telco customers, a battered stock price combined with higher profits thanks to cost-cutting makes for an upgrade to Neutral from Sell, says analyst Alexander Duval.
• His 2017 EBITDA estimate is now just 1% lower than consensus, suggesting less downside catalysts.
• As for this year, Duval sees an 8% decline in revenue vs. 2% consensus, but a story about major job cuts gives him hope of progress on costs by 2017.
• His price target of $8.50 compares to $7.90 previously, and the current price of $7.94.
• ERIC +1.5%