Nokia (NYSE:NOK) Shares Climb 7% – Here’s Why

Nokia Corporation (NYSE:NOK) shares shot up 7% during trading on Tuesday. The stock traded as high as $10.94 and last traded at $10.9150. 73,503,126 shares traded hands during mid-day trading, a decline of 9% from the average daily volume of 80,916,773 shares. The stock had previously closed at $10.20.

Trending Headlines about Nokia

Here are the key news stories impacting Nokia this week:

• Positive Sentiment: AI infrastructure demand remains robust: Hotard said customers could build data centers roughly twice as fast if supply constraints were removed, indicating that demand—not customer interest—is limiting the pace of AI buildouts. This supports Nokia’s opportunity in data-center networking and related infrastructure. Nokia CEO says data centers would be built 2x faster without supply constraints
• Positive Sentiment: Satellite communications partnership: Nokia and ICEYE plan to develop satellite communications networks, potentially expanding Nokia’s addressable market across space, connectivity and government or defense applications. ICEYE, Nokia to Develop Satellite Communications Networks
• Positive Sentiment: AI and 6G positioning: Recent CEO comments highlighted Nokia’s exposure to AI infrastructure, 6G and space, reinforcing the view that the company is seeking growth beyond traditional telecom equipment. Nokia CEO Justin Hotard on AI infrastructure demand, 6G and space
• Positive Sentiment: Analyst sentiment is favorable: Brokerages collectively maintain a “Moderate Buy” recommendation, providing additional support for the stock’s near-term investor sentiment. Nokia receives Moderate Buy consensus recommendation
• Neutral Sentiment: Supply constraints remain a mixed factor: Power availability, memory chips and other equipment are slowing AI data-center construction. The constraints could postpone Nokia-related orders in the near term, but they also underscore substantial unmet demand if supply improves. Nokia CEO on AI data center supply constraints
• Negative Sentiment: Industry and relationship risks: Semiconductor stocks pulled back after a strong rally, creating a broader technology-sector headwind. Separately, InCoax’s shift toward direct sales amid changes in its Nokia relationship introduces a limited channel or partnership concern. InCoax shifts to direct sales amid changes in Nokia relationship

Wall Street Analyst Weigh In

A number of research firms have recently commented on NOK. JPMorgan Chase & Co. upped their target price on Nokia from $14.00 to $21.00 and gave the company an “overweight” rating in a research note on Friday, June 12th. Weiss Ratings reissued a “hold (c)” rating on shares of Nokia in a research report on Friday, September 4th. Danske raised Nokia from a “hold” rating to a “buy” rating in a research report on Wednesday, July 1st. B. Riley Financial assumed coverage on shares of Nokia in a research note on Thursday, September 17th. They set a “buy” rating and a $15.00 price objective for the company. Finally, Rosenblatt Securities assumed coverage on Nokia in a research note on Tuesday, September 15th. They issued a “buy” rating and a $15.00 price target for the company. One research analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, three have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $14.12.

Nokia Price Performance

The company has a quick ratio of 1.22, a current ratio of 1.50 and a debt-to-equity ratio of 0.09. The stock’s 50 day moving average price is $10.11 and its two-hundred day moving average price is $11.33. The stock has a market cap of $62.68 billion, a price-to-earnings ratio of 77.96, a price-to-earnings-growth ratio of 1.26 and a beta of 1.19.

Nokia (NYSE:NOK) last posted its quarterly earnings results on Thursday, July 23rd. The technology company reported $0.08 EPS for the quarter, beating the consensus estimate of $0.07 by $0.01. The company had revenue of $5.50 billion for the quarter, compared to analyst estimates of $5.57 billion. Nokia had a net margin of 3.49% and a return on equity of 9.83%. The firm’s revenue was up 8.4% on a year-over-year basis. During the same period in the prior year, the company earned $0.04 earnings per share. Equities research analysts forecast that Nokia Corporation will post 0.39 EPS for the current fiscal year.

Hedge Funds Weigh In On Nokia

Several large investors have recently made changes to their positions in the company. Central Pacific Bank Trust Division increased its holdings in Nokia by 45.7% in the third quarter. Central Pacific Bank Trust Division now owns 79,014 shares of the technology company’s stock valued at $801,000 after buying an additional 24,765 shares in the last quarter. Envestnet Portfolio Solutions Inc. grew its position in shares of Nokia by 69.9% during the 2nd quarter. Envestnet Portfolio Solutions Inc. now owns 19,987 shares of the technology company’s stock valued at $265,000 after acquiring an additional 8,225 shares during the period. Sequoia Financial Advisors LLC grew its position in shares of Nokia by 15.0% during the 2nd quarter. Sequoia Financial Advisors LLC now owns 112,046 shares of the technology company’s stock valued at $1,488,000 after acquiring an additional 14,657 shares during the period. Tidal Investments LLC raised its holdings in Nokia by 47.2% in the 2nd quarter. Tidal Investments LLC now owns 177,142 shares of the technology company’s stock worth $2,352,000 after purchasing an additional 56,807 shares during the period. Finally, Bienville Capital Management LLC purchased a new position in Nokia during the second quarter worth approximately $1,754,000. 5.28% of the stock is currently owned by institutional investors and hedge funds.

About Nokia

Nokia Oyj is a Finland-based technology company that develops and supplies communications networking equipment, software and related services. Its offerings support mobile and fixed broadband networks, including radio access networks, core networks, fiber and other fixed-access technologies, IP routing, optical networking, private wireless systems, cloud networking and network automation.

The company serves telecommunications operators, governments, enterprises and other organizations worldwide.