Nokia (NYSE:NOK) Issues Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Nokia (NYSE:NOK) announced its quarterly earnings data on Thursday. The technology company reported $0.19 earnings per share for the quarter, beating the consensus estimate of $0.17 by $0.02, FiscalAI reports. The business had revenue of $7.19 billion for the quarter, compared to analyst estimates of $6.10 billion. Nokia had a net margin of 4.65% and a return on equity of 8.24%.

Here are the key takeaways from Nokia’s conference call:

• Q4 results were in line with guidance — net sales up 3% to €6.1bn, operating profit of €1.0bn, full‑year net sales €19.9bn, operating profit €2.0bn, free cash flow conversion 72% and net cash of €3.4bn.
• Strong momentum in Network Infrastructure — Optical grew ~17% in Q4, AI/cloud customers generated €2.4bn of orders in 2025, book‑to‑bill >1, and 800G ZR/ZR+ pluggables are shipping with multiple design wins.
• Management is increasing investment to capture AI/cloud demand, targeting €900m–€1.0bn CapEx in 2026 to expand optical manufacturing (including indium phosphide fab capacity) to support ramping production.
• Strategic and structural moves to sharpen focus — acquisition of Infinera, creation of a new Mobile Infrastructure segment and Nokia Defense, plus published KPIs (NI growth and margin targets) to drive longer‑term value creation.
• Near‑term profitability headwinds — Nokia Technologies sales fell 17% in Q4 with a €20m impairment, and the newly grouped Portfolio Businesses posted €97m operating loss in 2025 (management expects a lower but still negative outcome in 2026).

Nokia Price Performance

NYSE:NOK opened at $6.52 on Friday. The stock has a market capitalization of $37.41 billion, a PE ratio of 36.22 and a beta of 0.77. Nokia has a 1-year low of $4.00 and a 1-year high of $8.19. The firm has a fifty day simple moving average of $6.41 and a 200 day simple moving average of $5.56. The company has a current ratio of 1.48, a quick ratio of 1.23 and a debt-to-equity ratio of 0.12.

Key Headlines Impacting Nokia

Here are the key news stories impacting Nokia this week:

• Positive Sentiment: Revenue and top-line beat — Q4 revenue rose ~15% YoY to $7.19B and topped expectations, driven by Network Infrastructure and stronger sales to AI/cloud customers, which supports growth prospects in higher-margin enterprise demand. Nokia Reports Jump In Sales From AI And Cloud Customers
• Positive Sentiment: Cash flow and balance sheet signals — operating cash improved materially and Nokia retains strong cash balances (~$6.4B), giving flexibility for investment in AI/5G and to fund restructuring. Nokia Corporation (NOK) Releases Q4 2025 Earnings
• Positive Sentiment: NVIDIA stake and AI partnerships highlight upside — recent coverage notes NVIDIA’s investment and Ai-RAN collaboration could accelerate Nokia’s role in the AI/physical-AI market, creating a multi-year growth runway beyond traditional telco spend. Nokia: Nvidia’s Bet Highlights An AI Opportunity The Market Is Ignoring
• Neutral Sentiment: Reorganization and reporting changes — Nokia recast segment reporting to reflect a new two-segment structure (effective 1 Jan 2026), improving transparency but adding short-term comparability adjustments. Nokia provides recast comparative segment results
• Neutral Sentiment: Product/strategy emphasis on “physical AI” — coverage notes Nokia’s Q4 was light on direct Nvidia revenue but focused on physical-AI opportunities (data-center, AI-RAN), a strategic shift that may take time to monetize. Nokia financials light on Nvidia, big on physical AI
• Negative Sentiment: Softer profitability and guidance — operating profit and EPS declined YoY (operating profit down ~29%, EPS down ~25% YoY) as costs rose; management gave guidance that some investors interpreted as conservative. Nokia falls after softer guidance despite Q4 beat
• Negative Sentiment: Sector-wide AI sell-off — broader market rotation away from AI/high-growth names amplified NOK’s decline despite the company meeting or beating some targets. Why Is Nokia Stock Down 8% Today?
• Negative Sentiment: Chair stepping down — long-serving chair Sari Baldauf will step down and vice chair Timo Ihamuotil will succeed, which creates short-term governance transition risk for some investors. Nokia chair Sari Baldauf to step down

Institutional Investors Weigh In On Nokia

A number of institutional investors and hedge funds have recently modified their holdings of the company. Amundi bought a new stake in Nokia in the first quarter valued at approximately $776,000. AQR Capital Management LLC raised its stake in Nokia by 27.5% in the 1st quarter. AQR Capital Management LLC now owns 186,997 shares of the technology company’s stock valued at $985,000 after acquiring an additional 40,276 shares during the period. Millennium Management LLC raised its stake in Nokia by 6,539.2% in the 1st quarter. Millennium Management LLC now owns 2,841,558 shares of the technology company’s stock valued at $14,975,000 after acquiring an additional 2,798,758 shares during the period. NewEdge Advisors LLC lifted its holdings in Nokia by 6,204.9% during the 1st quarter. NewEdge Advisors LLC now owns 60,464 shares of the technology company’s stock valued at $319,000 after purchasing an additional 59,505 shares during the last quarter. Finally, Goldman Sachs Group Inc. boosted its position in Nokia by 8.7% during the first quarter. Goldman Sachs Group Inc. now owns 12,550,274 shares of the technology company’s stock worth $66,140,000 after purchasing an additional 1,002,033 shares during the period. 5.28% of the stock is owned by institutional investors.

Analyst Ratings Changes

A number of research firms recently commented on NOK. Weiss Ratings restated a “hold (c)” rating on shares of Nokia in a research report on Monday, December 22nd. Raymond James Financial reissued an “outperform” rating on shares of Nokia in a research note on Thursday, October 23rd. Danske raised Nokia from a “hold” rating to a “buy” rating in a research report on Friday, November 21st. JPMorgan Chase & Co. boosted their price objective on Nokia from $7.10 to $8.00 and gave the company an “overweight” rating in a research report on Monday, December 1st. Finally, Deutsche Bank Aktiengesellschaft restated a “buy” rating on shares of Nokia in a report on Wednesday, October 15th. Eight analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $6.77.

Nokia Company Profile

Nokia Corporation, headquartered in Espoo, Finland, is a global telecommunications and technology company with roots dating back to 1865. Over its long history the company moved from forestry and cable operations into electronics and telecommunications, becoming widely known in the 1990s and 2000s for its mobile phones. In recent years Nokia refocused its business toward network infrastructure, software and technology licensing, and research and development, following the divestiture of its handset manufacturing business and the acquisition of Alcatel‑Lucent in 2016, which brought Bell Labs into its portfolio.

Today Nokia’s core activities center on designing, building and supporting communications networks and related software.