Nokia (NYSE:NOK) Releases Earnings Results

Nokia (NYSE:NOK) issued its quarterly earnings data on Thursday. The technology company reported $0.06 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.06, Zacks reports. Nokia had a return on equity of 9.22% and a net margin of 4.02%.The business had revenue of $5.27 billion during the quarter, compared to analysts’ expectations of $4.59 billion. During the same quarter in the previous year, the firm posted $0.03 EPS. The company’s revenue for the quarter was up 2.4% on a year-over-year basis.

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

• Q1 results: Nokia reported net sales of EUR 4.5bn (+4%), an operating margin of 6.2% and free cash flow of EUR 629m, with gross margin up 320 bps year‑on‑year.
• AI & cloud acceleration: AI/cloud sales grew 49% with EUR 1bn of new AI/cloud orders and book‑to‑bill >1, prompting Nokia to raise 2026 Network Infrastructure growth guidance to 12–14% and Optical+IP to 18–20% while revising the AI/cloud addressable market to a 27% CAGR (2025–28).
• Optical momentum and Infinera integration: Management says Infinera synergies are ahead of plan, Optical Networks delivered 20% sales growth, a new product roadmap was unveiled (multi‑rail amplifier and modular optical engines), and a second indium‑phosphide fab in San Jose is set to ramp later this year to expand capacity.
• Management flagged ongoing risks — semiconductor/supply constraints and elongated order cycles, product‑mix headwinds, a 13% decline in Fixed Networks from deliberate portfolio pruning and elevated investment (CapEx/OpEx) that could weigh on near‑term margins and cash seasonality despite strong Q1 cash.

Nokia Trading Up 1.1%

Shares of NOK opened at $10.45 on Friday. The company has a current ratio of 1.58, a quick ratio of 1.36 and a debt-to-equity ratio of 0.11. Nokia has a 12-month low of $4.00 and a 12-month high of $10.90. The firm has a 50-day moving average price of $8.58 and a 200 day moving average price of $7.17. The firm has a market capitalization of $59.98 billion, a P/E ratio of 65.29, a P/E/G ratio of 1.87 and a beta of 0.77.

Nokia Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, May 12th. Stockholders of record on Tuesday, April 28th will be given a dividend of $0.0468 per share. This represents a $0.19 annualized dividend and a dividend yield of 1.8%. The ex-dividend date of this dividend is Tuesday, April 28th. This is a positive change from Nokia’s previous quarterly dividend of $0.04. Nokia’s dividend payout ratio is presently 69.23%.

Wall Street Analysts Forecast Growth

NOK has been the subject of several recent research reports. Santander upgraded Nokia from a “neutral” rating to an “outperform” rating in a research report on Monday, February 2nd. Northland Securities set a $13.00 target price on shares of Nokia in a report on Monday. Wall Street Zen raised shares of Nokia from a “hold” rating to a “buy” rating in a report on Saturday. Citigroup reaffirmed a “sell” rating on shares of Nokia in a report on Friday, January 23rd. Finally, Bank of America upgraded shares of Nokia from a “neutral” rating to a “buy” rating and set a $12.40 price objective for the company in a research report on Monday, April 13th. Ten investment analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $8.83.

Hedge Funds Weigh In On Nokia

Several institutional investors and hedge funds have recently bought and sold shares of NOK. Wexford Capital LP purchased a new stake in shares of Nokia in the 3rd quarter valued at approximately $29,000. CIBC Private Wealth Group LLC raised its position in shares of Nokia by 86.1% during the 4th quarter. CIBC Private Wealth Group LLC now owns 5,994 shares of the technology company’s stock valued at $39,000 after buying an additional 2,773 shares during the period. Barclays PLC acquired a new position in Nokia in the fourth quarter valued at approximately $40,000. Caitong International Asset Management Co. Ltd acquired a new position in Nokia in the third quarter valued at approximately $34,000. Finally, Vontobel Holding Ltd. purchased a new position in Nokia in the fourth quarter worth approximately $65,000. 5.28% of the stock is currently owned by institutional investors and hedge funds.

More Nokia News

Here are the key news stories impacting Nokia this week:

• Positive Sentiment: Q1 beat and profit jump — Nokia reported stronger-than-expected comparable operating profit (up ~54%) and booked ~€1B in AI/data‑center orders, driving revenue strength and investor enthusiasm. Article Title
• Positive Sentiment: AI & Optical Networks acceleration — Net sales from AI & Cloud customers jumped ~49% and Optical Networks grew ~20%; Nokia raised its Network Infrastructure sales outlook (now ~12–14% growth), signaling multi‑year tailwinds from hyperscaler demand. Article Title
• Positive Sentiment: Analyst upgrade — Northland lifted its price target (to $13 from $10), citing accelerating AI-related optical connectivity demand, which supports further upside sentiment. Article Title
• Positive Sentiment: Retail interest / re-rating — Retail traders piled into the stock after the AI-driven beat, helping push shares toward multi‑year highs and increasing momentum. Article Title
• Neutral Sentiment: Mixed headline numbers — EPS matched consensus ($0.06) while revenue was stronger on some metrics but mixed across segments; the quarter shows progress but not uniform beats. Article Title
• Neutral Sentiment: Guidance nuances — Nokia issued a Q2 revenue range (~$5.5–$5.7B) that sits around consensus but lacks clear EPS detail in the release, leaving some guidance uncertainty for near‑term estimates. Article Title
• Negative Sentiment: Short interest rose sharply — Short interest grew ~24% in April to ~68.2M shares; while days‑to‑cover is low (~0.7), the increase signals some investor skepticism and could pressure shares if negative news follows.
• Negative Sentiment: Supply and regional risks — Management flagged semiconductor supply and fixed‑network challenges, and warned Europe may lag the US/China on AI data‑center buildout, which could limit addressable market or margin expansion. Article Title

About Nokia

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.