- Nokia’s adjusted operating profit for the second quarter was EU301 million, falling short of the estimated EU399.4 million.
- The company reported an adjusted operating margin of 6.6%, below the estimated 8.44%.
- Adjusted gross margin was 44.7%, ahead of the expected 43.7%.
- Nokia’s adjusted earnings per share (EPS) came in at EU0.040, missing the estimate of EU0.06.
- Cloud & Network Services net sales were EU557 million, slightly below the EU570 million estimate.
- Nokia Technologies net sales were EU357 million, nearly matching the EU357.3 million forecast.
- The Group Common & Other segment reported net sales of EU3 million.
- The company achieved an operating profit of EU81 million.
- Mobile Networks’ operating profit was EU77 million, exceeding the estimated EU62 million.
- Network Infrastructure posted an operating profit of EU109 million, falling short of the expected EU172.6 million.
- Cloud & Network Services generated an operating profit of EU9 million.
- Nokia Technologies had an operating profit of EU255 million, just below the EU260.7 million estimate.
- The Group Common & Other segment recorded an operating loss of EU150 million, worse than the projected EU89.1 million loss.
- Mobile Networks’ gross margin was 41.1%, above the 38.4% estimate.
- Network Infrastructure had a gross margin of 38.2%, slightly below the 39.6% estimate.
- Cloud & Network Services achieved a gross margin of 42.7%, surpassing the estimated 40%.
- Nokia Technologies reported a gross margin of 100%, outperforming the expected 96.7%.
- The market consensus shows 15 buy ratings, 10 hold ratings, and 5 sell ratings for Nokia’s stock.
A look at Nokia OYJ Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 4 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts have rated Nokia OYJ with a Smart Score of 4 for Value, indicating a positive long-term outlook for the company’s valuation. This suggests that Nokia’s stock is perceived to be undervalued relative to its intrinsic worth. Additionally, the company received a Smart Score of 3 for both Dividend and Growth, showcasing moderate prospects in these areas. With a Resilience score of 4, Nokia has been recognized for its ability to withstand market fluctuations and economic challenges. However, the company has shown weaker Momentum with a score of 2, reflecting a slower rate of growth or potential volatility in the short term.
Nokia OYJ, a prominent global communications company, operates a diverse network encompassing production facilities, location intelligence, network infrastructure, sales, and customer service. The company’s global presence is bolstered by research and software development facilities spread across various regions. Based on the Smart Scores provided, Nokia is positioned as a financially sound investment option with favorable value and resilience attributes, though it may face challenges in driving growth and momentum in the near future.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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