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Nokia (NOK) Stock Sinks As Market Gains: Here's Why
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Nokia (NOK - Free Report) closed the latest trading day at $3.12, indicating a -1.89% change from the previous session's end. The stock trailed the S&P 500, which registered a daily gain of 0.39%. At the same time, the Dow added 0.43%, and the tech-heavy Nasdaq gained 0.2%.
Shares of the technology company witnessed a loss of 8.88% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 5.97% and the S&P 500's gain of 5.28%.
Market participants will be closely following the financial results of Nokia in its upcoming release. On that day, Nokia is projected to report earnings of $0.15 per share, which would represent a year-over-year decline of 6.25%. At the same time, our most recent consensus estimate is projecting a revenue of $6.81 billion, reflecting a 10.4% fall from the equivalent quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $0.35 per share and revenue of $24.53 billion, which would represent changes of -23.91% and -6.21%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Nokia. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.89% lower within the past month. Right now, Nokia possesses a Zacks Rank of #4 (Sell).
Looking at valuation, Nokia is presently trading at a Forward P/E ratio of 9.17. This expresses a discount compared to the average Forward P/E of 14.62 of its industry.
The Wireless Equipment industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 67, finds itself in the top 27% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Nokia (NOK) Stock Sinks As Market Gains: Here's Why
Nokia (NOK - Free Report) closed the latest trading day at $3.12, indicating a -1.89% change from the previous session's end. The stock trailed the S&P 500, which registered a daily gain of 0.39%. At the same time, the Dow added 0.43%, and the tech-heavy Nasdaq gained 0.2%.
Shares of the technology company witnessed a loss of 8.88% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 5.97% and the S&P 500's gain of 5.28%.
Market participants will be closely following the financial results of Nokia in its upcoming release. On that day, Nokia is projected to report earnings of $0.15 per share, which would represent a year-over-year decline of 6.25%. At the same time, our most recent consensus estimate is projecting a revenue of $6.81 billion, reflecting a 10.4% fall from the equivalent quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $0.35 per share and revenue of $24.53 billion, which would represent changes of -23.91% and -6.21%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Nokia. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.89% lower within the past month. Right now, Nokia possesses a Zacks Rank of #4 (Sell).
Looking at valuation, Nokia is presently trading at a Forward P/E ratio of 9.17. This expresses a discount compared to the average Forward P/E of 14.62 of its industry.
The Wireless Equipment industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 67, finds itself in the top 27% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.