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Nokia (NOK) Outpaces Stock Market Gains: What You Should Know

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Nokia (NOK - Free Report) ended the recent trading session at $3.59, demonstrating a +1.99% swing from the preceding day's closing price. The stock outpaced the S&P 500's daily gain of 0.89%. Elsewhere, the Dow saw an upswing of 1.03%, while the tech-heavy Nasdaq appreciated by 1.25%.

The technology company's shares have seen an increase of 0.86% over the last month, not keeping up with the Computer and Technology sector's gain of 3.77% and the S&P 500's gain of 3.56%.

Market participants will be closely following the financial results of Nokia in its upcoming release. The company plans to announce its earnings on April 18, 2024. The company is predicted to post an EPS of $0.06, indicating constancy compared to the equivalent quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $5.19 billion, reflecting a 17.38% fall from the equivalent quarter last year.

For the full year, the Zacks Consensus Estimates project earnings of $0.38 per share and a revenue of $23.65 billion, demonstrating changes of +22.58% and -1.73%, respectively, from the preceding year.

Investors might also notice recent changes to analyst estimates for Nokia. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Nokia is holding a Zacks Rank of #2 (Buy) right now.

From a valuation perspective, Nokia is currently exchanging hands at a Forward P/E ratio of 9.22. This represents a discount compared to its industry's average Forward P/E of 14.58.

We can additionally observe that NOK currently boasts a PEG ratio of 0.98. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Wireless Equipment industry held an average PEG ratio of 1.39.

The Wireless Equipment industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 204, this industry ranks in the bottom 20% of all industries, numbering over 250.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.


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