rtmark
LearnBonds.com

Nokia Stock: The Dip is Presenting a Buying Oppertunity

Nokia stock

Nokia (NYSE: NOK) stock price lost substantial value in fiscal 2019 amid a steady decline in financial numbers. The lower than expected results for the third quarter and downside guidance for the full year added to bearish sentiments. NOK share price plunged close to 34% in the past twelve months; the shares are currently trading close to the lowest level in the last eight years.

The market analysts are suggesting investors capitalize on the buying opportunity. They see the Nokia stock price selloff a buying opportunity for value investors. The company’s investment in growth opportunities such as 5G and IoT is likely to enhance investor’s sentiments in fiscal 2020.

Nokia Stock

Analysts Raised Nokia Stock Target

Raymond James upgraded the NOK share price target to Strong Buy with a price target of $5. Nokia shares are currently trading below $4. The firm claims that poor financial results for the third quarter already priced into the stock. The firm also anticipates NOK share price to bounce back in the coming days amid its potential to regain its footing.

On the other hand, New Street increased its ratings from Neutral to Buy following a big selloff in the last few months.

Its true Nokia’s strategy of pausing its quarterly dividend had negatively impacted the share price performance. However, the strategy of reducing cash outflow would enhance its investment potential.

Dim Outlook Could Limit the Upside Potential

Nokia stock

The company has reduced its outlook for fiscal 2019 and 2020. Non-IFRS FY19 EPS is expected at €0.21, down from earlier guidance of €0.25 – €0.29. Nokia also declined the fiscal 2020 earnings outlook to €0.25 compared to the prior guidance of €0.37 – €0.42. The company blames investment in new growth opportunities for downside guidance.

Its CEO said, “I am confident that our strategy remains the right one. We continue to focus on leadership in high-performance end-to-end networks with Communication Service Providers; strong growth in the enterprise; strengthening our software business; diversification of licensing into IoT and consumer electronics.”

Trusted & Regulated Stock & CFD Brokers

Rating

What we like

  • 0% Fees on Stocks
  • 5000+ Stocks, ETFs and other Markets
  • Accepts Paypal Deposits

Min Deposit

$200

Charge per Trade

Zero Commission

Rating

64 traders signed up today

Visit Now

75% of investors lose money when trading CFDs.

Available Assets

  • Total Number of Stocks & Shares5000+
  • US Stocks
  • German Stocks
  • UK Stocks
  • European
  • ETF Stocks
  • IPO
  • Funds
  • Bonds
  • Options
  • Futures
  • CFDs
  • Crypto

Charge per Trade

  • FTSE 100 Zero Commission
  • NASDAQ Zero Commission
  • DAX Zero Commission
  • Facebook Zero Commission
  • Alphabet Zero Commission
  • Tesla Zero Commission
  • Apple Zero Commission
  • Microsoft Zero Commission

Deposit Method

  • Wire Transfer
  • Credit Cards
  • Bank Account
  • Paypall
  • Skrill
  • Neteller

Rating

What we like

  • Sign up today and get $5 free
  • Fractals Available
  • Paypal Available

Min Deposit

$0

Charge per Trade

$1 to $9 PCM

Rating

Visit Now

Investing in financial markets carries risk, you have the potential to lose your total investment.

Available Assets

  • Total Number of Shares999
  • US Stocks
  • German Stocks
  • UK Stocks
  • European Stocks
  • EFTs
  • IPOs
  • Funds
  • Bonds
  • Options
  • Futures
  • CFDs
  • Crypto

Charge per Trade

  • FTSE 100 $1 - $9 per month
  • NASDAQ $1 - $9 per month
  • DAX $1 - $9 per month
  • Facebook $1 - $9 per month
  • Alphabet $1 - $9 per month
  • Telsa $1 - $9 per month
  • Apple $1 - $9 per month
  • Microsoft $1 - $9 per month

Deposit Method

  • Wire Transfer
  • Credit Cards
  • Bank Account
Users should remember that all trading carries risks and users should only invest in regulated firms. Views expressed are those of the writers only. Past performance is no guarantee of future results. The opinions expressed in this Site do not constitute investment advice and independent financial advice should be sought where appropriate. This website is free for you to use but we may receive commission from the companies we feature on this site.
Avatar

Based in Saudi Arabia, Siraj has a strong understanding of and passion for accounting and finance. He has worked for international clients for many years on several projects related to the stock market, equity research and other business, accounting and finance related projects. Siraj is a published financial analyst on the world's leading websites including SeekingAlpha, TheStreet, MSN, and others.