Raymond James lifts Nokia stock price target to $5.50

Published 30/01/2025, 17:42
Raymond James lifts Nokia stock price target to $5.50

Following the completion of the Infinera (NASDAQ:INFN) acquisition, Nokia (HE:NOKIA) has announced plans to conduct an analyst meeting during the first half of 2025. As a sign of confidence in its financial health and future prospects, Nokia has also increased its annual dividend from €0.13 to €0.14, marking its third consecutive year of dividend increases. The upward adjustment in Nokia’s price target by Raymond (NSE:RYMD) James reflects the firm’s confidence in Nokia’s strategic investments and growth initiatives. For deeper insights into Nokia’s valuation and growth prospects, InvestingPro offers a comprehensive research report with detailed analysis of the company’s financial health and market position.

Following the completion of the Infinera acquisition, Nokia has announced plans to conduct an analyst meeting during the first half of 2025. As a sign of confidence in its financial health and future prospects, Nokia has also increased its annual dividend from €0.13 to €0.14, marking its third consecutive year of dividend increases. The upward adjustment in Nokia’s price target by Raymond James reflects the firm’s confidence in Nokia’s strategic investments and growth initiatives. For deeper insights into Nokia’s valuation and growth prospects, InvestingPro offers a comprehensive research report with detailed analysis of the company’s financial health and market position.

The Finnish telecom company plans to enhance its market position through a €100 million investment in IP Networks, aimed at bolstering near-term profits. This strategic move is expected to contribute to Nokia’s ambitious target of achieving €1 billion in incremental data center sales by the year 2028. The growth drivers identified include increased enterprise and cloud market penetration, replacement of Huawei equipment, funding from the Broadband Equity, Access, and Deployment (BEAD) program, and performance improvements in India. Additionally, the anticipated acquisition of Infinera, which is slated to be finalized in the first quarter of 2025, is set to further strengthen Nokia’s market presence.

Following the completion of the Infinera acquisition, Nokia has announced plans to conduct an analyst meeting during the first half of 2025. As a sign of confidence in its financial health and future prospects, Nokia has also increased its annual dividend from €0.13 to €0.14, marking its third consecutive year of dividend increases. The upward adjustment in Nokia’s price target by Raymond James reflects the firm’s confidence in Nokia’s strategic investments and growth initiatives. For deeper insights into Nokia’s valuation and growth prospects, InvestingPro offers a comprehensive research report with detailed analysis of the company’s financial health and market position.

In other recent news, Nokia’s financial results are eagerly awaited by investors, shedding light on the company’s performance and guidance for FY25. JPMorgan maintains an Overweight stance on Nokia, suggesting that a decline in the company’s constant currency revenue is unlikely. The firm anticipates increased spending in the telecommunications sector and growth in the data center market, which forms the core of their positive outlook on Nokia.

In a notable business development, Nokia has entered a multi-year patent license agreement with Samsung (KS:005930). This allows Samsung to leverage Nokia’s video technologies in its televisions, with Nokia receiving undisclosed royalty payments in return. This agreement is distinct from the existing 5G patent license deal between the two companies.

JPMorgan has upgraded Nokia’s stock from Neutral to Overweight, predicting an uptick in telecommunications spending in 2025. This is expected to be driven by adjustments in the US telecom sector and new 5G investments in India. The firm also highlighted Nokia’s potential growth in the enterprise market, particularly due to its recent expansion of partnership with Microsoft (NASDAQ:MSFT) Cloud.

Regarding earnings and revenue, Nokia reported mixed results for the third quarter of 2024. Despite a decline in its Mobile Networks segment, Nokia Technologies saw a 36% increase in sales, and the company reported significant gross margin improvement. The acquisition of Infinera is also progressing, with closure expected in the first half of 2025. These are among the key recent developments for Nokia.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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