Nokia (NYSE:NOK) Posts Earnings Results, Meets Expectations

Nokia (NYSE:NOK) issued its quarterly earnings data on Thursday. The technology company reported $0.06 EPS for the quarter, meeting the consensus estimate of $0.06, Zacks reports. Nokia had a net margin of 3.41% and a return on equity of 8.54%. The business had revenue of $5.27 billion during the quarter, compared to the consensus estimate of $4.59 billion. During the same quarter in the prior year, the firm earned $0.03 EPS. The firm’s revenue was up 2.4% compared to the same quarter last year.

Here are the key takeaways from Nokia’s conference call:

• Q1 results: Nokia reported net sales of EUR 4.5bn (+4%), an operating margin of 6.2% and free cash flow of EUR 629m, with gross margin up 320 bps year‑on‑year.
• AI & cloud acceleration: AI/cloud sales grew 49% with EUR 1bn of new AI/cloud orders and book‑to‑bill >1, prompting Nokia to raise 2026 Network Infrastructure growth guidance to 12–14% and Optical+IP to 18–20% while revising the AI/cloud addressable market to a 27% CAGR (2025–28).
• Optical momentum and Infinera integration: Management says Infinera synergies are ahead of plan, Optical Networks delivered 20% sales growth, a new product roadmap was unveiled (multi‑rail amplifier and modular optical engines), and a second indium‑phosphide fab in San Jose is set to ramp later this year to expand capacity.
• Management flagged ongoing risks — semiconductor/supply constraints and elongated order cycles, product‑mix headwinds, a 13% decline in Fixed Networks from deliberate portfolio pruning and elevated investment (CapEx/OpEx) that could weigh on near‑term margins and cash seasonality despite strong Q1 cash.

Nokia Trading Up 0.6%

Shares of NYSE:NOK traded up $0.07 during trading on Friday, reaching $10.40. The stock had a trading volume of 60,098,017 shares, compared to its average volume of 55,515,281. Nokia has a 52 week low of $4.00 and a 52 week high of $10.90. The company has a debt-to-equity ratio of 0.11, a quick ratio of 1.36 and a current ratio of 1.58. The firm’s fifty day moving average is $8.51 and its 200 day moving average is $7.13. The stock has a market cap of $59.69 billion, a price-to-earnings ratio of 80.28, a P/E/G ratio of 1.82 and a beta of 0.77.

Nokia Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, May 12th. Stockholders of record on Tuesday, April 28th will be given a $0.0468 dividend. This is an increase from Nokia’s previous quarterly dividend of $0.04. The ex-dividend date is Tuesday, April 28th. This represents a $0.19 dividend on an annualized basis and a dividend yield of 1.8%. Nokia’s dividend payout ratio is presently 69.23%.

Analyst Upgrades and Downgrades

A number of analysts have weighed in on NOK shares. Danske cut shares of Nokia from a “buy” rating to a “hold” rating in a research note on Tuesday, February 24th. Santander raised shares of Nokia from a “neutral” rating to an “outperform” rating in a research note on Monday, February 2nd. Arete Research cut shares of Nokia from a “buy” rating to a “neutral” rating in a research note on Friday, March 13th. Argus raised shares of Nokia to a “hold” rating in a research note on Wednesday, February 11th. Finally, Citigroup reaffirmed a “sell” rating on shares of Nokia in a research note on Friday, January 23rd. Ten research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, Nokia currently has a consensus rating of “Moderate Buy” and a consensus target price of $8.83.

Nokia News Roundup

Here are the key news stories impacting Nokia this week:

• Positive Sentiment: Q1 results showed a marked AI/cloud revenue lift: comparable operating profit jumped ~54% and the company booked ~€1bn of orders from data‑center/AI customers, driven by Optical Networks and AI & Cloud sales. Nokia Oyj (NOK) Q1 2026 Earnings Call Highlights: Strong AI and Cloud Growth Amid Strategic Shifts
• Positive Sentiment: Management and analysts now see faster Network Infrastructure growth (company guiding ~12–14% and Optical Networks ~18–20% in some notes) and margin expansion potential as AI data‑center buildouts lift high‑margin optical sales. Nokia: Sleeping Giant Boosted By AI
• Positive Sentiment: Street reaction: Northland raised its price target to $13 (from $10), and retail flows pushed the shares to multi‑year highs as traders piled into the AI narrative. Analyst uplift and retail momentum support near‑term upside. Northland Lifts PT on Nokia Oyj (NOK), Cites AI Optical Connectivity Demand Acceleration
• Positive Sentiment: Market coverage and headlines highlight the company’s fiber/optical connectivity wins for hyperscalers — a clear revenue driver tied to the AI capex cycle. Nokia’s Fiber Optic Bet Is Paying Off as AI Hunger Lifts Earnings
• Neutral Sentiment: Q1 EPS broadly matched consensus ($0.06) while reported revenue and comparable profit metrics were stronger; results are interpreted as a beat on sales/profitability but EPS neutrality tempers immediate upside. Nokia (NOK) Q1 earnings / MarketBeat summary
• Neutral Sentiment: CEO commentary flagged a structural risk: Europe may lag the US/China in AI data‑center buildouts — a reminder that addressable market dynamics vary by region. This is longer‑term and not an immediate earnings shock. Europe risks falling behind US, China on AI data centre build-up, Nokia CEO says
• Negative Sentiment: Near‑term caution in company guidance: the Q2 revenue band sits around $5.5–$5.7B versus Street consensus near the top of that band, leaving limited upside to estimates and some execution risk if AI demand normalizes. Nokia Oyj 2026 Q1 – Results – Earnings Call Presentation
• Negative Sentiment: Operational headwinds remain (fixed‑networks softness and semiconductor supply constraints cited), which could limit upside to margins or slow some product rollouts. Nokia Oyj (NOK) Q1 2026 Earnings Call Highlights: Strong AI and Cloud Growth Amid Strategic Shifts

Hedge Funds Weigh In On Nokia

A number of hedge funds have recently bought and sold shares of NOK. Arrowstreet Capital Limited Partnership raised its stake in Nokia by 50.0% during the third quarter. Arrowstreet Capital Limited Partnership now owns 43,424,695 shares of the technology company’s stock worth $208,873,000 after buying an additional 14,482,665 shares during the last quarter. Alyeska Investment Group L.P. raised its stake in Nokia by 171.0% during the fourth quarter. Alyeska Investment Group L.P. now owns 17,490,101 shares of the technology company’s stock worth $113,161,000 after buying an additional 11,035,002 shares during the last quarter. Defiance ETFs LLC bought a new position in Nokia during the fourth quarter worth $57,801,000. Renaissance Technologies LLC bought a new position in Nokia during the fourth quarter worth $37,195,000. Finally, Marshall Wace LLP raised its stake in Nokia by 388.0% during the third quarter. Marshall Wace LLP now owns 6,770,192 shares of the technology company’s stock worth $32,565,000 after buying an additional 5,382,727 shares during the last quarter. Institutional investors own 5.28% of the company’s stock.

About Nokia

Nokia Corporation, headquartered in Espoo, Finland, is a global telecommunications and technology company with roots dating back to 1865. Over its long history the company moved from forestry and cable operations into electronics and telecommunications, becoming widely known in the 1990s and 2000s for its mobile phones. In recent years Nokia refocused its business toward network infrastructure, software and technology licensing, and research and development, following the divestiture of its handset manufacturing business and the acquisition of Alcatel‑Lucent in 2016, which brought Bell Labs into its portfolio.

Today Nokia’s core activities center on designing, building and supporting communications networks and related software.