OM:NOKIA SEK

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Executive Summary

Nokia Corporation engages in the network and technology businesses worldwide.


Snowflake Analysis

Excellent balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has Nokia's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: NOKIA SEK's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

7.3%

NOKIA SEK

2.4%

SE Communications

3.7%

SE Market


1 Year Return

-15.4%

NOKIA SEK

-4.6%

SE Communications

9.4%

SE Market

Return vs Industry: NOKIA SEK underperformed the Swedish Communications industry which returned -5% over the past year.

Return vs Market: NOKIA SEK underperformed the Swedish Market which returned 9.4% over the past year.


Shareholder returns

NOKIA SEKIndustryMarket
7 Day7.3%2.4%3.7%
30 Day9.0%3.0%8.7%
90 Day11.6%15.3%-1.4%
1 Year-14.6%-15.4%-3.7%-4.6%11.0%9.4%
3 Year-24.7%-29.1%40.9%35.5%14.6%-0.9%
5 Year-22.5%-32.7%5.5%-4.7%35.0%8.2%

Price Volatility Vs. Market

How volatile is Nokia's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Nokia undervalued compared to its fair value and its price relative to the market?

43.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: NOKIA SEK (SEK40.05) is trading below our estimate of fair value (SEK71.29)

Significantly Below Fair Value: NOKIA SEK is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: NOKIA SEK is poor value based on its PE Ratio (60.4x) compared to the Communications industry average (52.7x).

PE vs Market: NOKIA SEK is poor value based on its PE Ratio (60.4x) compared to the Swedish market (19.2x).


Price to Earnings Growth Ratio

PEG Ratio: NOKIA SEK is poor value based on its PEG Ratio (2.1x)


Price to Book Ratio

PB vs Industry: NOKIA SEK is overvalued based on its PB Ratio (1.3x) compared to the SE Communications industry average (1.2x).


Next Steps

Future Growth

How is Nokia forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?

28.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NOKIA SEK's forecast earnings growth (28.7% per year) is above the savings rate (0.5%).

Earnings vs Market: NOKIA SEK's earnings (28.7% per year) are forecast to grow faster than the Swedish market (16.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: NOKIA SEK's revenue (3.1% per year) is forecast to grow slower than the Swedish market (5.9% per year).

High Growth Revenue: NOKIA SEK's revenue (3.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: NOKIA SEK's Return on Equity is forecast to be low in 3 years time (10.9%).


Next Steps

Past Performance

How has Nokia performed over the past 5 years?

-47.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NOKIA SEK has a large one-off loss of €373.0M impacting its March 31 2020 financial results.

Growing Profit Margin: NOKIA SEK became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: NOKIA SEK's earnings have declined by -47.6% per year over the past 5 years.

Accelerating Growth: NOKIA SEK has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: NOKIA SEK has become profitable in the last year, making it difficult to compare its past year earnings growth to the Communications industry (13.9%).


Return on Equity

High ROE: NOKIA SEK's Return on Equity (2.2%) is considered low.


Next Steps

Financial Health

How is Nokia's financial position?


Financial Position Analysis

Short Term Liabilities: NOKIA SEK's short term assets (€16.7B) exceed its short term liabilities (€12.2B).

Long Term Liabilities: NOKIA SEK's short term assets (€16.7B) exceed its long term liabilities (€11.6B).


Debt to Equity History and Analysis

Debt Level: NOKIA SEK's debt to equity ratio (31.2%) is considered satisfactory.

Reducing Debt: NOKIA SEK's debt to equity ratio has increased from 30.8% to 31.2% over the past 5 years.

Debt Coverage: NOKIA SEK's debt is well covered by operating cash flow (25.4%).

Interest Coverage: NOKIA SEK's interest payments on its debt are well covered by EBIT (5.7x coverage).


Balance Sheet


Next Steps

Dividend

What is Nokia's current dividend yield, its reliability and sustainability?

2.91%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate NOKIA SEK's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate NOKIA SEK's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if NOKIA SEK's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if NOKIA SEK's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: NOKIA SEK is not paying a notable dividend for the Swedish market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of NOKIA SEK's dividend in 3 years as they are not forecast to pay a notable one for the Swedish market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.8yrs

Average management tenure


CEO

Rajeev Suri (52yo)

6.08yrs

Tenure

€7,596,098

Compensation

Mr. Rajeev Suri has been Director at Stryker Corp. since May 02, 2018. He has been the Chief Executive Officer and President of Nokia Corporation since May 01, 2014. Mr. Suri served as the Chief Executive  ...


CEO Compensation Analysis

Compensation vs Market: Rajeev's total compensation ($USD0.00) is below average for companies of similar size in the Swedish market ($USD2.58M).

Compensation vs Earnings: Rajeev's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Rajeev Suri
President & CEO6.08yrs€7.60m0.050% 108.9m
Kristian Pullola
Chief Financial Officer3.42yrsno data0.0062% 13.5m
Marcus Weldon
Corporate CTO & President of Nokia Bell Labsno datano data0.0012% 2.5m
Matt Shimao
Head of Investor Relationsno datano datano data
Nassib Abou-Khalil
Chief Legal Officer0.83yrno data0.00059% 1.3m
Susan Sheehan
Senior Vice President of Communications8yrsno datano data
Barry French
Chief Marketing Officer6.42yrsno data0.0054% 11.8m
Stephanie Werner
Chief Human Resources Officer0.42yrno datano data
Sergei Khraby
Head of Belarussian office14yrsno datano data
Maria Varsellona
Executive Officer0.83yrno data0.0065% 14.2m

4.8yrs

Average Tenure

49yo

Average Age

Experienced Management: NOKIA SEK's management team is considered experienced (4.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Edward Kozel
Independent Non-Executive Director3.08yrs€215.00k0.0012% 2.5m
Elizabeth Nelson
Independent Non-Executive Director8.08yrs€200.00k0.0016% 3.4m
Sari Baldauf
Independent Chair of the Board0.083yr€197.00k0.0020% 4.5m
Kari Stadigh
Independent Vice Chair of the Board0.083yr€172.00k0.0051% 11.2m
Jeanette Horan
Independent Non-Executive Director3.08yrs€197.00k0.00074% 1.6m
Søren Skou
Director1.08yrs€160.00k0.00025% 546.2k
Bruce Brown
Independent Non-Executive Director8.08yrs€217.00k0.0026% 5.6m
Clara M. Smits-Nusteling
Independent Non-Executive Director4yrs€210.00k0.0010% 2.3m
Thomas Dannenfeldt
Director0.083yrno datano data

3.1yrs

Average Tenure

61yo

Average Age

Experienced Board: NOKIA SEK's board of directors are considered experienced (3.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Nokia Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Nokia Corporation
  • Ticker: NOKIA SEK
  • Exchange: OM
  • Founded: 1865
  • Industry: Communications Equipment
  • Sector: Tech
  • Market Cap: €20.907b
  • Listing Market Cap: €218.466b
  • Shares outstanding: 5.61b
  • Website: https://www.nokia.com

Number of Employees


Location

  • Nokia Corporation
  • Karakaari 7
  • Espoo
  • Uusimaa
  • 2610
  • Finland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NOKB.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1992
NOKIAHLSE (OMX Nordic Exchange Helsinki)YesCommon StockFIEURJan 1992
NOA3DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992
NOKIAENXTPA (Euronext Paris)YesCommon StockFREURJan 1992
NOKIASWX (SIX Swiss Exchange)YesCommon StockCHCHFJan 1992
0HAFLSE (London Stock Exchange)YesCommon StockGBEURJan 1992
NOKIABIT (Borsa Italiana)YesCommon StockITEURJan 1992
NOKIA SEKOM (OMX Nordic Exchange Stockholm)YesCommon StockSESEKJan 1992
NOA3XTRA (XETRA Trading Platform)YesCommon StockDEEURJan 1992
NOKIABUSE (Budapest Stock Exchange)YesCommon StockHUHUFJan 1992
NOKIASEP (The Stock Exchange Prague Co. Ltd.)YesCommon StockCZCZKJan 1992
NOKIWBAG (Wiener Boerse AG)YesCommon StockATEURJan 1992
NOKNYSE (New York Stock Exchange)ADR EACH REPR 1 ORD NPVUSUSDJul 1994
NOK NBMV (Bolsa Mexicana de Valores)ADR EACH REPR 1 ORD NPVMXMXNJul 1994
NOAABST (Boerse-Stuttgart)ADR EACH REPR 1 ORD NPVDEEURJul 1994
NOAAXTRA (XETRA Trading Platform)ADR EACH REPR 1 ORD NPVDEEURJul 1994
0K8DLSE (London Stock Exchange)ADR EACH REPR 1 ORD NPVGBUSDJul 1994
NOKABASE (Buenos Aires Stock Exchange)CEDEAR EACH REP 1/5 ADRARARSJan 2001

Biography

Nokia Corporation engages in the network and technology businesses worldwide. The company operates in four segments: Ultra Broadband Networks, Global Services, IP Networks and Applications, and Nokia Technologies. It focuses on mobile radio including macro radio, small cells, and cloud native radio solutions for communications service providers and enterprises; and provides network planning and optimization, network implementation, and systems integration, as well as company-wide managed services. The company also offers fixed networking solutions, such as copper and fiber access products, solutions, and services. In addition, it provides network infrastructure and professional services for mobile networks; and managed services for the fixed, mobile, Internet protocol (IP), and optical domains. Further, the company offers network planning, implementation, operation, and maintenance services. Additionally, it provides IP/optical networking solutions, including IP routing and optical transport systems, software, and services; software solutions, such as customer experience management, network operations and management, communications and collaborations, policy and charging, as well as Cloud, IoT, security, and analytics platforms; and submarine networks and radio frequency systems. The company has a strategic collaboration with Microsoft. Nokia Corporation was founded in 1865 and is headquartered in Espoo, Finland. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/02 22:02
End of Day Share Price2020/06/02 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.