Nokia Corporation (NOK): Do the Analysts Know Something You Don’t?

Nokia Corporation (NOK) will probably climb 16.61 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $9-month high price target. This represents a whopping 48.03 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $6.49, which represents a return potential of 6.74 percent when compared to the closing price of the stock of $6.08 on Friday, January 11. The lowest price target for the stock is $4.56 — slightly more than -25 percent from NOK’s current share price.

The stock is currently hovering around the first support level of $6.04. Below this, the next support is placed in the zone of $6. Till the time, the NOK stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 58.11 on daily chart, which may remain a cause for concern. If the price breaks below $6 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $6.11 mark may result into a pull-back move towards $6.13 level.

On 11th of January, Nokia Corporation (NYSE:NOK) shares ended lower after a volatile session. The shares dropped -0.06 points or -0.98 percent at $6.08 with a light trade volume of 14.823 million shares. After opening the session at $6.06, the shares went as high as $6.095 and as low as $6.03, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $34.4 billion and now has 5.66 billion shares outstanding. Nokia Corporation (NOK) stock has gained 4.11 percent of market value in 21 trading days.

NOK stock has a trailing 3-year beta of 0.33, offering the possibility of a lower rate of return, but also posing less risk. The portion of a company’s profit allocated to each outstanding share of common stock was -$0.23 a share in the trailing twelve months. The stock’s value has surged 4.47 percent year to date (YTD) against a rise of 25.36 percent in 12 month’s time. The company’s shares still trade -5.15 percent away from its 1-year high of $6.41 and 28 percent up from 52-week low of $4.75. The average consensus rating on the company is 2.3, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a sell.

Shares of Nokia Corporation (NOK) are trading at a P/E ratio of 0 times earnings reported for the past 12 months. The industry NOK operates in has an average P/E of 17.39. Its P/E ratio went as low as 9.93X and as high as 83.21 over the 5-year span. Further, it is sporting a 1.34 on the Price-to-Sales ratio. Compare this with the industry average P/S of 1.6. 37 percent is the gross profit margin for Nokia Corporation and operating margin sits at -0.9 percent. Along with this, the net profit margin is -4.1 percent.

Let’s take a look at some insider activity at Nokia Corporation (NYSE:NOK) and see the pattern.