“RESUMING THE IMPORTANCE OF NOKIA'S 5G DEAL WITH T-MOBILE: - Nordea Bank estimates the value of the 5-year deal is $10B for both Nokia and Ericsson (i.e. 10B + 10B) - A hugely important endorsement of Nokia's 5G capabilities by the most successful 5G operator in the US - Will help get Nokia's Mobile Networks clearly profitable in 2022 and thus raise the SP considerably . Samsung "lost" this deal as it was a supplier to Sprint, which merged with T-Mobile last year”,
You should have added:
Pekka Lundmark, President and CEO of Nokia, commented: “Nokia has a long-standing and collaborative partnership with T-Mobile and our industry-leading 5G RAN solutions will underpin the new T-Mobile network. The expanded and upgraded 5G network that leverages all spectrum bands will deliver exciting new solutions to even more people and businesses, and our technology will play a fundamental role in delivering these compelling connectivity experiences for work and play.” Note: Nokia comments that the outlook provided in the Nokia Financial Report for Q3 and January-September 2020 issued on October 29, 2020 included the expected impact of this deal with T-Mobile announced today, and thus is not affected by today's announcement.
Good posts have fair and balanced information and such information can help investors make investment decisions "Ahead of The Crowd". Ticker guy
A
GOOGLE CLOUD, NOKIA PARTNER TO ACCELERATE CLOUD-NATIVE 5G READINESS FOR COMMUNICATION SERVICE PROVIDERS. Google Cloud and Nokia today announced a global, strategic partnership to bring new solutions for communications service providers (CSPs) that modernize their network infrastructures, build on a cloud-native 5G Core, and develop the network edge as a business services platform for enterprises. As part of this collaboration, Nokia is supplying its voice core, cloud packet core, network exposure function, data management, signaling, and 5G core. This includes Nokia’s IMPACT IoT Connected Device Platform, which enables automated, zero-touch activation and allows for remote management of IoT devices, as well as Nokia’s Converged Charging solution provides real-time rating and charging capabilities that enable CSPs to capture new revenue opportunities from the 5G economy.
Google Cloud’s Anthos for Telecom will serve as the platform for deploying applications, enabling CSPs to build an ecosystem of services that are deployable anywhere, from the edge of the network, to public clouds, private clouds and carrier networks. By delivering cloud-native applications at the edge, businesses can benefit from lower latency and reduce the need for costly, on-site infrastructure, enabling them to transform their businesses in industries such as smart retail, connected manufacturing and digital consumer experiences. https://www.globenewswire.com/news-release/2021/01/14/2158600/0/en/Google-Cloud-Nokia-partner-to-accelerate-cloud-native-5G-readiness-for-communication-service-providers.html
A
RESUMING THE IMPORTANCE OF NOKIA'S 5G DEAL WITH T-MOBILE:
- Nordea Bank estimates the value of the 5-year deal is $10B for both Nokia and Ericsson (i.e. 10B + 10B) - A hugely important endorsement of Nokia's 5G capabilities by the most successful 5G operator in the US - Will help get Nokia's Mobile Networks clearly profitable in 2022 and thus raise the SP considerably . Samsung "lost" this deal as it was a supplier to Sprint, which merged with T-Mobile last year
Nokia is by far the problem child in my portfolio. :-/
But I still believe there is hope
These are the reasons I have decided to continue to feel the pain for the next year. (At least)
We now have a better situation with: - New management (That at least do not sugarcoat everything) - New business model that seems better than the previous with end to end - 5g is still going to be a thing i the future - Seems likely that Huawei will be kept out of larges portion of the world - Nokia still seems to win 5g and 4g deals - 3 out och 4 business groups in Nokia will turn profits next year - The migration to new processors will be completed by 2022. - Nokia still have a lot of patents that generate income
So I have decided to stay. But I do not expect the stock price to rise much in the near future. I think this quote from seekingalpha about sums it up.
"As for valuations, taking into consideration that these two companies generate roughly the same quarterly sales figures, Nokia's 0.8x EV/Sales is nearly half that of Ericsson. Hence, the Finnish mobile play deserves a better valuation but given its lower profitability, a price target of $4.5 can be envisaged."
With my bad luck the stock would rally the moment I sell :P
Geopolitical risks are back on the agenda following change in U.S. presidency.
Geopolitical risks are back on the agenda following change in U.S. presidency.
seekingalpha.com
g
14 January 2021 Espoo, Finland and Sunnyvale, California ? Google Cloud and Nokia today announced a global, strategic partnership to bring new solutions for communications service providers (CSPs) that modernize their network infrastructures, build on a cloud-native 5G Core, and develop the network edge as a business services platform for enterprises. Under this partnership, Google Cloud and Nokia will work closely to validate, optimize and evolve cloud-native network functions, and the two companies will also co-innovate new solutions that will help CSPs deliver 5G connectivity and services at scale. Today, global CSPs can unlock new monetization opportunities by driving 5G connectivity and advanced services to enterprise customers at the network edge, to deliver new, digital experiences for consumers. Google Cloud and Nokia will create solutions that bring together Nokia?s 5G operations services and networking capabilities with Google Cloud?s leading technologies in AI, ML and analytics, running on Anthos as a platform for shifting workloads to the network edge, across public and private clouds. As part of this collaboration, Nokia is supplying its voice core, cloud packet core, network exposure function, data management, signaling, and 5G core. This includes Nokia?s IMPACT IoT Connected Device Platform, which enables automated, zero-touch activation and allows for remote management of IoT devices, as well as Nokia?s Converged Charging solution provides real-time rating and charging capabilities that enable CSPs to capture new revenue opportunities from the 5G economy. Google Cloud?s Anthos for Telecom will serve as the platform for deploying applications, enabling CSPs to build an ecosystem of services that are deployable anywhere, from the edge of the network, to public clouds, private clouds and carrier networks. By delivering cloud-native applications at the edge, businesses can benefit from lower latency and reduce the need for costly, on-site infrastructure, enabling them to transform their businesses in industries such as smart retail, connected manufacturing and digital consumer experiences. George #$%$ VP, Telco, Media & Entertainment Industry Solutions at Google Cloud, said: ?Communications service providers have a tremendous opportunity ahead of them to support businesses? digital transformations at the network edge through both 5G connectivity and cloud-native applications and capabilities. Doing so requires modernized infrastructure, built for a cloud-native 5G core, and we?re proud to partner with Nokia to help the telecommunications industry expand and support these customers.?
G
ABU failed completely to prove share count does not affect SP and instead proves that it does. Abu1 hour ago @GW If this kind of correlation is not enough to prove the point so be it.
A
Seems the THREE DEALS YESTERDAY of yesterday were pretty positively received by investors as Nokia is today too up despite a down market. Let's recap: 1) A $10B 5-year deal with T-Mobile (value according to estimate by Nordea Bank); 2) Significant 5G partnership with Google Cloud; 3) Technology provider and collaborator by the National Cybersecurity Center of Excellence (NCCoE) 5G Cybersecurity Project.
D
Bullish for later this yr...personally not optimistic on upcoming results....but I do like complete reset they're doing structurally going forward for future 2021-22
G
Nokia PE Ratio:27.99 for Jan. 15, 2021 HIGH due to low earnings and high share count.
R
More great news
• The National Cybersecurity Center of Excellence (NCCoE) launched the 5G Cybersecurity Project to identify 5G use case scenarios and to demonstrate how 5G architecture components can provide security capabilities • Nokia is the main 5G solutions provider to collaborate with National Institute for Standards and Technology (NIST), NCCoE
A
TOMORROW NISHANT BATRA STARTS AS CTO. The incoming executive spent 12 years at Ericsson, where he held several roles before rising to become head of product area Networks in 2016. He left the Swedish network vendor in 2018 to join automotive company Veoneer as CTO, a job he still holds. Alongside his current role, he has acted as an adviser for open RAN technology specialist Mavenir for the last two years. This experience is likely to prove vital given Lundmark’s identification of virtual and open networking technology as central to the turnaround plan for Nokia’s network division.
In a statement, Nokia noted Batra had “extensive experience with complex systems based on cutting-edge silicon technology and both embedded as well as cloud-based software”. Lundmark added: “He is a proven leader bringing with him a wealth of experience from technology to telecoms, as well as deep knowledge of our core CSP customers, the enterprise sector, and the emerging trends in the global market.” Batra, who will have Nokia Bell Labs included in his remit, will initially be based in Finland before moving to the US. https://www.mobileworldlive.com/featured-content/home-banner/nokia-grabs-ex-ericsson-networks-head-to-replace-cto
Nokia appointed former Ericsson executive Nishant Batra as its new chief strategy and technology officer, ...
Nokia appointed former Ericsson executive Nishant Batra as its new chief strategy and technology officer, ...
www.mobileworldlive.com
J
Swedish court dismisses Huawei appeal over 5G network exclusion
Yes, I have been disappointed for the last ten years. However, I believed this stock to be potentially $20+ since I owned it. Maybe not this year, but next year it may be even more than $20+. Perhaps I still won't sell depending on the size of the reinstated dividend!
J
Nokia comments that the outlook provided in the Nokia Financial Report for Q3 and January-September 2020 issued on October 29, 2020 included the expected impact of this deal with T-Mobile announced today, and thus is not affected by today's announcement.
M
Nokia India says won over 108 telecom deals in 2020; network rollout intensity increasing
Finnish telecom gear maker Nokia has secured over 100 deals in India this calendar year aided by new telecom deals from Indian telecom operators and internet service providers that kept doing network expansion and modernisation throughout the year, a top executive told ET.
M
My long options are vastly outperforming the share price increase the last 2 days. Long term confidence in Nokia is catching on in a big way with high volumes!
Sweet!
A
TELECOM TV'S ANALYSIS: NOKIA AND GOOGLE CLOUD TEAM UP ON OPEN, CLOUD NATIVE TELCO EDGE R&D.
A
WHY REMAIN POSITIVE ON NOKIA DESPITE THE DISAPPOINTMENTS IN RECENT YEARS? Some factors to consider:
- New board chairwoman, CEO and CFO all committed to wide-reaching reforms, frank communication and (unklike has happened in the past) creating shareholder value when the reforms have had the time to produce their effects; - New strategy aiming for number 1 or 2 position in each business while requiring profitability everywhere in the organization; - New simpler organization (matrix ditched) meaning faster decision-making (e.g. Tommi Uitto in Mobile Networks instead of 5-6 authorizations previously needed to close a deal), more costs and employees placed under business groups (BGs) which as mentioned above need to reach their profitability targets; - SoC proportion rising relentlessly in 5G Reefshark chipsets lowering Nokia's costs constantly until some time in 2022 when the proportion reaches 100%; - R&D efforts underway to close the 5G feature gap by the end of 2021; - Nokia is overall profitable and has a large scope of businesses with three profitable BGs and one break-even BG: all of them have scope to improve profitability; - Nokia arguably trades at below the sum of its parts, meaning considerable upward potential whenever value is in one way or other released.
CONCLUSION: I believe Nokia Nokia's current SP is undervalued seen to both the sum of its parts and especially seen to its potential. I also believe Nokia has correctly identified the previous problems and is taking the right action so as to become a shareholder-friendly, value-creating company. Just to mention my main argument: IF NOKIA'S MOBILE NETWORKS REACH THE PROFIT MARGIN OF ERICSSON (15%) NOKIA'S SP WOULD RISE BY ABOUT $4.80 when applying a P/E of 15. This improvement would come even without any increase in sales or any additional contribution from the other business groups. I foresee improvements across the board, but just this one margin improvement would more than double Nokia's SP.
So while Nokia's recent past is A DISASTER, the actions undertaken make me confident Nokia's profitability and competitve position are about to improve considerably quarter by quarter but especially 2022 onwards.
D
Any other stock with this much Positive Ink would be through the roof. Sheesh. Long time Holder. 8k+ shares at 3.99 Avg.
M
This company keeps on announcing new deals but the stock hardly responds.
In your post:
“RESUMING THE IMPORTANCE OF NOKIA'S 5G DEAL WITH T-MOBILE:
- Nordea Bank estimates the value of the 5-year deal is $10B for both Nokia and Ericsson (i.e. 10B + 10B)
- A hugely important endorsement of Nokia's 5G capabilities by the most successful 5G operator in the US
- Will help get Nokia's Mobile Networks clearly profitable in 2022 and thus raise the SP considerably
. Samsung "lost" this deal as it was a supplier to Sprint, which merged with T-Mobile last year”,
You should have added:
Pekka Lundmark, President and CEO of Nokia, commented: “Nokia has a long-standing and collaborative partnership with T-Mobile and our industry-leading 5G RAN solutions will underpin the new T-Mobile network. The expanded and upgraded 5G network that leverages all spectrum bands will deliver exciting new solutions to even more people and businesses, and our technology will play a fundamental role in delivering these compelling connectivity experiences for work and play.”
Note: Nokia comments that the outlook provided in the Nokia Financial Report for Q3 and January-September 2020 issued on October 29, 2020 included the expected impact of this deal with T-Mobile announced today, and thus is not affected by today's announcement.
Good posts have fair and balanced information and such information can help investors make investment decisions "Ahead of The Crowd". Ticker guy
Google Cloud’s Anthos for Telecom will serve as the platform for deploying applications, enabling CSPs to build an ecosystem of services that are deployable anywhere, from the edge of the network, to public clouds, private clouds and carrier networks. By delivering cloud-native applications at the edge, businesses can benefit from lower latency and reduce the need for costly, on-site infrastructure, enabling them to transform their businesses in industries such as smart retail, connected manufacturing and digital consumer experiences. https://www.globenewswire.com/news-release/2021/01/14/2158600/0/en/Google-Cloud-Nokia-partner-to-accelerate-cloud-native-5G-readiness-for-communication-service-providers.html
- Nordea Bank estimates the value of the 5-year deal is $10B for both Nokia and Ericsson (i.e. 10B + 10B)
- A hugely important endorsement of Nokia's 5G capabilities by the most successful 5G operator in the US
- Will help get Nokia's Mobile Networks clearly profitable in 2022 and thus raise the SP considerably
. Samsung "lost" this deal as it was a supplier to Sprint, which merged with T-Mobile last year
Link to Nokia's press release: https://www.nokia.com/about-us/news/releases/2021/01/14/nokia-supports-t-mobile-5g-evolution-with-five-year-expansion-deal/
But I still believe there is hope
These are the reasons I have decided to continue to feel the pain for the next year. (At least)
We now have a better situation with:
- New management (That at least do not sugarcoat everything)
- New business model that seems better than the previous with end to end
- 5g is still going to be a thing i the future
- Seems likely that Huawei will be kept out of larges portion of the world
- Nokia still seems to win 5g and 4g deals
- 3 out och 4 business groups in Nokia will turn profits next year
- The migration to new processors will be completed by 2022.
- Nokia still have a lot of patents that generate income
So I have decided to stay. But I do not expect the stock price to rise much in the near future. I think this quote from seekingalpha about sums it up.
"As for valuations, taking into consideration that these two companies generate roughly the same quarterly sales figures, Nokia's 0.8x EV/Sales is nearly half that of Ericsson. Hence, the Finnish mobile play deserves a better valuation but given its lower profitability, a price target of $4.5 can be envisaged."
With my bad luck the stock would rally the moment I sell :P
https://seekingalpha.com/article/4398942-ericsson-and-nokia-assessing-geopolitical-risks
Abu1 hour ago @GW If this kind of correlation is not enough to prove the point so be it.
• The National Cybersecurity Center of Excellence (NCCoE) launched the 5G Cybersecurity Project to identify 5G use case scenarios and to demonstrate how 5G architecture components can provide security capabilities
• Nokia is the main 5G solutions provider to collaborate with National Institute for Standards and Technology (NIST), NCCoE
In a statement, Nokia noted Batra had “extensive experience with complex systems based on cutting-edge silicon technology and both embedded as well as cloud-based software”. Lundmark added: “He is a proven leader bringing with him a wealth of experience from technology to telecoms, as well as deep knowledge of our core CSP customers, the enterprise sector, and the emerging trends in the global market.” Batra, who will have Nokia Bell Labs included in his remit, will initially be based in Finland before moving to the US. https://www.mobileworldlive.com/featured-content/home-banner/nokia-grabs-ex-ericsson-networks-head-to-replace-cto
https://finance.yahoo.com/news/swedish-court-dismisses-huawei-appeal-083236909.html
Finnish telecom gear maker Nokia has secured over 100 deals in India this calendar year aided by new telecom deals from Indian telecom operators and internet service providers that kept doing network expansion and modernisation throughout the year, a top executive told ET.
Sweet!
- New board chairwoman, CEO and CFO all committed to wide-reaching reforms, frank communication and (unklike has happened in the past) creating shareholder value when the reforms have had the time to produce their effects;
- New strategy aiming for number 1 or 2 position in each business while requiring profitability everywhere in the organization;
- New simpler organization (matrix ditched) meaning faster decision-making (e.g. Tommi Uitto in Mobile Networks instead of 5-6 authorizations previously needed to close a deal), more costs and employees placed under business groups (BGs) which as mentioned above need to reach their profitability targets;
- SoC proportion rising relentlessly in 5G Reefshark chipsets lowering Nokia's costs constantly until some time in 2022 when the proportion reaches 100%;
- R&D efforts underway to close the 5G feature gap by the end of 2021;
- Nokia is overall profitable and has a large scope of businesses with three profitable BGs and one break-even BG: all of them have scope to improve profitability;
- Nokia arguably trades at below the sum of its parts, meaning considerable upward potential whenever value is in one way or other released.
CONCLUSION: I believe Nokia Nokia's current SP is undervalued seen to both the sum of its parts and especially seen to its potential. I also believe Nokia has correctly identified the previous problems and is taking the right action so as to become a shareholder-friendly, value-creating company. Just to mention my main argument: IF NOKIA'S MOBILE NETWORKS REACH THE PROFIT MARGIN OF ERICSSON (15%) NOKIA'S SP WOULD RISE BY ABOUT $4.80 when applying a P/E of 15. This improvement would come even without any increase in sales or any additional contribution from the other business groups. I foresee improvements across the board, but just this one margin improvement would more than double Nokia's SP.
So while Nokia's recent past is A DISASTER, the actions undertaken make me confident Nokia's profitability and competitve position are about to improve considerably quarter by quarter but especially 2022 onwards.