Finnish telecom equipment maker Nokia Oyj (NYSE: NOK) was one of the companies that saw its stock soar on Monday and emerged as one of the notable gainers. The Nokia shares rallied by 15.50% yesterday after a Swedish financial institution sent out a bullish report about it.
The report was sent out by SEB, which is one of the biggest financial companies in the region. The report not only maintained the buy rating in the stock but also raised the target price to $4.85 a share.
In the report, the SEB analyst stated that Nokia is undervalued when compared to its Scandinavian rival LM Ericsson’s stock. The report points out that LM Ericsson trades at a higher price to sales ratio.
SEB does not expect anything out of the ordinary in the company’s fourth-quarter earnings report, which is going to be published on February 4. Additionally, it also expects Nokia to start paying dividends again after having paused those payouts back in 2019.
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Anthony Gonzales brings 3 years of experience in helping grassroots, mid-sized organizations and large institutions strengthen their management and resource generating capacities and effectively plan for the future. He is also a mentor and professional advisor to artists working in all disciplines. He is the gold medalist from St. Marco University of Science and Technology in the Bachelors of Financial Management as well.