CK Capital
Defense/Space/Tech/Photonics Investor, Co-Owner of CV Research
Nokia keeps announcing bullish partnerships and deals every week or two, yet the stock has barely moved. The latest expands its work with Microsoft to bring agentic AI into telecom network operations, plugging Nokia Data Suite into Microsoft Fabric so carriers can automate how network data is collected and acted on. The shares rose only 3% on the news. x.com
Nokia's AI transformation is now showing in its results, with demand outrunning supply. AI and Cloud sales grew 105% on €2.8 billion of quarterly orders, half converting to revenue within a year, and IP Networks accelerated to 16% growth from 3% while optical held at 20%. The CEO said customers are placing longer-term orders because supply is the constraint, and Nokia is buying NXP's Arizona fab for US optical output. Guidance tracks above the midpoint, and comparable operating profit grew 18%. x.com
Nokia's agentic-AI work with Nvidia adds another bullish development to its network-automation case. Nokia says their models and network intelligence help operators act on insights while keeping control of sensitive data. L&T Technology Services also announced engineering and R&D work with Nokia in India; after strong Q3 results, the shares still look ridiculously priced. x.com x.com
Nokia is turning into an AI network powerhouse, and its fundamentals and technicals are aligning for a major move. Its $1 billion Nvidia partnership on AI-RAN and 6G is entering live commercial trials with operators this month, a Microsoft expansion links Nokia Data Suite with Microsoft Fabric, and it is converting a €2.8 billion AI order book while winning AI-native 5G deals with Taiwan Mobile and Chunghwa Telecom. Price has reclaimed its 50 and 200 EMAs; a move above 12 could reach 13+. x.com
Nokia's expected 2028 earnings do not make the stock particularly attractive at today's multiple. Even assuming EUR3.5bn of operating profit and a 17x multiple, the implied value is about $12.40, leaving the thesis dependent on multiple expansion. Datacenter and optical progress is good, but more growth in satellite communications and subsea would strengthen the case. x.com x.com x.com
Nokia's AI and cloud orders are set to turn into revenue, with about half of Q2's EUR 2.8B intake expected to convert over the next 12 months. Its San Jose fab ramps in Q4, Pennsylvania test and packaging capacity expands 10x from Q3, and an NXP Chandler fab lease for indium phosphide chips starts in early 2027, all for demand expected in 2027-28. Nokia targets EUR 2.7-3.2B of comparable operating profit by 2028, up from EUR 2.1-2.6B guided for 2026. x.com
Nokia's re-rating from cyclical hardware maker to high-margin software and API provider is gaining proof. Its Network as Code platform signed BeeHealthy, its first healthcare customer, replacing SMS codes with network-side verification and anti-fraud APIs that bring recurring revenue. Re-entry to the Euro Stoxx 50 on September 21, replacing Volkswagen, forces passive buying. AI network automation and a Riyadh R&D center add demand; ample cash and low leverage support dividends and buybacks. … Show more
Nokia does not deserve the roughly 50x multiples of optical pure plays like Ciena and Coherent, because it still carries large, shrinking legacy businesses in wireless, PON and routing. This rebuts Citron Research's case that comparisons with those peers make Nokia a $20 stock. x.com
Nokia has real re-rating potential that the market still seems to be sleeping on if its AWS and Databricks partnership becomes a meaningful software and services layer. AWS and Databricks give it credible AI and data scale while Nokia brings deep telecom expertise; per @StockSavvyShay, its agentic AI network platform has already helped operators reach 90%+ automation and cut network slice rollout times by up to 85%. x.com
Nokia's Q3 revenue and earnings beat despite the selloff makes it one of the most compelling buying opportunities in the market right now. Shares are back at $7.88, nearly 55% below their $17.45 high, after Nvidia invested $1 billion at $6.01 per share in October 2025. x.com
Nokia looks overhyped for now, and a weak Q3 could bring a short-term pullback despite a bright long-term setup. Management said Q3 will be flat because high-margin software revenue was pulled into Q2, and restructuring charges of €390M still weigh. AI and cloud revenue rose 105%, with €2.8B of binding Q2 orders, but memory and optical supply limits are capping growth. Q4 needs to confirm the thesis before buying, likely toward year-end. x.com x.com x.com
Nokia's story keeps getting better, with a turnaround still in its early stages that recalls Intel's. AI-driven network demand, optical growth, inflecting fundamentals and an expanding defense angle all support it. @BanyanLaneCap adds that as AI rebuilds connectivity, Nokia has many ways to win beyond the next two to three years, with real IP and only a few global competitors. x.com
