Rankings Tech hardware & optics Nokia
Nokia
55
15070100
A view of the same findings, not a new score. How it works
A good business with a real question mark: the price, a crack, or both.
Biggest deductions
- Multiples vs own history−18
- Peers−6
- Margin−4
Strengths
- Order intake in growth segment+2
- Net cash+1
How the score is built
From 100 to 55, step by step: points off for the business, the price and the cracks, back for documented strengths, then three data adjustments.
Start
Score
Hover or select a step to see what drove it. Steps with findings open them below.
Key numbers
As of 3 Nov 2026. Analyst targets tend to be optimistic; read upside as a hint, not a forecast.
- Price
- 7.56 EUR
- Median analyst target
- 10.20 EUR
- Upside to median
- +34.9%
- Analysts
- 23
- Target range
- 4.65 – 18.00 EUR
- 52-week change
- +27%
- P/E (trailing)
- 55.2
- Forward P/E
- 18.6
- PEG
- 0.77
Findings
Every deduction and every plus, with its source. Open a step to read them.
Business
Is the company getting stronger, not just bigger? · 5 findings−15 of −30
- −4MarginOperating margin 9.0% and net margin 3.5% (TTM) vs 12.0% and 6.6% in 2024; FCF margin only 2.6%. Comparable operating margin of 9.0% in Q2.
- −4ROICROIC 6.4% (TTM), below a WACC of 8.2%; down from 16.7% in 2022 and 10.7% in 2024. ROE only 3.5%.
- −3Quality of growthRevenue fell from EUR 23.8bn (2022) to 19.9bn (2025); TTM growth of 7% is partly bought through Infinera (closed 2025). Nokia Technologies (patent licensing) fell from EUR 1.93bn to 1.50bn in 2025.
- −2Future segmentMobile Networks (RAN) is still about 40% of revenue and fell from EUR 10.7bn to 7.8bn in 2022–2025 in a RAN market that shrank from USD 45bn to 35bn. AI-RAN only reaches volume in 2028.
- −2Capital allocationInfinera bought for USD 2.3bn; the dividend is 118% of earnings and 147% of FCF, while the share count rose 2.8% in a year (including the Nvidia share issue).
Price
Today's multiples against the company's own history and its peers. · 2 findings−24 of −35
- −18Multiples vs own historyP/E 77 (TTM) and forward P/E 23 vs 9–18 forward in 2021–2025; EV/EBITDA 17.5 vs 5.3–12.2; P/S 2.5 vs 0.8–1.6; P/FCF 96 vs 11–28. The multiples are 1.5–3 times higher than in any of the last five years.
- −6PeersForward P/E 23 and EV/EBITDA 17.5 for a company with 5–7% expected growth and ROIC below its cost of capital; its closest peer Ericsson trades much lower, and only pure optical companies with far higher growth trade above.
Cracks
Cash flow, customers, debt, insiders, guidance and what sits behind the headline numbers. · 4 findings−14 of −35
- −4Execution and restructuringRestructuring costs for 2026 raised from EUR 250m to 800m (China JV and more cuts in Europe); a large job programme continues in Mobile Infrastructure.
- −4Cash flowFree cash flow −EUR 732m in Q2 and only 535m TTM (vs 2.0bn in 2024); FCF conversion is expected at the bottom of 55–75%. Net cash fell from EUR 3.6bn to 1.8bn in eighteen months.
- −3Supply chain and costsShortages of memory chips and indium phosphide wafers; new capacity only in 2029. Rising chip prices squeeze the margin, and customers are ordering earlier because of shortages (risk of pulled-forward demand).
- −3Customer behaviourManagement itself calls the AI & Cloud order book 'lumpy', and it is concentrated on a few hyperscalers; telecom operators' spending remains subdued. Q3 is expected flat vs Q2.
Plus
Only documented strengths. · 2 findings+3 of +15
- +1
- +2Order intake in growth segmentSales to AI & Cloud customers more than doubled to EUR 446m in Q2, and IP/optical order intake from AI & Cloud reached EUR 2.8bn; optical +20%, IP +16%.
Caveats
What the score does not capture, or where the data is weak.
The price has risen 123% in one year on the AI/optics story; earnings have not kept pace (P/E 77 TTM). Restructuring costs of EUR 800m in 2026 distort reported results
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