Significant improvements needed for the rest of the year
Nokia’s network businesses declined more than expected in Q1, but thanks to one-off patent income, profit and cash flow were at a good level in absolute terms. Nokia continues to expect a significant recovery in the network businesses towards the end of the year, which is already reflected in a strengthening order book for Network Infrastructure. We see even more uncertainty around the development of Mobile Networks, and the unit's weak earnings outlook for the coming years will, in our view, slow the correction of Nokia's low valuation.
Nokia
Nokia is a global telecommunications company. The company offers solutions in IP, broadband, digital health, and cloud-based systems. The customers are found in a broad base of markets and consist of large corporate customers, authorities, and private consumers. The business is established on a global level in all regions. Nokia was founded in 1865 and the head office is located in Esbo, Finland.
Read more on company pageKey Estimate Figures18.04
2023 | 24e | 25e | |
---|---|---|---|
Revenue | 22,279.0 | 21,388.8 | 21,574.2 |
growth-% | -10.57 % | -4.00 % | 0.87 % |
EBIT (adj.) | 2,375.0 | 2,432.0 | 2,347.4 |
EBIT-% (adj.) | 10.66 % | 11.37 % | 10.88 % |
EPS (adj.) | 0.29 | 0.34 | 0.32 |
Dividend | 0.13 | 0.14 | 0.16 |
Dividend % | 4.26 % | 3.47 % | 3.97 % |
P/E (adj.) | 10.58 | 11.73 | 12.58 |
EV/EBITDA | 5.27 | 7.39 | 7.25 |