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Nokia (NOK) Dips More Than Broader Market: What You Should Know

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Nokia (NOK - Free Report) closed the most recent trading day at $3.48, moving -1.69% from the previous trading session. The stock trailed the S&P 500, which registered a daily loss of 0.15%. Elsewhere, the Dow saw a downswing of 0.42%, while the tech-heavy Nasdaq appreciated by 0.09%.

Coming into today, shares of the technology company had gained 13.46% in the past month. In that same time, the Computer and Technology sector gained 1.19%, while the S&P 500 gained 3.5%.

The upcoming earnings release of Nokia will be of great interest to investors. The company's earnings report is expected on January 25, 2024. The company's upcoming EPS is projected at $0.14, signifying a 12.5% drop compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.75 billion, down 11.21% from the year-ago period.

Any recent changes to analyst estimates for Nokia should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 5.09% decrease. Right now, Nokia possesses a Zacks Rank of #4 (Sell).

In terms of valuation, Nokia is presently being traded at a Forward P/E ratio of 10.36. This expresses a discount compared to the average Forward P/E of 13.13 of its industry.

The Wireless Equipment industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 91, placing it within the top 37% of over 250 industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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