Nokia (NYSE:NOK) Releases Quarterly Earnings Results, Beats Estimates By $0.01 EPS

Nokia (NYSE:NOK) issued its quarterly earnings data on Thursday. The technology company reported $0.08 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.07 by $0.01, Zacks reports. The business had revenue of $5.50 billion during the quarter, compared to analyst estimates of $5.57 billion. Nokia had a return on equity of 9.92% and a net margin of 3.49%.Nokia’s quarterly revenue was up 8.4% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.04 EPS.

Here are the key takeaways from Nokia’s conference call:

• Q2 results improved meaningfully, with net sales up 9%, gross margin rising to 46%, and operating margin increasing to 9%. Management said Nokia remains on track to finish somewhat above the midpoint of its full-year operating profit guidance.
• AI & Cloud was the standout growth engine, as sales more than doubled year over year to EUR 446 million and order intake reached EUR 2.8 billion. Management said demand is being driven by data center interconnect and scale-out fabrics, though they cautioned that orders can be lumpy.
• Network Infrastructure performed strongly, with sales up 12% and Optical Networks up 20%, helped by AI-related demand and Infinera integration benefits. Gross margin in the segment improved to 42.7%, and IP Networks also showed solid growth.
• Nokia is pushing major AI-RAN and optical capacity investments, including the launch of its first commercial AI-RAN platform and expansions of indium phosphide manufacturing in the U.S. The company expects AI-RAN pilots by the end of 2026 and commercialization in 2027, while new fab capacity is intended to ease supply constraints.
• Cash flow and restructuring remain near-term drags, with free cash flow negative EUR 732 million in Q2 and full-year free cash flow conversion now expected toward the low end of the 55%-75% range. Nokia also said restructuring charges in 2026 will be about EUR 800 million, even as it works toward EUR 1.2 billion in cumulative cost savings from its broader restructuring program.

Nokia Trading Down 6.7%

NOK stock opened at $9.07 on Friday. Nokia has a one year low of $4.00 and a one year high of $17.45. The stock has a market cap of $52.11 billion, a price-to-earnings ratio of 64.81, a price-to-earnings-growth ratio of 1.38 and a beta of 1.17. The company has a fifty day moving average price of $13.37 and a two-hundred day moving average price of $10.26. The company has a debt-to-equity ratio of 0.11, a current ratio of 1.57 and a quick ratio of 1.32.

Analysts Set New Price Targets

A number of brokerages recently issued reports on NOK. Nordea Equity Research raised Nokia from a “hold” rating to a “buy” rating in a research report on Friday, April 24th. Barclays restated an “underweight” rating on shares of Nokia in a research note on Wednesday, April 29th. Argus upgraded Nokia from a “hold” rating to a “buy” rating and set a $15.00 price objective for the company in a report on Monday, April 27th. Bank of America upgraded Nokia from a “neutral” rating to a “buy” rating and set a $12.40 price objective on the stock in a research note on Monday, April 13th. Finally, JPMorgan Chase & Co. increased their price objective on Nokia from $14.00 to $21.00 and gave the company an “overweight” rating in a report on Friday, June 12th. Thirteen analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, Nokia presently has a consensus rating of “Moderate Buy” and an average price target of $12.57.

Hedge Funds Weigh In On Nokia

Large investors have recently made changes to their positions in the company. Wexford Capital LP acquired a new stake in shares of Nokia during the third quarter worth $29,000. Caitong International Asset Management Co. Ltd bought a new stake in shares of Nokia in the third quarter valued at approximately $34,000. CIBC Private Wealth Group LLC raised its holdings in Nokia by 86.1% in the 4th quarter. CIBC Private Wealth Group LLC now owns 5,994 shares of the technology company’s stock valued at $39,000 after acquiring an additional 2,773 shares in the last quarter. Barclays PLC bought a new stake in shares of Nokia during the 4th quarter valued at $40,000. Finally, EP Wealth Advisors LLC acquired a new stake in shares of Nokia during the 2nd quarter worth $54,000. Institutional investors own 5.28% of the company’s stock.

Nokia News Summary

Here are the key news stories impacting Nokia this week:

• Positive Sentiment: Nokia’s Q2 results beat profit estimates, with comparable operating profit rising on strong demand from AI and cloud customers, while network infrastructure sales and margins improved. Reuters: Nokia Q2 profit beat on AI demand
• Positive Sentiment: AI-related demand was a standout, with Nokia saying AI/cloud order intake reached about €2.8 billion and AI/cloud sales more than doubled year over year, reinforcing the long-term growth case. Yahoo Finance: Nokia says AI, cloud boosted sales in second quarter
• Positive Sentiment: Nokia raised its full-year profit outlook and gave a Q3 revenue range that was roughly in line with expectations, which may support confidence in management’s view that AI infrastructure demand can offset legacy telecom weakness. Invezz: Nokia raises profit outlook as AI and cloud demand boost results
• Neutral Sentiment: Management and follow-up coverage continue to frame Nokia as a longer-term AI networking and cloud infrastructure beneficiary, but those themes are more about the investment thesis than an immediate catalyst. Yahoo Finance: How Nokia is Positioning Itself for Long-Term Growth in AI Networking
• Negative Sentiment: The stock has fallen to its lowest close since April, suggesting traders are selling into strength or reacting to concerns that the earnings beat does not fully erase broader slowdown worries. BeInCrypto: Nokia Crushed Earnings — and Dropped to Its Lowest Close Since April
• Negative Sentiment: Some articles highlight that telecom spending remains uneven and restructuring charges or supply-chain constraints are still weighing on results, which could limit how quickly AI growth translates into sustained earnings momentum. Yahoo Finance: Nokia Oyj (NOK) Q2 2026 Earnings Call Highlights

About Nokia

Nokia Corporation, headquartered in Espoo, Finland, is a global telecommunications and technology company with roots dating back to 1865. Over its long history the company moved from forestry and cable operations into electronics and telecommunications, becoming widely known in the 1990s and 2000s for its mobile phones. In recent years Nokia refocused its business toward network infrastructure, software and technology licensing, and research and development, following the divestiture of its handset manufacturing business and the acquisition of Alcatel‑Lucent in 2016, which brought Bell Labs into its portfolio.

Today Nokia’s core activities center on designing, building and supporting communications networks and related software.