NOKIA OYJ (1NOKIA.MI) Stock Fundamental Analysis
BIT:1NOKIA - Euronext Milan - FI0009000681 - Common Stock - Currency: EUR
We assign a fundamental rating of 5 out of 10 to 1NOKIA. 1NOKIA was compared to 26 industry peers in the Communications Equipment industry. Both the profitability and the financial health of 1NOKIA get a neutral evaluation. Nothing too spectacular is happening here. 1NOKIA has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
1NOKIA had positive earnings in the past year.
In the past year 1NOKIA had a positive cash flow from operations.
1NOKIA had positive earnings in 4 of the past 5 years.
1NOKIA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
1NOKIA has a better Return On Assets (2.83%) than 61.54% of its industry peers.
With a decent Return On Equity value of 5.17%, 1NOKIA is doing good in the industry, outperforming 61.54% of the companies in the same industry.
1NOKIA has a Return On Invested Capital (2.89%) which is in line with its industry peers.
1NOKIA had an Average Return On Invested Capital over the past 3 years of 4.03%. This is significantly below the industry average of 9.08%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.83% | ||
| ROE | 5.17% | ||
| ROIC | 2.89% |
ROA(3y)4.94%
ROA(5y)2.38%
ROE(3y)9.78%
ROE(5y)3.69%
ROIC(3y)4.03%
ROIC(5y)4.01%
1.3 Margins
1NOKIA has a Profit Margin of 5.30%. This is in the better half of the industry: 1NOKIA outperforms 61.54% of its industry peers.
In the last couple of years the Profit Margin of 1NOKIA has grown nicely.
1NOKIA has a better Operating Margin (6.21%) than 61.54% of its industry peers.
In the last couple of years the Operating Margin of 1NOKIA has grown nicely.
1NOKIA has a Gross Margin (44.23%) which is comparable to the rest of the industry.
1NOKIA's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.21% | ||
| PM (TTM) | 5.3% | ||
| GM | 44.23% |
OM growth 3Y-3.28%
OM growth 5Y14.2%
PM growth 3Y-3.13%
PM growth 5Y194.44%
GM growth 3Y5.04%
GM growth 5Y5.25%
2. Health
2.1 Basic Checks
1NOKIA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for 1NOKIA has been reduced compared to 1 year ago.
The number of shares outstanding for 1NOKIA has been reduced compared to 5 years ago.
Compared to 1 year ago, 1NOKIA has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.14 indicates that 1NOKIA is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.14, 1NOKIA is in the better half of the industry, outperforming 69.23% of the companies in the same industry.
The Debt to FCF ratio of 1NOKIA is 2.77, which is a good value as it means it would take 1NOKIA, 2.77 years of fcf income to pay off all of its debts.
1NOKIA's Debt to FCF ratio of 2.77 is in line compared to the rest of the industry. 1NOKIA outperforms 57.69% of its industry peers.
1NOKIA has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
1NOKIA's Debt to Equity ratio of 0.16 is fine compared to the rest of the industry. 1NOKIA outperforms 73.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 2.77 | ||
| Altman-Z | 2.14 |
ROIC/WACC0.43
WACC6.67%
2.3 Liquidity
1NOKIA has a Current Ratio of 1.46. This is a normal value and indicates that 1NOKIA is financially healthy and should not expect problems in meeting its short term obligations.
1NOKIA has a Current ratio of 1.46. This is in the lower half of the industry: 1NOKIA underperforms 61.54% of its industry peers.
1NOKIA has a Quick Ratio of 1.21. This is a normal value and indicates that 1NOKIA is financially healthy and should not expect problems in meeting its short term obligations.
1NOKIA has a Quick ratio (1.21) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.46 | ||
| Quick Ratio | 1.21 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.33% over the past year.
1NOKIA shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.14% yearly.
1NOKIA shows a decrease in Revenue. In the last year, the revenue decreased by -2.91%.
The Revenue has been decreasing by -3.79% on average over the past years.
EPS 1Y (TTM)3.33%
EPS 3Y1.77%
EPS 5Y11.14%
EPS Q2Q%-33.33%
Revenue 1Y (TTM)-2.91%
Revenue growth 3Y-4.69%
Revenue growth 5Y-3.79%
Sales Q2Q%1.79%
3.2 Future
The Earnings Per Share is expected to grow by 0.13% on average over the next years.
The Revenue is expected to grow by 2.41% on average over the next years.
EPS Next Y-17.02%
EPS Next 2Y-2.97%
EPS Next 3Y0.5%
EPS Next 5Y0.13%
Revenue Next Year4.19%
Revenue Next 2Y3.77%
Revenue Next 3Y3.24%
Revenue Next 5Y2.41%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.58, the valuation of 1NOKIA can be described as very reasonable.
Based on the Price/Earnings ratio, 1NOKIA is valued cheaper than 80.77% of the companies in the same industry.
When comparing the Price/Earnings ratio of 1NOKIA to the average of the S&P500 Index (27.24), we can say 1NOKIA is valued rather cheaply.
1NOKIA is valuated reasonably with a Price/Forward Earnings ratio of 9.78.
1NOKIA's Price/Forward Earnings ratio is rather cheap when compared to the industry. 1NOKIA is cheaper than 88.46% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.42. 1NOKIA is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.58 | ||
| Fwd PE | 9.78 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1NOKIA indicates a somewhat cheap valuation: 1NOKIA is cheaper than 73.08% of the companies listed in the same industry.
1NOKIA's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. 1NOKIA is cheaper than 61.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.04 | ||
| EV/EBITDA | 7.2 |
4.3 Compensation for Growth
1NOKIA has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.04
EPS Next 2Y-2.97%
EPS Next 3Y0.5%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.90%, 1NOKIA has a reasonable but not impressive dividend return.
The stock price of 1NOKIA dropped by -23.67% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
1NOKIA's Dividend Yield is rather good when compared to the industry average which is at 6.25. 1NOKIA pays more dividend than 84.62% of the companies in the same industry.
1NOKIA's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.9% |
5.2 History
The dividend of 1NOKIA has a limited annual growth rate of 5.44%.
Dividend Growth(5Y)5.44%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1NOKIA pays out 69.51% of its income as dividend. This is not a sustainable payout ratio.
1NOKIA's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP69.51%
EPS Next 2Y-2.97%
EPS Next 3Y0.5%
BIT:1NOKIA (7/29/2025, 7:00:00 PM)
3.59
-0.18 (-4.72%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners34.44%
Inst Owner ChangeN/A
Ins Owners0.07%
Ins Owner ChangeN/A
Market Cap19.31B
Analysts70.81
Price Target4.93 (37.33%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.9% |
Yearly Dividend0.13
Dividend Growth(5Y)5.44%
DP69.51%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-25.98%
Min EPS beat(2)-27.18%
Max EPS beat(2)-24.77%
EPS beat(4)1
Avg EPS beat(4)-9.74%
Min EPS beat(4)-27.18%
Max EPS beat(4)30.42%
EPS beat(8)3
Avg EPS beat(8)-6.28%
EPS beat(12)5
Avg EPS beat(12)-5%
EPS beat(16)9
Avg EPS beat(16)-1.1%
Revenue beat(2)0
Avg Revenue beat(2)-5.77%
Min Revenue beat(2)-7.83%
Max Revenue beat(2)-3.71%
Revenue beat(4)1
Avg Revenue beat(4)-5.52%
Min Revenue beat(4)-11.71%
Max Revenue beat(4)1.17%
Revenue beat(8)1
Avg Revenue beat(8)-8.3%
Revenue beat(12)2
Avg Revenue beat(12)-5.98%
Revenue beat(16)3
Avg Revenue beat(16)-4.86%
PT rev (1m)-0.28%
PT rev (3m)-3.71%
EPS NQ rev (1m)-9.13%
EPS NQ rev (3m)-11.05%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)-3.28%
Revenue NQ rev (3m)1.02%
Revenue NY rev (1m)-2.15%
Revenue NY rev (3m)-1.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.58 | ||
| Fwd PE | 9.78 | ||
| P/S | 1 | ||
| P/FCF | 13.04 | ||
| P/OCF | 9.48 | ||
| P/B | 0.98 | ||
| P/tB | 1.59 | ||
| EV/EBITDA | 7.2 |
EPS(TTM)0.31
EY8.64%
EPS(NY)0.37
Fwd EY10.23%
FCF(TTM)0.28
FCFY7.67%
OCF(TTM)0.38
OCFY10.54%
SpS3.58
BVpS3.67
TBVpS2.26
PEG (NY)N/A
PEG (5Y)1.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.83% | ||
| ROE | 5.17% | ||
| ROCE | 4.56% | ||
| ROIC | 2.89% | ||
| ROICexc | 3.76% | ||
| ROICexgc | 6.03% | ||
| OM | 6.21% | ||
| PM (TTM) | 5.3% | ||
| GM | 44.23% | ||
| FCFM | 7.7% |
ROA(3y)4.94%
ROA(5y)2.38%
ROE(3y)9.78%
ROE(5y)3.69%
ROIC(3y)4.03%
ROIC(5y)4.01%
ROICexc(3y)5.79%
ROICexc(5y)5.89%
ROICexgc(3y)8.68%
ROICexgc(5y)9.27%
ROCE(3y)6.35%
ROCE(5y)6.32%
ROICexcg growth 3Y-10.42%
ROICexcg growth 5Y11%
ROICexc growth 3Y-8.64%
ROICexc growth 5Y12.18%
OM growth 3Y-3.28%
OM growth 5Y14.2%
PM growth 3Y-3.13%
PM growth 5Y194.44%
GM growth 3Y5.04%
GM growth 5Y5.25%
F-Score8
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 2.77 | ||
| Debt/EBITDA | 1.41 | ||
| Cap/Depr | 53.68% | ||
| Cap/Sales | 2.88% | ||
| Interest Coverage | 4.88 | ||
| Cash Conversion | 91.3% | ||
| Profit Quality | 145.2% | ||
| Current Ratio | 1.46 | ||
| Quick Ratio | 1.21 | ||
| Altman-Z | 2.14 |
F-Score8
WACC6.67%
ROIC/WACC0.43
Cap/Depr(3y)53.08%
Cap/Depr(5y)50.54%
Cap/Sales(3y)2.6%
Cap/Sales(5y)2.5%
Profit Quality(3y)92.93%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.33%
EPS 3Y1.77%
EPS 5Y11.14%
EPS Q2Q%-33.33%
EPS Next Y-17.02%
EPS Next 2Y-2.97%
EPS Next 3Y0.5%
EPS Next 5Y0.13%
Revenue 1Y (TTM)-2.91%
Revenue growth 3Y-4.69%
Revenue growth 5Y-3.79%
Sales Q2Q%1.79%
Revenue Next Year4.19%
Revenue Next 2Y3.77%
Revenue Next 3Y3.24%
Revenue Next 5Y2.41%
EBIT growth 1Y-26.17%
EBIT growth 3Y-7.82%
EBIT growth 5Y9.88%
EBIT Next Year11.92%
EBIT Next 3Y12.52%
EBIT Next 5Y7.08%
FCF growth 1Y3797.37%
FCF growth 3Y-0.72%
FCF growth 5YN/A
OCF growth 1Y187.57%
OCF growth 3Y-1.71%
OCF growth 5Y44.92%