NOKIA CORP-SPON ADR (NOK) Stock Fundamental Analysis
NYSE:NOK - US6549022043 - ADR
4.6 USD
+0.03 (+0.66%)
NOK gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 48 industry peers in the Communications Equipment industry. NOK has an average financial health and profitability rating. NOK is cheap, but on the other hand it scores bad on growth. These ratings could make NOK a good candidate for value investing.
1. Profitability
1.1 Basic Checks
NOK had positive earnings in the past year.
NOK had a positive operating cash flow in the past year.
NOK had positive earnings in 4 of the past 5 years.
NOK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.83%, NOK is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
NOK's Return On Equity of 5.17% is fine compared to the rest of the industry. NOK outperforms 68.75% of its industry peers.
NOK's Return On Invested Capital of 2.89% is in line compared to the rest of the industry. NOK outperforms 58.33% of its industry peers.
NOK had an Average Return On Invested Capital over the past 3 years of 4.03%. This is significantly below the industry average of 13.71%.
| 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
NOK's Profit Margin of 5.30% is fine compared to the rest of the industry. NOK outperforms 66.67% of its industry peers.
NOK's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 6.21%, NOK is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
NOK's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 44.23%, NOK is in the better half of the industry, outperforming 60.42% of the companies in the same industry.
NOK'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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NOK is destroying value.
The number of shares outstanding for NOK has been reduced compared to 1 year ago.
The number of shares outstanding for NOK has been reduced compared to 5 years ago.
Compared to 1 year ago, NOK has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.20 indicates that NOK is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of NOK (2.20) is better than 60.42% of its industry peers.
NOK has a debt to FCF ratio of 2.77. This is a good value and a sign of high solvency as NOK would need 2.77 years to pay back of all of its debts.
With a Debt to FCF ratio value of 2.77, NOK perfoms like the industry average, outperforming 56.25% of the companies in the same industry.
NOK has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.16, NOK is in line with its industry, outperforming 52.08% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 2.77 | ||
| Altman-Z | 2.2 |
ROIC/WACC0.41
WACC6.98%
2.3 Liquidity
A Current Ratio of 1.46 indicates that NOK should not have too much problems paying its short term obligations.
NOK's Current ratio of 1.46 is on the low side compared to the rest of the industry. NOK is outperformed by 70.83% of its industry peers.
A Quick Ratio of 1.21 indicates that NOK should not have too much problems paying its short term obligations.
NOK has a worse Quick ratio (1.21) than 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.46 | ||
| Quick Ratio | 1.21 |
3. Growth
3.1 Past
NOK shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.33%.
Measured over the past years, NOK shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.14% on average per year.
Looking at the last year, NOK shows a decrease in Revenue. The Revenue has decreased by -2.91% in the last year.
NOK shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -3.79% yearly.
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
NOK is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.36% yearly.
Based on estimates for the next years, NOK will show a small growth in Revenue. The Revenue will grow by 2.54% on average per year.
EPS Next Y-28.57%
EPS Next 2Y-6.17%
EPS Next 3Y-1.25%
EPS Next 5Y-0.36%
Revenue Next Year3.51%
Revenue Next 2Y3.45%
Revenue Next 3Y3%
Revenue Next 5Y2.54%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 12.78, the valuation of NOK can be described as correct.
Based on the Price/Earnings ratio, NOK is valued cheaply inside the industry as 85.42% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.03, NOK is valued rather cheaply.
NOK is valuated reasonably with a Price/Forward Earnings ratio of 11.44.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NOK indicates a rather cheap valuation: NOK is cheaper than 89.58% of the companies listed in the same industry.
NOK is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.54, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.78 | ||
| Fwd PE | 11.44 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NOK indicates a rather cheap valuation: NOK is cheaper than 85.42% of the companies listed in the same industry.
NOK's Price/Free Cash Flow ratio is rather cheap when compared to the industry. NOK is cheaper than 81.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.27 | ||
| EV/EBITDA | 7.95 |
4.3 Compensation for Growth
NOK has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.15
EPS Next 2Y-6.17%
EPS Next 3Y-1.25%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.58%, NOK has a reasonable but not impressive dividend return.
NOK's Dividend Yield is rather good when compared to the industry average which is at 3.68. NOK pays more dividend than 89.58% of the companies in the same industry.
NOK's Dividend Yield is a higher than the S&P500 average which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.58% |
5.2 History
The dividend of NOK has a limited annual growth rate of 5.44%.
NOK has paid a dividend for at least 10 years, which is a reliable track record.
NOK has decreased its dividend in the last 3 years.
Dividend Growth(5Y)5.44%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
69.51% of the earnings are spent on dividend by NOK. This is not a sustainable payout ratio.
NOK's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP69.51%
EPS Next 2Y-6.17%
EPS Next 3Y-1.25%
NYSE:NOK (9/11/2025, 2:49:09 PM)
4.6
+0.03 (+0.66%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners34.44%
Inst Owner Change0.31%
Ins Owners0.07%
Ins Owner ChangeN/A
Market Cap24.74B
Analysts70
Price Target5.37 (16.74%)
Short Float %0.9%
Short Ratio2.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.58% |
Yearly Dividend0.16
Dividend Growth(5Y)5.44%
DP69.51%
Div Incr Years2
Div Non Decr Years2
Ex-Date
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)-2.02%
PT rev (3m)-4.79%
EPS NQ rev (1m)-2.48%
EPS NQ rev (3m)-19.62%
EPS NY rev (1m)-13.92%
EPS NY rev (3m)-13.77%
Revenue NQ rev (1m)-0.12%
Revenue NQ rev (3m)0.75%
Revenue NY rev (1m)-0.65%
Revenue NY rev (3m)-2.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.78 | ||
| Fwd PE | 11.44 | ||
| P/S | 1.1 | ||
| P/FCF | 14.27 | ||
| P/OCF | 10.38 | ||
| P/B | 1.07 | ||
| P/tB | 1.74 | ||
| EV/EBITDA | 7.95 |
EPS(TTM)0.36
EY7.83%
EPS(NY)0.4
Fwd EY8.74%
FCF(TTM)0.32
FCFY7.01%
OCF(TTM)0.44
OCFY9.63%
SpS4.19
BVpS4.29
TBVpS2.64
PEG (NY)N/A
PEG (5Y)1.15
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 | 2.2 |
F-Score8
WACC6.98%
ROIC/WACC0.41
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-28.57%
EPS Next 2Y-6.17%
EPS Next 3Y-1.25%
EPS Next 5Y-0.36%
Revenue 1Y (TTM)-2.91%
Revenue growth 3Y-4.69%
Revenue growth 5Y-3.79%
Sales Q2Q%1.79%
Revenue Next Year3.51%
Revenue Next 2Y3.45%
Revenue Next 3Y3%
Revenue Next 5Y2.54%
EBIT growth 1Y-26.17%
EBIT growth 3Y-7.82%
EBIT growth 5Y9.88%
EBIT Next Year11.92%
EBIT Next 3Y12.52%
EBIT Next 5Y8.37%
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%