(NOK) Nokia - Ratings and Ratios

Nokia Oyj is a global leader in designing and deploying mobile, fixed, and cloud network solutions. The company is headquartered in Espoo, Finland, and has a market cap of ~$25.96 billion USD as of recent data. With a forward P/E ratio of 14.71 and a P/B ratio of 1.22, it’s often seen as a stable player in the communications equipment space.

The company operates through four main segments: Network Infrastructure, Mobile Networks, Cloud and Network Services, and Nokia Technologies. Its Network Infrastructure segment provides fixed networking solutions, including fiber and copper-based access infrastructure, in-home Wi-Fi solutions, and cloud virtualization services. This is critical for telecom operators looking to modernize their networks for 5G and beyond.

On the mobile side, Nokia offers IP networking solutions like IP access, aggregation, and edge and core routing for residential, mobile, enterprise, and cloud applications. This is where the company’s R&D investments in 5G infrastructure really shine, making it a key supplier to telecom operators worldwide.

Optical networks are another major area, providing optical transport networks for metro, regional, and long-haul applications, as well as subsea applications for undersea cable transmission. This is a specialized area where Nokia has built significant expertise, ensuring high-speed data transmission over long distances.

Nokia also offers mobile technology products and services for radio access networks and microwave radio links for transport networks. Their network management solutions include planning, optimization, network deployment, and technical support services. This end-to-end approach makes them a one-stop-shop for many telecom operators.

Cloud and network services are a growing part of their business. This includes core network solutions like voice and packet core, business applications such as security, automation, and monetization, cloud and cognitive services, and enterprise solutions like private wireless and industrial automation. This is where Nokia is betting big on digital transformation and IoT.

Nokia Technologies is their intellectual property arm, licensing patents, trademarks, and the Nokia brand. This not only provides a steady stream of revenue but also highlights the company’s deep innovation pipeline over the years.

With a P/S ratio of 1.31, Nokia is positioned as a mature company with a strong balance sheet. Its current P/E of 15.09 suggests that investors are pricing in moderate growth expectations, but the forward P/E of 14.71 indicates some optimism about future earnings.

Nokia serves a wide range of customers, including communications service providers, webscalers, hyperscalers, digital industries, and governments. This diversification reduces dependency on any single market segment and makes the company more resilient to sector-specific downturns.

Founded in 1865, Nokia has a long history of reinvention. From its roots in paper milling to becoming a global telecom giant