Key statistics

Is NOK a good stock to buy in 2026?

NOK stock currently trades at a P/E of 58.44x, which is a premium compared to the Communication Equipment sector average of 54.7x, suggesting a slightly rich NOK valuation. The discounted cash flow (DCF) analysis points to a fair value of $7.29, indicating the current NOK stock price is potentially overvalued by 44.7%. Despite this, 61.5% of analysts rate NOK a Buy, with a consensus target of $11.52, implying a -12.7% downside.

2026 NOK price scenarios

Based on analyst consensus of $11.52 from 52 analysts. Not a prediction by Alert Invest.

About Nokia Oyj (NOK)

Nokia Oyj provides mobile, fixed, and cloud network solutions worldwide. The company operates through four segments: Mobile Networks, Network Infrastructure, Cloud and Network Services, and Nokia Technologies. It offers products and services for radio access networks covering technologies from 2G to 5G, and microwave radio links for transport networks.

Led by President and CEO Justin Hotard, Nokia Oyj maintains a global presence with its extensive portfolio of mobile, fixed, and cloud network solutions. Employing 78,434 individuals worldwide, the company leverages its deep expertise in telecommunications to deliver critical infrastructure, from 2G to 5G radio access networks and microwave radio links. This comprehensive offering and established market presence are distinctive strengths in the highly competitive Communication Equipment industry.

NOK competitive moat and business analysis

Nokia Oyj’s competitive advantage primarily stems from its long-standing expertise and intellectual property in telecommunications technology, particularly in network infrastructure. While its net margin of 5.15% indicates a moderately profitable operation, the N/A for ROE/ROIC means further insight into capital efficiency is limited. The company’s global scale and extensive R&D investments in next-generation technologies like 5G and future 6G networks solidify its position, creating high barriers to entry for new competitors.

Nokia Oyj derives its revenue from a global footprint. While specific segment breakdowns are not provided in the data, the company’s geographic performance for fiscal year 2025 (FY25) suggests diversified revenue streams. This global distribution helps mitigate risks associated with reliance on any single market, though regional economic shifts can still impact overall performance.

Nokia Oyj’s revenue growth of 3.5% suggests a modest but positive trend in its core business. The company’s leadership is actively navigating a dynamic market. As CEO Justin Hotard stated in the Q4 2025 earnings call on 2026-01-29, “Hello, everyone, and thank you.” This brief opening, while not offering specific strategic details, sets the stage for a focus on quarterly performance and future outlook as further details were shared in the full transcript. The company continues to invest in innovation to maintain its technological edge, essential for sustaining its moat in a rapidly evolving sector.

When evaluating the NOK stock, it’s beneficial to compare Nokia Oyj against its peers in the Communication Equipment industry. For a detailed side-by-side analysis of NOK’s valuation, growth, and analyst ratings, consider comparing NOK vs ASX, NOK vs CIEN, and NOK vs CLS. These comparisons can highlight relative strengths and weaknesses, offering a broader perspective on whether ‘is NOK a good stock’ for your portfolio compared to its direct competitors.

Nokia Oyj analyst rating

Based on 52 analysts. 61.5% rate NOK Buy or Strong Buy.

A 61.5% ‘Buy’ consensus among 52 analysts is generally considered a strong positive signal for a Technology stock, indicating confidence in Nokia Oyj’s future prospects. However, the implied -12.7% downside to the consensus target of $11.52 from the current price suggests that analysts believe the stock may be somewhat stretched at its current NOK valuation.

Is NOK undervalued or overvalued?

The question of whether NOK stock is undervalued or overvalued requires a multi-faceted approach. With a P/E ratio of 58.44x, Nokia Oyj trades at a premium to the Communication Equipment sector average of 54.7x, indicating that the market might be pricing in higher future growth or competitive advantages. This valuation metric suggests that the current NOK stock price might be considered slightly expensive relative to its peers on an earnings basis.

Furthermore, a Discounted Cash Flow (DCF) model estimates Nokia Oyj’s fair value at $7.29, which implies a significant -44.7% overvaluation compared to the current market price. While P/B (2.84x) and P/S (3.01x) ratios are considered fair, the substantial discrepancy between the DCF fair value and the current price suggests that a careful consideration of NOK valuation is warranted for potential investors.

NOK financial health & key metrics

For value investors, NOK stock presents a mixed financial picture. While the company demonstrates strong financial health with low debt (0.16x Debt/Equity) and a healthy current ratio, its profitability metrics like net margin (5.15%) and the unavailable ROE/ROIC are a concern. Furthermore, the current NOK valuation appears elevated, with a P/E of 58.44x exceeding the sector average and a DCF fair value significantly below the current price, suggesting it might be challenging to find deep value at these levels despite a modest 3.5% revenue growth.

Nokia Oyj earnings history & next report

Nokia Oyj reported EPS of $0.06, missing estimates by 0.0%. Next earnings: 2026-07-23 with EPS estimate of $0.07.

Investors interested in NOK stock should closely monitor the upcoming earnings report on 2026-07-23, with an estimated EPS of $0.07. Key areas to watch include any updates on 5G network deployment timelines, progress in enterprise solutions, and commentary on global telecom capital expenditures. Given that the previous EPS of $0.06 missed estimates by 0.0% (meaning it met estimates precisely), investors will be keen to see if Nokia Oyj can meet or exceed the new consensus, which will be crucial for the short-term trajectory of the NOK stock.

NOK daily short volume

Short volume data from FINRA CNMS Consolidated — shares sold short in the most recent US trading session. A high short ratio can signal bearish conviction or a potential short squeeze. Updated every trading day.

Recent NOK analyst rating changes

Nokia Oyj stock news today

How does NOK compare to its peers?

Understanding where Nokia Oyj stands relative to its competitors is vital for assessing ‘is NOK a good stock’. The Communication Equipment industry is highly dynamic, and comparing NOK’s performance and strategic positioning with key peers like ASX, CIEN, and CLS provides valuable context for a comprehensive NOK valuation.

FAQ — Nokia Oyj (NOK) stock