|
OT - NOK to the
moon
<p>NOK - OT - I'm puzzled as to why NOK's earnings shot
the stock so far, so fast. Surprised on profit at .03 cents, said
American market might see some demand to offset the slack demand
seen elsewhere, the latter of which led them to lower 2018 guidance
*yet again*. And another plus was that the transition of customers
to NOK products from Alcatel ones was going better than it had
been. And they predicted a pickup in business in 2019-2020 -
but without any numbers assigned to that, except to say (I think,
working from memory) that profit margins would rise by about 3% or
so. One analyst commented, and I see his point, that if you can't
tell how business is doing in the short term (remember the CC where
the stock lost 25% or terrible CC surprises?), that predicting
things out in 2019 and 2020 seems dubious.</p> <p>So,
we've got a great one-day moonshot rise - with a prediction for
even poorer 2018 results. What to do? Sell? Stand pat? 2019 seems
like a long way off. But then again, the idea has been rattling
around my head for a couple months to perhaps sell a greater stake
than the 1/2 of the position I sold post-terrible CC, and come back
in when we're closer to some better times. The reason not to do so
is plain as day today, as timing is obviously impossible.</p>
<p>Or is today's rise just as simple as this: Perhaps the
market expected this CC to be as bad or worse than the last one,
and the positive surprises gave them Hilary's 'brain freeze'
:-)</p> <p> </p>
|
|
Nokia's execution this past quarter was better, still,
they need to keep a real focus on the balance sheet. This was
a small step towards that. Revenues were about flat YoY,
helped somewhat by the E210M from Huawei.
I agree that given the past troubles in setting proper
expectations, to predict a better 2019 and 2020 seems a like
saying, it has to get better. More so given that there are no
hard estimates attached to that hope.
Still, the company did manage to get its act together on the
cash, that said, there is a lot of work left to be done on that
issue.
|
|
Author:
|
LongTerm
CapGains
|
|
Subject:
|
Off Topic
|
|
Sentiment:
|
Neutral
|
|
Date:
|
02/02/18 at 7:05 AM CST
|
|