Beleaguered Nokia’s stock continues plummet as analysts slash targets

“Investors offloaded shares in Nokia again on Wednesday, as analysts slashed price targets for the mobile phone maker after its profit warning and questioned whether it could ever recapture lost market share,” Ritsuko Ando and Georgina Prodhan report for Reuters. “Nokia shares fell 9.6 percent to 4.298 euros by 0930 GMT, extending their previous day’s 18-percent fall. The stock is trading at its lowest level in more than 13 years.”

“Analysts said their main concern was that Nokia, once the biggest player in mobile phones, may not be able to reclaim much market share even after it begins selling new phones based on Microsoft Corp’s Windows software,” Ando and Prodhan report. “‘We would continue to avoid the stock as Symbian smartphone sales are falling off faster than expected and we are skeptical that new Windows Phone models will be able to replace lost profits,’ said Gleacher & Co analyst Stephen Patel.”

“The company said tough competition from Apple and Google as well as lower-end handset makers were driving down its sales and selling prices,” Ando and Prodhan report. “Nomura’s Global Technology Specialist Richard Windsor wrote in a note, ‘Nokia’s potential release of a Windows Phone in Q4 is irrelevant, in our view,’ he added, pointing out that it would be a high-end device likely to ship in low volumes. J.P. Morgan analyst Rod Hall said in a note, recommending investors remain underweight on the shares, ‘Even then there are no guarantees that consumers will want what Nokia is selling,’ he wrote.”

Read more in the full article here.

MacDailyNews Take: All this with Steve Jobs about to hose Nokia’s burning platform with even more lighter fluid.

[Thanks to MacDailyNews Reader “GetMeOnTop” for the heads up.]

Related articles:
Beleaguered Nokia cuts outlook, shares plummet – May 31, 2011
Beleaguered Nokia to shed 7,000 employees – April 27, 2011
Apple overtakes Nokia as world’s largest vendor of mobile handsets by revenue – April 21, 2011
Microsoft’s Windows Phone ’07 U.S. launch was a dud; Nokia worried? – April 12, 2011
Apple makes roadkill of deer-in-the-headlights CEOs – April 1, 2011
Microsoft to pay Nokia over $1 billion to use Windows Phone ’07 – March 7, 2011
Analysts not impressed with Nokia’s incoming CEO Elop – September 10, 2010

14 Comments

  1. Nokia coasted for years on an European market that would buy up whatever crap they dished out. I mean it was total and complete crap. Some of the designs were absolutely boneheaded. 

    Nokia is the only phone company I know who deliberately designs succeeding generations of their phones to be larger and heavier than the previous generation despite having a worse battery life.

    They deserve to be on a flaming plane plummeting straight to the ground with no parachute in sight.

  2. Nokia has had it coming.

    5 Years before smartphone everyone was sick of them turning out the same monobloc symbian shite with poor build quality.

    Nokia should have learnt that no matter how they tried to dress up their phones which where all essentially the same as the 5110 (with tiny incremental upgrades internal antenna, colour screen etc) …

    YOU CANT PUT LIPSTICK ON A PIG

    It’s really got what it had coming to it. It got lazy at the top and still hasn’t a clue what to do?

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