Why Shares of Nokia Jumped and IBM Fell
Investors who gave up on Nokia, BlackBerry, Ericsson, or Cisco Systems missed out on their rally. Nokia gained over 60% from its 52-week low, adding 9.7% last week in reaction to its quarterly report.
Stock markets treated Nokia like an AI and cloud services supplier, with its network infrastructure segment delivering 11% in net sales growth in the third quarter. Optical Networks grew by 19%, thanks to AI and Cloud customers, according to CEO Justin Hotard.
Network forecasts that its venture fund investments will add EUR 0.1 billion to its operating profit.
Nokia's full-year profit forecast is EUR 1.7 billion to 2.2 billion. Meanwhile, IBM slipped toward its 50-day moving average at below $270 last week, but then jumped by 9.31% on Oct. 24, closing at $307.46, a new 52-week high.
In Q3, IBM posted a 7% revenue growth rate, with CEO Arvind Krishna stating that clients turned to it as a trusted partner to help them build embedded AI and infrastructure.
- Nokia gained over 60% from its 52-week low.
- IBM posted a 7% revenue growth rate in Q3.
Author's summary: Nokia and IBM showed significant growth in their quarterly reports.