Nokia Earnings: Improving End-Market Demand Lifts Our Fair Value Estimate

Nokia's fourth-quarter results surpassed our expectations, as net sales improved 9% and adjusted operating margin expanded 380 basis points year over year to the highest quarterly level since 2015. We've raised our near-term revenue forecast, particularly in Nokia's network infrastructure segment, to account for improving near-term demand. As such, we've raised our fair value estimate to EUR 5.30 from EUR 5.00. Our no-moat rating is unchanged.