Nokia Corp is a 'speculative' Buy - One analyst says that Windows Phone 8 is actually better than iOS and Android

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Category: Financials

Published on Tuesday, 26 June 2012 08:50

Written by Will Peters

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Nokia Corporation (NYSE:NOK) is a speculative Buy at Jyske Markets - the Danish investment bank.

The Buy recommendation comes on a day that Nokia shares fell 9.98 pct in New York as other brokers turn ever more bearish on the company.

But, Jyske remain supporters. In a note to clients, the analyst team lead by Senrior Equity Analyst Robert Jakobsen say:



"Last night, Microsoft and Nokia disclosed a number of interesting details about Windows Phone 8 (WP8) – the next version of Windows Phone.

"In our view, WP8 matches the two rival operating systems – iOS and Android in almost all areas.

"We even go so far as to say that the operating system in some respects beats the others (with respect to gaming, VoIP integration etc.).

But, there is a near-term threat noted in that it will most likely be 2-4 months before Nokia has WP8 smartphones on the market as Microsoft has indicated it is unwilling to update current WP7.5 phones to WP8.

Jyske Markets stress that NOK is a high-risk stock.

Research in Motion also has a woeful time of it

Nokia's fellow troubled phone maker, Research In Motion, fell the most since May after Morgan Stanley downgraded the stock, citing "rapidly deteriorating fundamentals." 

RIM's stock fell 7.6% to $9.11 at the close in New York, the shares are trading at their lowest level since December 2003.

Equity markets in respite mode

The equity markets are in 'respite mode' this morning with the FTSE just in the black by some 10 points at 5460. 

Commenting is Simon Denham at Capital Spreads:

"Since the little turn lower after rejecting 5600 at the end of last week the month’s gains no longer look so impressive.  The FTSE has risen some 2.5% compared to its 5% only a week ago. 

"The 5300/5250 area is the major near term support whilst 5600 is resistance.  As the volumes yesterday indicated we are going into the summer months now and so there could be some interesting moves in the weeks ahead."