Nokia (NOK) Shares Are Going Crazy on Massive Volume

Nokia Corp. (NYSE:NOK) was founded way back in 1865. It initially started operating as a paper mill firm and then gradually shifted to the phones and networking equipment business. It ruled the mobile phone market for many years until losing significant market shares to iOS and Android-powered smartphones. After suffering massive losses, the Finnish company sold its mobile-phone business to Microsoft in 2013 and entirely shifted its focus towards network infrastructure and patent licensing segments. It is now regarded as a leading provider of network infrastructure in the world.

NOK stock saw many ups and downs during 2020 but ended the year without gaining any value. The stock started 2020 trading around $3.8 but plummeted sharply to a low of around $2.4 in March following the Covid-19 outbreak. The stock momentarily climbed over $5 in August on strong quarterly performance and an upbeat full-year outlook.

The company in September reportedly failed to secure a 5G equipment supply deal with Verizon. The news sent the stock down to about $4. NOK shares once again plummeted sharply in October after the company cut its outlook for 2020 and operating margins guidance for 2021.

Nokia is again in the spotlight as the stock climbed more than 15 percent on Monday. The latest stock rally follows a price target hike from SEB, one of the leading financial institutions in Scandinavia. SEB lifted its price target for NOK stock from $4.25 per share to $4.60 per share, while reaffirming its “Buy” rating for the company. Another reason behind the recent jump is a short squeeze in Nokia stock created by Reddit’s WallStreetBets forum.

Nokia stock is flying high on a massive volume in the mid-day trading Wednesday. The stock has skyrocketed over 40 percent, hitting a new high of $8.48, on an unbelievable volume of 600 million shares. The company’s market value has jumped to approx. $37.568 billion.