From 24/7 Wall St. · David Moadel · · 1m 10s
Nokia Stock Drops 10% Despite Profit Beat
Nokia's stock falls 10% after beating earnings with AI data center growth, while Ericsson slips less.
In brief
Nokia's stock falls 10% after beating earnings with AI data center growth, while Ericsson slips less. Nokia's stock dropped 10% despite a profit beat from AI data center demand, as Ericsson's stock fell only 1%. Originally reported by 24/7 Wall St..
Nokia Beats Earnings
Nokia's comparable operating profit rose 35% year over year to $679.58 million, beating analyst estimates.
“In AI & Cloud, net sales more than doubled year-over-year and we secured EUR 1.5 billion in new orders.”
Stock Tumbles 10%
Nokia stock fell 10% to $8.34 in early trading after Q3 2026 results topped estimates.
Ericsson Slips Less
Ericsson stock dropped 1% to $10.29, a softer slide than Nokia's decline.
AI Data Center Demand
AI and cloud customers generated $708.79 million in net sales, up 123% year over year.
Nokia's Data Center Mix
Nokia's data center orders power 12% of its order intake, with two additional hyperscalers as new wins.
Restructuring Charges
Nokia booked $401.01 million in restructuring charges and free cash flow fell to negative $111.2 million.
Q4 Outlook
Nokia expects Q4 2026 net sales to rise 20% to 24% from Q3, with data center growth driving the ramp.
The main idea
Nokia's stock dropped 10% despite a profit beat from AI data center demand, as Ericsson's stock fell only 1%.
