Nokia downgraded to Neutral from Overweight at JPMorgan

JPMorgan analyst Sandeep Deshpande downgraded Nokia to Neutral from Overweight with a price target of EUR 4, down from EUR 5.30. The company’s first half of 2024 is likely to be “particularly challenging” with all three major U.S. telcos messaging a decline in the capex in 2024 and with inventory at the telcos well ahead of normal levels, the analyst tells investors in a research note. Nokia’s restructuring will help second half of 2024 earnings but with initial indications of the first half “to be so difficult, it is difficult to stay bullish despite the valuation,” says the firm.