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Most people put their money into savings accounts that have terrible interest rates because that’s the safe and boring thing to do. Others are a little bit more adventurous and play the stock market. There’s a third category that exists, people who invest in funds. Funds are basically a fancy way of saying a portfolio containing multiple stocks. The phrase “don’t put all your eggs in one basket” comes to mind. According to a report from the Finnish news organization YLE, Nokia shares at the start of 2010 made up roughly 7.5% of Finnish funds. That figure today is less than half, just 3.05%. Translation: Even Finnish people are starting to give up on what was once the country’s crown jewel. Matias Möttöla, an analyst at Morningstar, told YLE that:
“Portfolio managers have decided that too much uncertainty surrounds Nokia. As the company’s share value has fallen so much, many investors have decided to steer clear.”
Juha Varis, who is a portfolio manager, takes things one step further and says:
“Surprises could be on the way with share prices so low. Yet something unexpected like an acquisition bid for the company could turn things around.”
Nokia is going to report their Q2 2012 financial results on Thursday. Investors and journalists are going to be keeping their eye on three things: How many Windows Phones did Nokia sell? How much cash did Nokia burn through? And finally, has Microsoft decided to increase their “platform support” payments?
When we know the answers to those questions then we can have a meaningful conversation about Nokia’s future. Rumors of a potential acquisition have been floating around the internet for what feels like forever, but it would be foolish to assume that Microsoft is the one and only suitor. Samsung could swoop in, and so could a patent troll looking to take a bite our of Nokia’s IPR portfolio.
All we know is that the future of Nokia is growing increasingly hazy with time.
About The Author
Stefan Constantinescu
Stefan Constantinescu (@WhatTheBit on Twitter) has loved technology since as far back as he can remember. It started with computers, but in the past few years his passion has turned to mobile devices. As a mobile phone enthusiast who lives and breathes devices that connect to the internet, he knows he is not alone with this radical fascination of all things wireless. He is strongly opinionated and enjoys a good debate so leave comments in his posts and he’ll get back to you! Stefan began blogging as a hobby in the fall of 2006 and joined IntoMobile in the summer of 2007. Later he got a job at Nokia in March 2008, but as of June 2009 he has rejoined the IntoMobile team. He is currently based out of Helsinki, Finland.
