Printed from http://www.electronista.com

S&P may downgrade Nokia's rating due to poor phone sales

updated 04:15 pm EDT, Tue June 22, 2010

Standard and Poor says Nokia must improve

Standard & Poor on Tuesday dropped its outlook on Nokia's credit rating from "stable" to "negative" due to its expected poor results. The stock indexer warned that Nokia's core phone business needed to regain more of its profitability over the next six months or else its credit rating could be downgraded within the next 12 to 18 months. It wasn't optimistic as it saw that Nokia was still in a "rather weak competitive position" for smartphones.

The alert reflects mounting concerns from analysts that Nokia is increasingly running out of time to offer a strong competitor to relative newcomers like Android and the iPhone. While RIM's BlackBerry growth has been leveling off, Nokia's share has either been flat or has declined in the past few years, particularly since the iPhone's launch in 2007 and later the economic slump in 2008.

Its best chance at improving its performance isn't due to arrive until later in the summer, when the N8 ships. The phone will be the first Symbian^3 device and Nokia's first multi-touch phone, arriving three years after Apple's.



By Electronista Staff
toggle

Comments

  1. InCards

    Fresh-Faced Recruit

    Joined: Jul 2010

    0

    S&P Rates Nokia Strong Buy

    Did anyone here on the Macintosh News Network notice that not only did S&P credit analyst Matthias Raab (on June 22) maintain Nokia';s A long-term rating and A-1 short-term rating, but at weeks end S&P reiterated their Strong Buy 5 Star) rating on NOK ADSs originally set on May 26 when they upgraded NOK from Buy (4 Star)? That rating was based on Their current 12 month price target is $12. The complete current 8 page Standard & Poor's Nokia Corp Stock Report which is available from numerous brokers is dated June 26, 2010. - IC (Eric L.) -

  1. facebook_Ketty

    Via Facebook

    Joined: Jan 2011

    0

    Nokia wake up

    Nokia need to do something about this. I love nokia phones and I hope they maintain there position in market. http://www.nokiaphonereview.net/tag/nokia-cell-phones

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

Sponsor

Recent Reviews

Adesso Xtream S3B Bluetooth speaker

Finding a speaker purpose-built for a specific need is challenging. Even when a Bluetooth speaker can be paired with a mobile device, ...

JBL Synchros E40BT headphones

For all the different configurations of headphones on the market, it's always a tough choice for buyers to get something that is just ...

Razer Taipan mouse

The list of gaming devices is growing larger with each passing day. A large number of companies have entered the gaming input arena, a ...

Sponsor

toggle

Most Commented

 
toggle

Popular News