HELSINKI, July 28, 2026, 12:04 EEST
- Nokia shares were last up roughly 1% at €8.01 as trading opened in Helsinki.
- Three insiders reported purchases totaling 165,293 securities in Helsinki and New York.
- Orders for AI and cloud reached 6.3 times Nokia’s quarterly revenue, with free cash flow still negative.
Shares in Nokia Oyj hovered around €8.01 by midday on Tuesday, up roughly 1%. The Nasdaq Helsinki exchange was operating as usual, with equity markets scheduled to close at 18:30 EEST. Intraday data are subject to revision.
The action provided little relief. Nokia stayed roughly 13% under its July 22 closing price of €9.166. The drop came after results released last Thursday.
The latest corporate signal from insider filings emerged Monday. On July 24, three insiders bought 165,293 securities. The two transactions denominated in euros amounted to approximately €872,612.
Pallavi Mahajan bought 62,000 securities listed in New York at a price of $9.55 per share, according to filings. The total value of the transaction reached $592,100. The documents did not disclose the reasons for the insider’s purchase.
Even so, insider purchase prices serve as a benchmark rather than a minimum. The average price for European acquisitions was around €8.44 to €8.45. On Tuesday, the share price stayed approximately 5% under those averages.
The main issue for investors revolves around conversion. In the second quarter, Nokia recorded €2.8 billion in AI and cloud orders. This figure represented 6.3 times its AI and cloud revenue for the quarter.
| Investor measure | Q2 2026 | Comparison |
|---|---|---|
| Group net sales | €4.815 billion | 8% higher compared to previous year |
| AI-and-cloud sales | €446 million | 105% higher; accounts for 9.3% of group sales |
| AI-and-cloud orders | €2.8 billion | Equal to 6.3 times the quarter’s sales |
| Expected 12-month conversion | About €1.4 billion | Equivalent to 3.1 times Q2 AI-and-cloud sales |
| Comparable operating profit | €434 million | Grew by 18%; 13.6% above LSEG consensus |
| Reported operating result | €50 million loss | Compared with €147 million profit in preceding year |
| Free cash flow | €732 million outflow | Represents 1.7 times the comparable operating profit |
Derived ratios are based on figures reported by the company. The conversion number represents an estimate from management.
Management anticipates that approximately half of these orders will turn into revenue over the next 12 months, representing nearly €1.4 billion, depending on delivery timelines. This figure is equivalent to over three quarters of the company’s present AI and cloud revenue.
AI and cloud sales accounted for just 9.3% of total group revenue, but were more than twice as high compared to the same period last year. Overall group revenue increased by 8%, reaching €4.815 billion.
Profit indicators gave mixed signals. Comparable operating profit increased by 18% to €434 million, surpassing the €382 million consensus forecast from LSEG by nearly 14%.
Nokia posted a €50 million loss from its reported operations. Restructuring costs totaled €390 million in the quarter. The company had previously posted a €147 million operating profit in the same period a year prior.
Cash flow reflected execution challenges. Free cash flow stood at negative €732 million, even as comparable profit rose. Nokia pointed to working capital, restructuring, and capital expenditures as factors.
Nokia’s full-year outlook lift was due to technical adjustments, not underlying performance. The company shifted its comparable operating profit forecast to a range of €2.1 billion to €2.6 billion, following the reclassification of two units as discontinued.
Nokia anticipates third-quarter sales will increase by 3%-7% from the previous quarter. The company projects comparable operating profit to stay roughly unchanged. Executives predict a more substantial growth in the fourth quarter.
Supply continues to pose challenges in the short term. “Demand remains strong, while supply continues to be the main industry constraint,” Chief Executive Justin Hotard said. Nokia Corporation | Nokia
Risks: Delays in converting backlog may result from component shortages and increased input costs. Nokia forecasts restructuring cash outflows of €700 million-€800 million in 2026. There is a possibility that customer investment in AI infrastructure could slow.
Nokia is scheduled to announce its third-quarter results on October 22. Market attention is expected to centre on backlog delivery and cash flow. A strong order intake on its own may not satisfy investors this time.
