Nokia’s trading volume increased to 960.4 million shares, a significant spike over the full-day average of around 47.3 million shares.
On the 27th of January, Finish telecommunications company Nokia Corporation (NYSE: NOK) surged 38% in its stock as Reddit traders boosted the brand. The company soared 42.5%, on the day marking its biggest one-day trading since February 1991 when the company started trading. Nokia is now the latest legacy tech brand on Reddit’s WallStreetBets platform.
Due to its volatility, Nokia stock was halted five times during trading hours. After then, it was halted one more time before the company released the statement.
Over the past weeks, Reddit users have triggered increases in US stocks, pushing Nokia’s stock in Europe. In the 2000s, Nokia phones were common for their durability and the popular Snake game. Nokia eventually lost its popularity and large customer base to iPhone in its transition to smartphones. In 2014, Microsoft Corporation (NASDAQ: MSFT) acquired the Nokia handset unit for EUR 3.8 billion ($5 billion at the time). The acquisition deal was completed on the 25th of April, 2014.
According to a Bloomberg report, a Mirabaud Securities analyst Neil Campling commented on recent happenings:
“It is as if someone found a newspaper from 2006 to identify who were the golden tech companies from back then. Then add in the perceived attraction of a low absolute dollar stock price in the single digits, and a brand people remember and bought blindly hoping they had discovered the next Tesla.”
In addition, Nokia gained 8.3% in Helsinki shortly after Sweedish banking company Handelsbanken upped its price target on the Finish telecommunications company. The Sweedish bank stated that the target raise is due to new contracts Nokia has been signing.
However, analysts at Inderes warned that Nokia may experience volatility in its stock from the gain generated due to the the Reddit forum.
Nokia Stock
At the time of writing, Nokia is trading at $5.52. The current trading price demonstrates a 15.73% loss over its closed price of $6.55. Data by MarketWatch revealed that Nokia has been recording significant gains. The company climbed 65.40% over the past year and 67.52% in its year to date record.
In addition, NOK has added about 96% over the last month. The stock of the Finnish telecommunications company surged 67.52% in the last month. The MarketWatch data also revealed that Nokia has grown by 55.21% in the last five days.
As for Nokia, the company does not have a reason for the surge in its stock. In a statement, the company said:
“Nokia is not aware of any material, undisclosed corporate developments or material change in its business or affairs that has not been publicly disclosed that would account for the recent increase in the market price or trading volume of its shares.”
Nokia’s trading volume increased to 960.4 million shares, a significant spike over the full-day average of around 47.3 million shares.
Ibukun is a crypto/finance writer interested in passing relevant information, using non-complex words to reach all kinds of audience. Apart from writing, she likes to see movies, cook, and explore restaurants in the city of Lagos, where she resides.
