John Paczkowski

Recent Posts by John Paczkowski

Espoo Sinkhole Claims Nokia Share Price

Nokia’s elusive recovery is playing havoc with the company’s share price.

With three cuts to its earnings projections in little more than a year, mounting layoffs, and sales of its new Lumia line of Windows Phone handsets falling short of forecasts amid stiff competition from Apple and Google, Nokia’s outlook is grim, to say the least. Little wonder, then, that investors are dragging its stock through the mud.

On Monday, Nokia’s shares fell more than 4 percent, slipping to $1.84 — a price they’ve not seen since 1996.

That’s a 16-year low.

Gruesome. And it’s likely to get worse before it gets better — if it gets better.

In June, Nokia issued its second profit warning in three months, and announced plans for a broad restructuring that will see it sack another 10,000 employees globally. So no one is expecting much from its second-quarter earnings when the company reports on July 19. Indeed, it’s quite clear from Nokia’s share price that investors have given up any hope for a 2012 recovery.

The big question now is not whether Nokia can reverse its ongoing deterioration, but if it can stop it at all.

As I’ve said before, if Nokia’s share price keeps falling, an acquirer like Microsoft could take out the company almost for free, or for a small premium, assuming that Nokia can, in its current state, demand one.


Twitter’s Tanking

December 30, 2013 at 6:49 am PT

2013 Was a Good Year for Chromebooks

December 29, 2013 at 2:12 pm PT

BlackBerry Pulls Latest Twitter for BB10 Update

December 29, 2013 at 5:58 am PT

Apple CEO Tim Cook Made $4.25 Million This Year

December 28, 2013 at 12:05 pm PT

Latest Video

View all videos »

Search »

Nobody was excited about paying top dollar for a movie about WikiLeaks. A film about the origins of Pets.com would have done better.

— Gitesh Pandya of BoxOfficeGuru.com comments on the dreadful opening weekend box office numbers for “The Fifth Estate.”