Nokia Corp. (NOK) Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Nokia Corp. (NOK)

NOK 6.160

+1.5%

3:59 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Puck who started this subject	8/8/2001 7:17:49 PM
From: Puck	Read Replies (1) of 9255

Tero has an especially insightful column at TheStreet.com in which he presents an argument supported with a solid foundation of fact that Nokia's mobile phone profit margins correlate with one thing and one thing only: Nokia's product cycle relative to its competitors, not market share or market growth. He shows Nokia's margins to by cyclical in nature without a long term trend. Tero also observes Nokia's margins are also substantially higher now in a time of slow growth than they were in the mid-90's during the years of the mobile phone industry's most rapid expansion and that the margin peak of Nokia's most recent margin cycle culminating in 1999 surpassed the margin peak of the previous margin cycle culminating in 1994 by a whopping 50%. The only long-term trend discernable in Nokia's financial history is one of ups and downs correlating precisely with Nokia's new product cycles. Any projections of a linear long term margin trend is, in Tero's words, hogwash. His article is a must read. Once TheStreet.com has made it freely available, I'll post it here. thestreet.com

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next