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Technology Stocks : Nokia (NOK) -- Ignore unavailable to you. Want to Upgrade?

To: Shoibal Datta who wrote (920)	8/21/1998 12:31:00 PM
From: tero kuittinen	Read Replies (1) \| Respond to of 34857

The flooding and economic slow-down may be crimping the subscription growth temporarily... but the Chinese government has already made a decision to boost economic growth by investing more heavily in "construction, infrastructure and telecommunication". Just two weeks ago the new numbers on GSM subscriber growth showed that the annualized growth during early summer months was still topping 60%. Nokia is gaining market share from Ericsson and Motorola and its phones sales growth has to be currently at least 70-80%. Maybe that number will come down if the economy keeps cooling... but even then it looks mighty good to me. Devaluation would hit the purchasing power of Chinese consumers, but Nokia has extensive digital phone manufacturing within China... it will suffer less than Motorola and exporting Chinese handsets would give it some extra zip. So if the worst case China impact would slow down Nokia's overall handset sales growth from 60% in the second half to 55% (and since China makes up 13% of Nokia's sales how could it be worse?) is that really a reason for a sell-off? I think the only genuine fear right now is a total global economic melt-down, not the Chinese or the Russian situations in themselves. And if that happens, we'll all go to hell in a handbasket, even with Disney or Coca-Cola. Tero