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    Nokia Oyj (HLSE:NOKIA) Could Be 46% Undervalued On Its AI RAN Push

    Simply Wall St·07/26/2026 19:18:03
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    Nokia Oyj (HLSE:NOKIA) has drawn fresh investor attention after unveiling its industry first commercial AI RAN platform, a shift toward AI powered, software defined radio networks that sits alongside new AI focused customer agreements.

    See our latest analysis for Nokia Oyj.

    The new AI-RAN launch and recent 5G agreements come at a time when Nokia Oyj’s share price has fallen 27.81% over the past month and 11.36% over 90 days, yet the year to date share price return of 48.84% and very large 1 year total shareholder return of 128.13% suggest longer term momentum has still been strong, even as near term sentiment cools on mixed earnings and guidance.

    If Nokia’s AI focus has caught your eye and you want to see what else is shaping next generation infrastructure, now is a good time to scan the 55 AI infrastructure stocks

    Nokia Oyj now trades at a sizeable discount to both analyst targets and an intrinsic value estimate, even after a very strong multi year shareholder return. Is the market rightly cautious after mixed earnings and guidance, or has it moved too far?

    Most Popular Narrative: 45.8% Undervalued

    The most followed narrative on Nokia Oyj values the stock at €15.16 per share versus the last close of €8.22. This creates a wide gap that hinges on how investors view earnings, margins, and the AI push.

    Nokia delivered a strong second quarter, reporting revenue of €4.815 billion and earnings per share of €0.07, supported by growing demand for AI and cloud-related solutions. The company is also expanding its presence in the defense sector through AI-powered tools for 5G networks, creating additional opportunities to diversify revenue and strengthen long-term growth prospects.

    Read the complete narrative.

    Want to understand why this narrative points to such a steep discount to fair value? The core assumptions rest on faster earnings growth, firmer margins, and a premium future profit multiple tied to Nokia Oyj’s AI and cloud push. The full breakdown shows how these moving parts combine into that €15.16 figure.

    Result: Fair Value of €15.16 (UNDERVALUED)

    Have a read of the narrative in full and understand what's behind the forecasts.

    However, Nokia Oyj’s recent share price pullback and mixed earnings and guidance could quickly challenge this undervalued case if AI RAN adoption or margins disappoint.

    Find out about the key risks to this Nokia Oyj narrative.

    Next Steps

    With sentiment on Nokia Oyj clearly split between concern and optimism, now is the moment to review the data yourself and weigh up the 2 key rewards and 3 important warning signs.

    Looking for more investment ideas beyond Nokia Oyj?

    If Nokia Oyj has sharpened your interest in next generation infrastructure, do not stop there. Widen your watchlist with a few focused stock idea sets.

    Use these screeners to uncover opportunities that match your style before others move first:

    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.