Nokia's SharePrice Surges on Wednesday

Nokia, the Finnish telecommunications giant, has made a significant move with the acquisition of U.S. tech and telecom equipment supplier Infinera in a $2.3 billion deal, which closed in February. This acquisition positions Nokia to benefit from investments into artificial intelligence (AI) capabilities, as Infinera specialises in optical networks that are crucial for AI data transmission.

Despite this recent acquisition, Nokia's revenue from hyperscaler projects currently comprises only 5% of its overall top line. The company's current stock price stands at $4.38, with a market cap of $24B.

The acquisition has caught the attention of analysts, with BNP Paribas Exane analyst Jakob Bluestone upgrading Nokia's recommendation to outperform (buy). However, it's unclear what the last major acquisition by Nokia that led to this upgrade was.

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Nokia's financials show a gross margin of 43.12% and a dividend yield of 3.53%. However, The Motley Fool Stock Advisor analyst team did not include Nokia Oyj in their list of the 10 best stocks to buy now.

In a positive development for Nokia's stock, it saw an increase of more than 3% in late-session trading. Jakob Bluestone has set a price target of 4.30 euros ($5.01) per share for Nokia's Europe-listed stock.

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