Nokia Corporation (ADR) (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) shares have especially struggled since the company’s latest earnings report. However, Wunderlich Securities analysts say the results were about what they expected. Nonetheless, they did reduce their price target, but only due to the percentage effect of the new share count.

Nokia Corporation (ADR) (NOK)

Nokia price target goes to €5.20

Analyst Matthew S. Robison cut his price target for Nokia Corporation (ADR) (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) from €6 to €5.20 a share. He bases his valuation on a sum of the company’s parts. He maintained his Hold rating on the stock.

The company reported non-IFRS earnings from continuing operations of €.06 per share and €3.5 billion in revenue. Including discontinued operations, Nokia posted non-IFRS losses per share of €.01. The company said the sale of its devices division to Microsoft Corporation (NASDAQ:MSFT) is on schedule to close in the current quarter.

Nokia’s results not any worse than expected

Revenue for Nokia Solutions and Networks was in line with gross margins. There was upside in gross profits, but that was offset by higher expenses. Also revenue from Nokia Corporation (ADR) (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V)’s Advanced Technologies was a little lower than what Robison estimated. However, he noted that it was “significantly more profitable” because the company had lower expenses and costs. In addition, he said Nokia’s HERE mapping division did a little better than expected.

The analyst believes Nokia Corporation (ADR) (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) will continue to show signs of improvement throughout the current quarter. However, he notes that there could be some charges associated with the Microsoft deal.

Updating Nokia’s forecasts

Robison  also provided an update to his forecast for Nokia Corporation (ADR) (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V). He said incremental sales from the company’s Advanced Technologies division change a bit as  management targets a run rate of €600 million. That’s more than the fourth quarter run rate and also his previous forecast. Hjowever, he thinks this will be offset by the higher share count.

Shares of Nokia Corporation (ADR) (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) declined as much as 1% in midday trading at the New York Stock Exchange.