Nokia Corporation (ADR) (NOK) Options Idea From Cantor Fitzgerald

0
Nokia Corporation (ADR) (NOK) Options Idea From Cantor Fitzgerald
Hermann / Pixabay

Nokia Corporation (ADR) (NOK) Options Idea From Cantor Fitzgerald

Nokia Corporation (ADR) (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V)  has had a big run recently, much to the chagrin of some Tiger Cubs (see all funds shorting Nokia here). What is an investor to do? Cantor Fitzgerald Europe is out with a new report, which suggests buying some options. The analysts note that an investor can 1) Pay Euro 3.08 for the stock OR >2) Pay EUR 0.40 for the Sep 2013 3.20 Call and Sell the Sep 2013 4.40 Call at EUR 0.13 for a net cost of EUR 0.27 If the stock reaches the upper strike price then the return will be EUR 0.93 for a EUR 0.27 outlay (3.4x).

We summarize the background and potential catalysts for the idea below:

Leon Cooperman Likes These Real Estate, Credit And Private Equity Funds

InvestMany famous hedge fund managers engage in philanthropy, often through their own foundations. Leon Cooperman of Omega Advisors founded his foundation with his wife Toby, and he invested the foundation's funds into many hedge funds and other assets. Q3 2021 hedge fund letters, conferences and more Here are Leon Cooperman's favorite hedge funds based on Read More

Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) has rallied ~50% in the last 3 months and almost 100% from its one year low but lost almost 20% since it reported its FY results on 24th Jan 2013 which included a return to profit but a dividend suspension.

Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V)’s share of the handset market was 19% in 2012, down from 32% in 2010 as they’ve lost out to the likes of Apple (N/C), Blackberry (N/C), LG (N/C), Sony (N/C) and Motorola (N/C).

The Lumia range which runs on a Windows platform has generally been well received.

Possible launch of a Microsoft compatible tablet at the Mobile World Congress (23rd- 28th Feb).

In talks to end its Nokia Siemens Networks (“NSN”) joint venture which could include a buyout of Siemens (N/C) with a new partner such as Alcatel-Lucent (N/C) or an IPO.

Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V)’s NAVTEQ recently won the contract to supply navigation mapping systems to Toyota (N/C); last year Ford (N/C) chose Nokia (N/C) over Google (BUY – TP USD $900).

Cantor believes that income fund selling has abated.

Updated on

Sheeraz is our COO (Chief - Operations), his primary duty is curating and editing of ValueWalk. He is main reason behind the rapid growth of the business. Sheeraz previously ran a taxation firm. He is an expert in technology, he has over 5.5 years of design, development and roll-out experience for SEO and SEM. - Email: sraza(at)valuewalk.com
Previous article Goldman Sachs’ Lemkau And Pozzi Take New M&A Roles
Next article iPhone5 Ranks Fifth In U.S. Customer Satisfaction Survey

No posts to display