Nokia Rises Pre-Market On Signing Multi-Year Patent Deal With Samsung: Retail's Extremely Bullish

synopsis

Shares of Nokia Corp. (NOK) surged nearly 2% in pre-market trade on Wednesday after the Finnish tech giant signed a multi-year patent deal with Samsung.

The deal covers the use of Nokia’s video technologies in Samsung televisions. The Korean tech giant will make royalty payments to Nokia, but the exact terms are confidential.

This patent deal is different from the existing 5G licensing agreement between the two former smartphone rivals.

“We are delighted to have reached an agreement with Samsung covering the use of our video technologies in their world-class TVs. The agreement is yet another proof point of Nokia’s leadership in video and multimedia technologies, and further validation of our decades-long investments in multimedia R&D and standardization,” said Arvin Patel, Chief Licensing Officer, New Segments, Nokia.

Nokia reported over $4.1 billion in research and development expenses in the financial year 2023 for developing technologies across cellular and multimedia.

It has spent nearly $154.5 billion in research and development since 2000.

Retail sentiment on Stocktwits was in the ‘extremely bullish’ (75/100) territory, rising from ‘neutral’ (46/100) a day ago. Message volume also surged to enter the ‘high’ (67/100) zone, showing growing retail interest in the Nokia stock.

NOK sentiment and message volume January 15, 2025, as of 7:30 am ET | Source: Stocktwits

Meanwhile, one user said they bought 5,000 shares of Nokia.

Another user has a target price of $5 for the Nokia stock, implying an upside of nearly 9%.

Nokia’s share price has gained over 15% in the past six months, and its one-year gains are more than 28%.

1 EUR = 1.03 USD

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