Wireless shares got a jolt from a pair of bullish research notes signaling a strong turnaround for the sector in 2003 and 2004. Merrill Lynch European wireless-equipment analyst Adnaan Ahmad upgraded Nokia ( NOK) stock to buy from neutral, because of expected good news from a strategy meeting during the next two days. Ahmad said he thinks handsets will fly off store shelves in the next couple years, because of high demand for replacement handsets, aided by substantial discounts from wireless carriers worldwide. The growth will be driven mostly by European consumers, he said. Separately, Morgan Stanley raised its outlook on the U.S. wireless services sector, saying that several of the big six carriers, including Nextel ( NXTL) and AT&T Wireless ( AWE), will report positive earnings and free cash flow by next year. Nokia's American depositary receipts jumped 67 cents, or 3.5%, to $19.88. Motorola ( MOT) shares gained 77 cents, or 6.8%, to $12. AT&T Wireless shares gained 67 cents, or 8.9%, to $8.22. Shares of Sprint PCS ( PCS) jumped 55 cents, or 9.5%, to $6.30. Nextel shares added 60 cents, or 4.4%, to $14.35, inching close to their 52-week high of $14.67. In early morning trading, Nextel broke past its 52-week high, but it settled back behind the threshold by midmorning. The analysts' comments come hours before Nokia kicks off an investor strategy meeting in Dallas. Though major news isn't expected from the meeting, industry watchers say the company may provide more insight on its strategy to infiltrate the Code Division Multiple Access, or CDMA, market, which has been a historically weak area for the company. CDMA is the predominant standard in the U.S. and is used by leading operator Verizon Wireless and Sprint PCS. The company is unlikely to revise earnings estimates this week, as it is scheduled to conduct a midquarter financial update next Tuesday.