Nokia Corporation NOK has some great plans, but plans only get you so far.
Nokia Corporation ADR ( NOK) ( NOK1V) HEL:NOK1V is in the midst of an evolution, and what investors must consider right now is whether the company will successfully be able to execute its plans. RBC Capital analysts think the company’s stock could hit $10 a share—but only if it is able to successfully carry out its plans. Nokia’s plans are good, but… Analyst Mark Sue notes that by the time the second half of February rolls around, Nokia Corporation ( NOK) ( NOK1V) HEL:NOK1V will be an entirely new company. Microsoft Corporation ( MSFT) will have purchased its devices and services division, and it will shift its focus to intellectual property and its Here maps. He sees this as a positive because the company continues to have multiple assets, but it has fewer liabilities as well. Nokia is planning to use the major cash infusion from the sale of its devices business to set up a framework to grow the Advanced Technologies division. The company will then move its vertical mapping assets, which are currently tied to smartphones, into “lateral markets” in the automobile industry and other places as an alternative service to Google Maps. The company will aim to grow its Here business beyond €1 billion, although Sue thinks the company may need more investments in order to find topline growth.