Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer.

Trade-Ideas LLC identified Nokia Oyj ( NOK) as a pre-market laggard candidate. In addition to specific proprietary factors, Trade-Ideas identified Nokia Oyj as such a stock due to the following factors:

  • NOK has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $250.8 million.
  • NOK traded 286,536 shares today in the pre-market hours as of 7:52 AM.
  • NOK is down 3.1% today from yesterday's close.

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More details on NOK:

Nokia Corporation engages in the network infrastructure, location-based technologies, and advanced technologies businesses worldwide. The company operates through four segments: Mobile Broadband, Global Services, HERE, and Technologies. The stock currently has a dividend yield of 2.8%. NOK has a PE ratio of 112.6. Currently there are 5 analysts that rate Nokia Oyj a buy, 2 analysts rate it a sell, and 5 rate it a hold.

The average volume for Nokia Oyj has been 15.7 million shares per day over the past 30 days. Nokia Oyj has a market cap of $29.5 billion and is part of the technology sector and telecommunications industry. Shares are up 1.1% year-to-date as of the close of trading on Tuesday.

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TheStreetRatings.com Analysis:

TheStreet Quant Ratings rates Nokia Oyj as a buy. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures, notable return on equity and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself.

Highlights from the ratings report include:
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Communications Equipment industry. The net income increased by 874.4% when compared to the same quarter one year prior, rising from -$48.84 million to $378.24 million.
  • Net operating cash flow has significantly increased by 193.46% to $215.68 million when compared to the same quarter last year. In addition, NOKIA CORP has also vastly surpassed the industry average cash flow growth rate of -19.80%.
  • Despite currently having a low debt-to-equity ratio of 0.31, it is higher than that of the industry average, inferring that management of debt levels may need to be evaluated further. Despite the fact that NOK's debt-to-equity ratio is mixed in its results, the company's quick ratio of 1.55 is high and demonstrates strong liquidity.
  • The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Communications Equipment industry and the overall market on the basis of return on equity, NOKIA CORP has outperformed in comparison with the industry average, but has underperformed when compared to that of the S&P 500.
  • NOKIA CORP has improved earnings per share by 42.9% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. However, we anticipate underperformance relative to this pattern in the coming year. During the past fiscal year, NOKIA CORP increased its bottom line by earning $0.37 versus $0.06 in the prior year. For the next year, the market is expecting a contraction of 6.8% in earnings ($0.35 versus $0.37).

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