Nokia Steals a Play From Samsung's Book

If you have to mimic someone's recipe for success in the smartphone space, Samsung wouldn't be the worst choice in the world. The company has grown from a virtual non-factor in the space to one of its most profitable and highly visible players in only a few years. Clearly, it's doing something right. And if the tech rumor mill has it right, Nokia (NYSE: NOK  ) is getting set to copy Samsung's winning ways with the upcoming updates to its flagship Lumia line of smartphones next month. And although this certainly makes plenty of sense, it's by no means a guarantee of success, either. In this video, tech and telecom analyst Andrew Tonner breaks down the rumors on the latest Lumias and whether investors should consider this stock for their portfolios.

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  • Report this Comment On August 24, 2013, at 7:34 PM, Walter118 wrote:

    Mr. Tonner, there is this an obvious dilemma here for MS/NOK combine, whether to opt for: a) winning faster market share growth with lower unit price, or

    b) higher prices assuring higher profit margins. You cannot have both if enter the race late, so far behind two leading contenders. So, winning significant market share should be preferred if one can afford it in this particular situation.

  • Report this Comment On August 25, 2013, at 7:10 AM, lee654 wrote:

    My money is on Nokia! LS

  • Report this Comment On August 25, 2013, at 11:17 AM, IngramR wrote:

    Another business strategy that Mr.Tonner fails to mention is the fact that since Nokia is primarily using the Windows OS, using different price points across it's line of products to expose as many people to the platform as possible can't be a bad thing. He is completely right that initially it will affect profit margin with the lower end phones for example BUT if you can lock people into the Windows ecosystem and they are happy with it, they are more likely to stay with the Windows platform for future purchases a la phone upgrades, any tablets that come out etc. for example. Admittedly this is a risky move by Nokia and one that could see big dividends down the line (Samsung) or backfire like a bad car. Too early to tell, so Mr. Tonner is correct probably the best play right now is wait and see before throwing all your chips in behind Nokia.

  • Report this Comment On August 25, 2013, at 1:43 PM, DZPM wrote:

    Sprint has a debt to total capital ratio of 82.94% which is huge and deadly especially after tapering when interest Reith go up. S Price to Book is 4.202, above the industry median of 1.5. S reported 2nd quarter 2013 losses of $0.53 per share on July 30, 2013. This missed the $0.30 loss expectation of the 15 analysts following the company. Every quarter up to 2015 is book negative Sprint is considered junk stock over valued over priced it is selling… Sell… Sell… Sprint will underperform the market over the next 6 to 12 months. This projection is based on analysis of three key factors that influence common stock performance: earnings strength, relative valuation, and recent price movement. Earnings Strength is NEGATIVE Relative Valuation is VERY NEGATIVE Price Movement is NEUTRAL Sprint is nothing but a Sell

    Nothing new! Federal Reserve comity and Ben Bernanke “Giant Ponzi Scheme” .When we have bad economic data market is going up on speculation Fed Chairman Ben S. Bernanke will kip printing money. When we have god economic data market is going up speculation Bernanke is steel printing? This entire look like exuberance sign of market is in the crash mod and will burst 1000 down ward point any second. There is no exist without big consequences Bernanke know that and kip printing money we all American will go down to drain. Either way he will finish as slowly anyway. Bernanke ruin billions and billions of ordinary people’s lives with kipping interest zero in favor of Banks and Speculators Bernanke committed the biggest crime to humanity The Biggest Ponzi Scheme Ever. Bernanke is a Scam bag! Communist was using seam principals like Fed > Bernanke (printing money for ever), and day collapsed next is USA to Collapse, because off sociopath Bernanke. Printing money is poor pyramid scams, artificial unreal! Stock and everything is doom for crash. Every pyramid scam crash everybody loses regular investor watch out doesn’t fall in to the trap.

    A record breaking stock market is distorting a frightening reality: The U.S. is being eaten alive by a horrific cancer that will ultimately destroy the economy and impoverish the vast majority of its citizens.

    That's according to Peter Schiff, the best-selling author and CEO of Euro Pacific Capital, who delivered his harsh warning to investors in a recent interview on Fox Business.

    "I think we are heading for a worse economic crisis than we had in 2007," Schiff said. "You're going to have a collapse in the dollar...a huge spike in interest rates... and our whole economy, which is built on the foundation of cheap money, is going to topple when you pull the rug out from under it."

    Schiff says that, despite "phony" signs of an economic recovery, the cancer destroying America stems from a lethal concoction of our $16 trillion federal debt and the Fed's never ending money printing.

    Currently, Bernanke and company is buying $1 trillion of Treasury and mortgage bonds a year. That's about $85 billion per month against a budget deficit that is about the same level.

    According to Schiff, these numbers are unsustainable. And the Fed has no credible "exit strategy."

    Eventually interest rates will rise... and when they do, Schiff says, stocks will tank and bonds dip to nothing. Massive new tax hikes will be imposed and programs and entitlements will be cut to the bone.

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