In the following video, Fool analyst Andrew Tonner talks about Alcatel-Lucent (NYSE: ALU), and what investors can expect from the telecom stock in 2013.

After struggling for years, Alcatel is up 36.6% over the past month, reversing a bad year in which the stock had previously lost some 60% of its value. So, is Alcatel a buy? Andrew says not quite yet. But it's not a sell, either. With Alcatel in the midst of a cost-restructuring aimed at saving $1.5 billion, the company should see improved margins and other benefits from leaner operations.

But that doesn't change anything in the fundamental Alcatel story, Andrew says. Alcatel will still operate in a very competitive industry, competing not only with established rivals like Nokia (NYSE:NOK), but low-cost Asian providers as well.

So while things may be looking up in terms of operations, Alcatel still faces significant headwinds ahead in 2013. Andrew calls the stock a hold.

Andrew Tonner and The Motley Fool own shares of Apple. Motley Fool newsletter services recommend Apple and Goldman Sachs Group. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.