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Moody’s cuts Nokia's (NOK -1.9%) senior debt rating from Baa2 to Baa3 - one notch above...

Moody’s cuts Nokia's (NOK -1.9%) senior debt rating from Baa2 to Baa3 - one notch above "junk" status - and maintains its negative outlook following the handset maker's unexpected profit warning last week. Nokia responds by pointing out that with a net cash position of €4.9B, its financial position remains strong. (Moody's)
Comments (4)
  • Charles Santerre
    , contributor
    Comments (1242) | Send Message
     
    The ratings houses are so trustworthy, gosh, they told us that the credit default swap contents in the US were AAA. Thumbs up to them. Seriously, for NOK, that`s almost $8B US in cash. It`s quite reassuring despite what all the negative nellies, bad mouthing NOK shorters on this SA site try to make other readers believe. I believe NOK will be around for a while. And with all the positive comments regarding the Lumia phone from real owners, I am glad to be long NOK with the dividend already being announced. The real cash dividend will help compensate for the stress caused by the paper losses. Sure the overall product portfolio will take a severe hit in the coming quarters with Symbian and feature phones sales dropping off a cliff, but in hindsight, it`s something that should have been expected. You can`t stop progress and competition, but you can make damn good products with the largest software company in the world.
    16 Apr 2012, 10:12 AM Reply Like
  • aniyf
    , contributor
    Comments (6) | Send Message
     
    Its funny how these rating agency work. They just don't want anyone to succeed. They just beat down the company when they just about
    picking themselves up. If a company does not have a turnaround plan, then I can understand the re rating. It really sucks.
    16 Apr 2012, 11:55 AM Reply Like
  • lordofthering
    , contributor
    Comments (7) | Send Message
     
    It is like you never go wrong by bring rating down to company. If that happens, they say we told you so and if it does not then they say nothing....They should publish data on how many time they bring down the rating and it does not happen.
    16 Apr 2012, 03:13 PM Reply Like
  • KJP712
    , contributor
    Comments (449) | Send Message
     
    So much for the downgrade,the stock is up for the day.Thanks Moody's.
    16 Apr 2012, 11:00 PM Reply Like
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