Nokia Siemens joint venture unit to be sold
Nokia Corporation (ADR)(NYSE:NOK) Siemens Networks, a joint venture between Finnish Company Nokia and the German major Siemens AG is planning to sell its business support systems unit and is in talks with potential buyers. Chief Executive Officer Rajeev Suri refused to divulge any names, only mentioning that the company’s telecom applications business is also on the block. A few days earlier, an insider had claimed that Ericsson is in the forefront for buying the business support systems unit. Shares of NOK are up 5.50%.
Nomura upgrades Sprint
An upgrade of Sprint Nextel Corporation(NYSE:S) shares by Mike McCormack, analyst at Nomura Securities led to a rally in the stock on Monday. The analyst replaced the earlier ‘neutral’ stance with a ‘buy’ call as he believes the company’s promise that the ongoing revamp of its network will result in huge savings. He has also raised the target price of the stock from $2.5 to $7.
Will Sprint Continue To Move Up? Find Out Here
Although the company has been losing money for years, the analyst feels that it is now taking concrete steps to improve margins. Also, price wars in the industry have reduced considerably.
Shares of the company rose to $5.25 at noon and are close to the year’s high of $5.49. Today, the stock is down 1.65%.
Apple’s iPhone 5 and the U.S. economy
Meanwhile, Apple Inc.(NASDAQ:AAPL) is likely to launch the iPhone 5 this week. The event is significant not only for the company, but also for the economy of the country. According to Reuters, an economist from JP Morgan has said that the new smartphone could push the nation’s GDP by a whopping $3.2 billion in the fourth quarter. This adds between 0.25 and 0.5 percent to the annualized growth of the fourth quarter, says JP Morgan’s chief economist, Michael Feroli. The California based company is expected to sell eight million units of the iPhone 5 at $600 per piece in the fourth quarter.