Nokia (NYSE: NOK) reported Q2 2026 revenue that exceeded expectations by 14%, with AI and cloud business revenue doubling. This marks the third consecutive quarter of better-than-expected results, leading analysts to believe its operational transformation is genuinely effective. The company's stock price has risen by 7.2% over the past month, closing up 2.7% at $10.03 last Friday.

Commentary noted that Nokia's stock surged to $17.45 earlier this year, primarily driven by its partnership with NVIDIA and retail investor speculation, rather than recurring revenue. The company plans to close almost all its mainland China sites by the end of 2026 and is betting on its AI-RAN pilot project achieving commercial scale by 2027 to support its future growth.