Shares of Nokia (NASDAQ: NOK) surged 25% yesterday after Nvidia (NASDAQ: NVDA) announced a $1 billion strategic investment to accelerate AI-powered 6G infrastructure development. The stock rocketed from $6.41 to an intraday high of $8.19 on extraordinary volume, 122.7 million shares traded at peak, roughly 10 times normal daily flow.
But today, Nokia has pulled back to $7.36, shedding 7.7% from its peak while still holding a 15% gain from pre-announcement levels. The move reflects both genuine enthusiasm for Nokia’s AI infrastructure positioning and the natural profit-taking that follows a parabolic one-day surge.
Reddit Sentiment Turns Decidedly Bullish on Strategic Validation
Online investor discussion around NOK has shifted decisively positive following the Nvidia partnership announcement. Reddit sentiment scored 81 out of 100 on October 29, up from a baseline of 75 before the news broke. The main post announcing the partnership garnered 338 upvotes across r/stocks, with investors viewing the $1 billion stake as validation of Nokia’s pivot toward AI and telecommunications infrastructure. Broader Nvidia sentiment remains exceptionally strong at 76 to 82 across multiple threads, with one post stating “NVIDIA just speed-ran like 5 partnerships today” accumulating 1,072 upvotes, reflecting investor excitement around the chip giant’s ecosystem expansion.
The bullish case centers on three concrete factors.
- First, Nvidia’s investment legitimizes Nokia’s 6G strategy and positions the Finnish company as essential infrastructure for the next generation of mobile networks.
- Second, T-Mobile U.S. is already integrating these AI-RAN technologies into its 6G roadmap, signaling real near-term commercial traction.
- Third, Nokia’s quarterly revenue grew 11.6% year-over-year in Q3 2025, demonstrating momentum in its core business despite earnings declining 67.7% on a year-over-year basis.
Trading Volume Explodes While Valuation Questions Linger
The stock’s dramatic intraday action reflects both conviction and caution. Trading volume hit 122.7 million shares during the 12 p.m. ET announcement window on October 28, dwarfing typical daily volume. NOK now trades at $7.96, well above the $6.47 analyst consensus price target, compressed into a forward P/E of 13.19 from a trailing 40.89. That valuation gap suggests the market is pricing in significant near-term earnings growth tied to AI infrastructure deployment.
The pullback from $8.19 to current levels reflects profit-taking rather than sentiment reversal. Over one month, NOK has surged 65.49% from $4.81, and year-to-date gains now stand at 78.48%. Investors should monitor whether Nokia can sustain momentum or whether the stock consolidates near current levels as the initial excitement settles.
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