Nokia Share Repurchase Program Launch Results in 6% Stock Drop
Nokia Share Repurchase Program Overview
The board of directors authorized Nokia to spend $650 million on share buybacks, leading to a significant stock price decrease. Investors often view such programs positively, anticipating value creation.
New Buyback Program Initiation
Nokia commences share repurchases in Finland only, signaling the start of a two-year, $653 million initiative. The U.S.-listed stock is excluded from this approach, with the first phase set to begin on March 20.
The Company's Future Direction
Nokia's focus on optimizing capital structure raises concerns among investors awaiting growth strategies. Once a key player in the industry, Nokia has shifted towards buybacks, impacting its status in the market negatively.
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