As Nokia continues to struggle in the smartphone market and its tie up with Microsoft has yet to pay off, analysts are looking at a very tough year for Nokia. Analysts have cut pricing targets for the struggling phone maker’s stock after Nokia forecasted a larger than expected loss for its current quarter. The current profit warning from the phone maker stems from the fact that Nokia is having to deeply discount its new Lumia smartphones to get carriers to purchase.
Reuters reports that at least 10 brokerages cut price targets on Nokia stock today. The stock cuts come after Nokia warned that it planned to cut 10,000 jobs recently. Nokia also recently sold its high-end Vertu line of smartphones that sold for big money thanks to jewel encrusted designs and precious metals.
We don’t know exactly how much Nokia made off the sale of Vertu, but the sale is rumored to have been in the area of $200 million to a private equity firm called EQT VI. Reuters reports that Wedbush Securities analysts cut their price target on Nokia to $2.50 from $3.25. Nokia is unanimously predicted to be in a “transitional” year for the remainder of 2012 and possibly even longer.