1. Nokia bought back 3.8 million shares at €4.93 each. 2. Share buyback aims to offset dilution from Infinera share issuance. 3. Total buyback program targets €900 million for 150 million shares. 4. Nokia now holds over 194 million treasury shares. 5. Buyback initiative supports share price and investor confidence.
Share buybacks generally signal financial strength, similar to previous Nokia buyback initiatives that boosted share prices. Historical evidence shows companies that engage in buybacks typically see an increase in stock valuation due to reduced supply and increased demand.
The share buyback program is a significant event, directly affecting NOK's market capitalization and investor sentiment. This planned repurchase is substantial enough to influence trading dynamics in the short term.
The immediate market reaction to the buyback is likely to be positive, boosting NOK's price in the short term as investors respond favorably. Past buybacks have shown immediate increases in stock appreciation over a few weeks as market sentiment adjusts.