I'm waiting for a new Ericsson phone. Hey, if Nokia can do it...
Apologies, fr3nchmodel. I couldn't resist.
Corporate buybacks are covered by Rule 10b-18.
Manner of purchase: The issuer or affiliate must purchase all shares from a single broker or deal during a single day.
Timing: An issuer with an average trading volume less than $1 million per day or a public float value below $150 million is unable to trade within the last 30 minutes of trading. Companies with higher average-trading-volume or public float value can trade up until the last 10 minutes.
Price: The issuer must repurchase at a price that does not exceed the highest independent bid or the last transaction price quoted.
Volume: The issuer can't purchase more than 25% of the average daily volume.
Investopedia has the full breakdown. A company doesn't have to buy back shares, even if they have a buyback authorized. Totally up to their discretion. Nokia has had buybacks in place for the last 5 years at least, and only acted on it once or twice. Sometimes they authorize a buyback just for the headline effect. Gives the stock a little pop on announcement, even before the company starts actually buying shares.
Yep - it's that kind of trade. Meanwhile, IMHO there are more productive uses for that capital. But if ya got the stock already and don't want to sell, tuck it away and check back in a year or two.
I wonder if the Huawei folks will pull a "Howard Waliwitz" ala The Big Bang Theory and use the arm for nefarious purposes.
"This too shall pass." Nokia will recover but it's a different company now. Back when Nokia was in mobile, even when they were failing (after a long run as the king), there was always the hope for a return to dominance. Or even just carving out a slice of the profits without owning the space. The potential for dynamic gains was always there, even if it was a long shot. Today's Nokia is in a less dynamic industry. More of a "grind it out" business. If Nokia avoids stepping on their Johnson and simply executes on their strategy I can see the stock at $10-$12 in 3-5 years. The question becomes, what do you do with it in the meantime?
Another nice day for the shorts. They're getting squeezed all right - longs are squeezing the orange juice for shorty's mimosas.
Speaking of Eagles - did you see the baseball game before which the local zoo brought two bald eagles to fly over the stadium before the game? One landed by the trainer at the pitcher's mound but the other took off! Ironic that as we celebrate our freedom this eagle decided to exercise his. And in yet another twist, the self-liberated raptor landed in the parking lot and waited for the trainer to collect him and take him back to the zoo.
Maybe this price target needs another revision. How about $5.50? Or maybe we bag the whole price trigger and just go for a nice meal, darn the share price. Maybe we can scare up a little '82 Pichon LeLand or a nice '84 Pomerol.
But sold to whom? And for how much (or how little)? I think they'll end up just closing it down and selling off the IP that relates to manufacturing.
BlackBerry can survive, but they'll probably never thrive again. Insanely poor management made some disastrous decisions, and those decisions were executed as poorly as they could have been. This will be a $3-$4 company going forward once they have sold or closed their handset manufacturing business.
I'm not surprised the ADRs are trading at a small premium to parity. The Euro has been hammered lately and a lot of smart people are betting that it's overdone. Trading the ADRs is trading the stock and currency at the same time.