Is Now Really The Best Time To Invest In Nokia Oyj (ADR) (NYSE:NOK)?

The most recent quarter has proved to be one of the worst yet for tech giant Nokia Oyj (ADR)(NYSE:NOK).Before the announcement of their financial position, the company was enjoying a bull run with their share price rising steadily from $4 in November 2016 to about $6.5 in August 2017.However, this positive trend has been negated by news on their poor financial performance over 2Q2017 which saw their revenues and profits fall significantly.As such, their share price, over the curse of one week, fell from $6 to $4.97 with the sell-off being quite significant as exemplified by the traded volumes.You can view the chart below to view this trend: NOK Daily ChartThis plummeting of their share price has led investors to take a keen look at their financial position and strategy in a bid to understand when they should expect the company to bounce back to its former glory. For investors with similar questions, we’ve got you covered.This article will review the company for you and conclude by giving you our opinion on its current and future position. We will also detail our opinion on the bullish or bearish expectations on the stock and the time frame we are attaching to these market movements, all in a bid to ensure any reader has a comprehensive view of the company and makes informed investment decisions.That being said, let us dive right into the topic at hand.Nokia Corporation: Then and NowFounded in 1865 and is headquartered in Espoo, Finland, Nokia Corporation together with its subsidiaries, provides network infrastructure and related services worldwide. The company operates through three segments: Ultra Broadband Networks, IP Networks and Applications, and Nokia Technologies and offers a wide range of networking solutions including fixed networking solutions and software solutions.Over the past, the company has grown into a formidable force within the tech space with its presence being felt globally. Its market share currently stands at over $29 billion despite the current turmoil that is rocking them. This strong financial base has been idiosyncratic with its name over the years and, despite significant hiccups, is not expected to be lost anytime soon.Recent DevelopmentsThe BadAs earlier stated, the company has been rocked by a series of negative releases that have led to the downturn in its share price. However, this hasn’t just began.The downturn can be traced back to the acquisition of Alcatel-Lucent in 2016. Alcatel-Lucent is a French company that operated in the communication space. The company provides communication solutions to enterprises with their reach being felt in many countries globally.During the acquisition formerly detailed, Nokia signed an agreement that their research and development (R&D) wing in France would hire a total of 2,500 employees by 2018. This agreement needed to be held for their operations in the country to continue.Well, this deal has come back to haunt them.Nokia announced in September that they will be laying off 600 employees in France by the end of 2019 in a bid to increase efficiency associated with lower operating expenses.This move has the French government and trade unionists within France up in arms as it negates the significant job creation that was intended through the hiring of 2,500 workers. However, the company seems to hold on to their stand.Secondly, their financial position deteriorated over this period with their revenues falling 7% from €5.9 billion to €5.5 billion. This was due to the attributed to sluggish demand for Ultra Broadband Networks equipment in major markets like North America and China as well as the increase in competition. Their cash position also fell by 30% to €6.5 billion from €9.3 billion, exacerbating the situation further.This poor run curtailed by their increase in profits which stood at €516 million from €264 million, a 95% jump. This profit, however, was as a result of adjustment for the low tax rate which, if similar to past periods, would have had negative ramifications on their net income.The gloom in this quarter seems to have had its toll on the company. However, management stands hopeful of an upside in the periods to come.The GoodDespite the above, the hiring of the 2,500 workers will mitigate the downside associated with this move in the long run.The R&D division is currently venturing into the Digital Health space. The space which is currently valued at $196.3 billion presents one of the largest opportunities for the company as forecasts show it standing at a near $550 billion in 2015.Nokia’s management believe that the hiccups which have been seen in the current period are only short term and that their investment will pay-off in a manner so significant for the shareholders that their upside is nearly limitless.The GreatOnto the best part, NOK has partnered with Bosch to provide logistic solutions for the automotive giant.This is, however, not the best part yet.The expected solutions are within a field Nokia is heavily invested in: The Internet of Things. Given that this field is expected to grow at a 27.8% annually from $100 billion in 2016 to $950 billion in 2025, this presents NOK with one of their best deals yet. They are currently testing the new system in the Middle East, and Africa, with a commercial rollout of the solutions expected in early 2018.The success of such a platform will setup the company for success within this space as well as ensure its entry into the logistics sector which, at present, is also growing ever so constantly year on year.In other great news, the company has launched a new $115 smartphone.In times when smartphone prices average at about $580, the new Android-based phone dubbed Nokia 2 will come to venture into this market using the low-price strategy while maintaining the same old features of a smartphone. This is, moreover, exemplified by its excellent battery life as the phone is expected to last 2 days on a single charge. This feature will be a major selling point for the gadget which is expected to begin delivery in 2018.Final Word of AdviceThe above piece details quite a number of expectations, positive and negative, that have ramifications on the performance of the company. Our final tally on their impact is as follows:The company will be negatively impacted by the layoffs and hiring process and this is bound to impact their net income position negatively over the short term. However, over time, they will stabilize and this position will get back up.The new investments detailed in the good and great, despite exemplifying the company’s futuristic aspects, will have a more significant impact on their long-term performance than their short-term one.As such, despite having a bullish outlook on the company, this outlook has more of a long term bearing than short. As such, investors planning to put their money in NOK would be well advised in not expecting a lot in the short term, rather, long term investors would benefit more from putting their money in this share as value creation then will be synonymous with the Nokia name.ConclusionNOK has had its fair share of gloom in the recent past, however, the distant future looks bright for them. Long term investors will benefit quite a lot from putting their money with NOK as the value creation they are aiming at is unmatched.We will be updating our subscribers as soon as we know more. For the latest updates on NOK, sign up below!Disclosure: We have no position in NOK and have not been compensated for this article.