Nov. 22 (Bloomberg) -- Nokia Oyj rose to its highest level in almost three months as Danske Bank A/S recommended buying the stock and after three block trades lifted the unprofitable Finnish mobile-phone maker’s U.S. shares 12 percent.
Nokia shares climbed 1.3 percent to 2.52 euros at the close in Helsinki, the highest level since Aug. 27. The Stoxx Europe 600 Index advanced 0.6 percent.
The stock has risen for four straight days amid signs that the Espoo, Finland-based company’s new Lumia smartphone is in demand, which may help revive Nokia’s sales and challenge the iPhone and Android devices. Danske Bank analyst Ilkka Rauvola raised his recommendation on the shares to buy from sell today.
“Nokia’s Windows Phone model 920 is doing better than expected, and the outlook may continue to improve,” Rauvola wrote in a note to clients, adding he expects 36 million smartphones using Microsoft Corp.’s Windows Phone 8 software like the Lumia to be sold in 2013, up from an earlier estimate of 23 million devices.
Nokia’s American deposit receipts surged yesterday after three block trades totaling 4 million shares helped lift the stock above its 200-day moving average for the first time in 33 months. Trading volume today in Helsinki was 61.9 million shares, almost double the three-month average.
Nokia on Nov. 19 said it received reports that its new Lumia 920 smartphone had sold out in Germany. Such reports may reflect “Nokia’s small initial volumes,” according to Rauvola.
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