The price of shares of technology company Nokia (NYSE:NOK) hit its 52-week high in January 2021, due primarily to Redditors' interest in the name. Although the stock has performed well so far this year, the question is can it continue to rally on the back of its solid financials? Read on to learn more.Nokia Corporation’s (NOK) is one of the leading companies in the telecommunications equipment industry. Its shares soared to hit their 52-week price high of $9.79 on January 27, 2021, driven by the meme frenzy. However, the Finland-based company’s fundamentals are also strong. It generated EUR 77 million ($90.81 million) in free cash flow (FCF) in the second quarter, representing its fifth consecutive quarter of positive FCF.
The stock has gained 56.5% year-to-date and 28.8% over the past three months to close Friday’s trading session at $6.12.
Hedge funds have been scooping up its shares lately, which is no surprise given the increasing demand for NOK’s products and services worldwide. For example, Vocus, Australia’s leading fiber and network solutions provider, deployed the company’s solution to set up its 200G optical network. The United Group also chose NOK’s solutions on August 11 to deliver its cloud-native core network products in Bulgaria, Croatia, and Slovenia. Furthermore, NOK has revised its full-year outlook. Its net sales are now expected to come between EUR 21.70 billion ($25.59 billion) and EUR 22.70 billion ($26.77 billion). So, its near-term prospects look promising.