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Nokia Share Soars after First Quarter Beats Expectations

Nokia`s shares went up 4.6 percent, after the cell phone maker reported that its phone prices in the first quarter were above previous expectations, making Nokia`s stock value the highest in more than two years. The share stands goes for 17.75 in Europe.

Nokia said Tuesday that the average selling price for its handsets in January-March was 103 ($124.80). In January, it said it expected ASPs in the period to be at best 99. Analysts polled by Reuters had expected an ASP of 98. Nokia`s raised forecast reflected a smaller-than-expected proportion of cheap phones in the total sales mix during the quarter, it said in a statement.

At the end of last month, Nokia raised its global market growth forecast for this year to 15 percent or more from the 795 million units sold by handset makers in 2005. "Generally, the market itself is strong," said Andrea Williams, head of European equities at Royal London Asset Management.