Nokia Shares Outperforming Despite Negative Morgan Stanley Note

Shares of Nokia

are up more than 2 percent Monday morning in the face of a seemingly concerning note from a Morgan Stanley analyst earlier. The firm warned Nokia's portion of the global handset market could fall to just 16 percent this year. Challenges in Nokia's feature phones segment will likely continue, according to Morgan Stanley, as the presence of low-end Android devices as well as Samsung's Rex will begin to emerge. Without a significant strategic shift, the firm believes Nokia will remain marginalized in the smartphone segment. Morgan Stanley suggested several major long-term risks remain for Nokia. The firm maintains an Underweight rating on shares of Nokia.