Can Nokia's DDoS Security Expansion in Spain Boost Its Profits?

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Can Nokia's DDoS Security Expansion in Spain Boost Its Profits?

Nokia Corporation NOK has strengthened its network security business in Spain with ESpanix, the country’s largest Internet exchange point, by deploying the Deepfield Defender solution across Madrid and Barcelona platforms. The initiative expands the reach of the company’s distributed denial-of-service (DDoS) protection technology to more than 200 national and international networks connected to ESpanix.

Nokia’s network security technology combines artificial intelligence (AI)-powered network analytics with its Deepfield Secure Genome security intelligence to detect and mitigate DDoS attacks within seconds. It provides automated, network-based protection that removes malicious traffic while allowing legitimate data to continue flowing, helping networks respond to increasingly sophisticated cyber threats.

The company’s solution delivers security directly within network infrastructure. It enables ESpanix to mitigate attacks without redirecting traffic to external scrubbing centers, which helps keep Spanish Internet traffic and security operations within the country. This supports data-sovereignty objectives while helping to address growing European requirements for secure and resilient digital infrastructure.

The latest deployment expands Nokia’s existing relationship with ESpanix and demonstrates the scalability of the company’s Deepfield portfolio across multiple networks through a single Internet exchange platform.

How Are Competitors Advancing in the Network Security Domain?

Nokia faces stiff competition from Ericsson ERIC and Cisco Systems, Inc. CSCO. Ericsson is improving network security for 5G and next-generation networks. The company is incorporating Zero Trust principles and AI-driven security into network operations. Ericsson is developing security solutions to protect AI-enabled and autonomous networks.

Cisco is expanding its cybersecurity portfolio to protect networks, cloud environments and applications. The company is using AI-powered technologies to help organizations detect and respond to cyber threats. Cisco is also developing security solutions to protect AI applications and agents from emerging cyber threats.

NOK’s Price Performance, Valuation & Estimates

Nokia shares have soared 109.3% over the past year compared with the industry’s 20.1% growth.

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From a valuation standpoint, Nokia trades at a forward price-to-sales ratio of 2.20, below the industry tally of 4.78.

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Earnings estimates for 2026 have decreased 2.5% to 39 cents over the past 60 days, while those for 2027 have remained static at 50 cents.

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Nokia currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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Nokia Corporation (NOK): Free Stock Analysis Report
 
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This article originally published on Zacks Investment Research (zacks.com).

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