Corning Incorporated GLW and Nokia Corporation NOK are key players in global fiber-optic and network infrastructure markets, benefiting from the growing demand for broadband, AI-driven data traffic and next-generation connectivity solutions. Corning is a leading innovator in the glass substrate industry, pioneering Gorilla Glass technology. In addition, the company manufactures fiber, cable and optical connectivity products for next-generation telecom networks. It also manufactures glass substrates for LCD and PC displays, automotive glass solutions and laboratory equipment, as well as specialty materials, including formulations for glass, glass ceramics and fluoride crystals for specific industrial and commercial applications.
Nokia is a premier telecommunications equipment provider, supporting businesses’ digital transformation at the network edge through both 5G connectivity and cloud-native applications and capabilities. It has been developing its 5G portfolio, strengthening AirScale and advancing the capabilities of its ReefShark chipset. Nokia’s extensive portfolio consists of around 20,000 patents, among which 7,000 are essential for 5G.
With domain-specific expertise in core areas, both Corning and Nokia are well-positioned to cater to the evolving network connectivity demands of business enterprises. Let us delve a little deeper into the companies’ competitive dynamics to understand which of the two is relatively better placed in the industry.
The Case for GLW
The fiber optic solutions business is likely to be the key growth driver for GLW, aided by the increasing use of mobile devices that require efficient data transfer and networking systems. Supporting this trend is the proliferation of clouds, resulting in increased storage and even virtual computing. Since both consumers and enterprises are using networks more extensively, and the generated data is increasingly being used to train AI models, there is a solid demand for Corning’s innovative optical connectivity products for generative AI applications.
Data consumption patterns are changing, with a growing propensity to consume video content, creating the need for faster data transfer. Since optical networks are more efficient and most existing networks are copper-based, the demand for optical solutions is particularly strong. Corning offers several products focused on the data center, with a portfolio consisting of optical fiber, hardware, cables and connectors, enabling it to create optical solutions to meet evolving customer needs.
GLW’s operating structure has been reorganized to align executive management and business teams around five Market-Access Platforms to unlock opportunities for valuable synergies. These include Mobile Consumer Electronics, Optical Communications, Automotive, Life Sciences and Display. Corning has a leadership position in each of these markets, which, along with focused marketing efforts, has proved conducive to growth. The reorganization has increased efficiency by creating the opportunity to reuse assets and capabilities developed for customers in one market ecosystem to serve customers in another.
However, end market diversification is limited within the Display and Optical segments, which account for more than half of total revenues. Since the Display Technologies and Specialty Materials segments are primarily dependent on consumer spending, particularly on LCD TVs and mobile PCs, this narrows down the market. Building a significant market position in China amid a bitter U.S.-China trade relationship, with heightened risk of the imposition of tariffs, can adversely impact its operations.
The Case for NOK
Nokia facilitates its customers to move away from an economy-of-scale network operating model to demand-driven operations by offering easy programmability and flexible automation needed to support dynamic operations, reduce complexity and improve efficiency. The company seeks to expand its business into targeted, high-growth and high-margin vertical markets to address growth opportunities beyond its traditional primary markets.
Its installed base of high-capacity AirScale products, which enables customers to quickly upgrade to 5G, is growing fast. The company is driving the transition of global enterprises into smart virtual networks by creating a single network for all services, converging mobile and fixed broadband, IP routing and optical networks with the software and services to manage them. Leveraging state-of-the-art technology, Nokia is transforming the way people and things communicate and connect. These include a seamless transition to 5G technology, ultra-broadband access, IP and Software Defined Networking, cloud applications and the Internet of Things.
Nokia is reportedly the only global supplier offering Open Radio Access Network (O-RAN) with commercial 5G Cloud-RAN networks. The company intends to accelerate strategy execution, sharpen customer focus and reduce long-term costs. At the same time, it is focused on building a strong, scalable software business and expanding it to structurally attractive enterprise adjacencies. Nokia’s C-Band portfolio supports 5G standalone and non-standalone networks, cloud-based implementations and O-RAN products.
Nokia's Mobile Infrastructure business is facing intensifying competition in some accounts as rivals seek to take share in the early stage of 5G. Some of its customers have reevaluated their vendors in light of security concerns, creating near-term pressure for the company. Nokia’s plan to improve its research and development productivity and reduce support function costs is dependent on the successful execution of its cost savings program.
How Do Zacks Estimates Compare for GLW & NOK?
The Zacks Consensus Estimate for Corning’s 2026 sales implies a year-over-year rise of 13.9%, while that for EPS indicates growth of 26.6%. EPS estimates have been trending northward (up 2.6%) on average over the past 60 days.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Nokia’s 2026 sales suggests year-over-year growth of 7.5%, while that for EPS implies a rise of 21.2%. The EPS estimates have been trending northward (up 2.6%) over the past 60 days.
Image Source: Zacks Investment Research
Price Performance & Valuation of GLW & NOK
Over the past year, Corning has surged a stellar 321.7% compared with the industry’s growth of 420.2%. Nokia has gained 158.8% over the same period.
Image Source: Zacks Investment Research
Corning looks more expensive compared to Nokia from a valuation standpoint. Going by the price/sales ratio, Corning’s shares currently trade at 8.69 forward sales, significantly higher than 3.04 for Nokia.
Image Source: Zacks Investment Research
GLW or ANET: Which is a Better Pick?
Both Corning and Nokia carry a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Both companies expect their sales to improve in 2026. In terms of price performance, Corning has outperformed Nokia, although it is trading relatively more expensively compared with the latter. With exposure to long-term trends (data centers, telecom infrastructure and advanced glass), GLW appears to be a better investment option at the moment.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Nokia Corporation (NOK): Free Stock Analysis Report
Corning Incorporated (GLW): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).