Nokia Oyj's stock surged 5.05% during Monday's intraday trading session, marking a significant rebound for the telecommunications equipment maker.

The sharp rise was driven by a dual catalyst of positive analyst sentiment and new business validation. Bank of America recently raised its target price on Nokia from €14.4 to €15.6, representing an approximately 8.3% increase and signaling a positive outlook for the company. Simultaneously, Belgium's Orange selected Nokia to upgrade its optical network infrastructure, aiming to secure 5G leadership while delivering quantum-resistant security and AI-grade network capabilities.

The combination of the investment bank upgrade and fresh commercial order helped restore market sentiment for Nokia, which had previously experienced a cumulative pullback of over 15% due to institutional shareholder changes and profit-taking. The movement also occurred amid broader strength in optical communication stocks during the trading session.