Alcatel-Lucent: A Tech Rally That's Fraught With Risk

With shares of Alcatel-Lucent having shot up more than 60% in the past several months based on some recent positives for the company, including a $2.1 billion line of financing secured from Goldman Sachs and Credit Suisse, investors are wondering if this rally will last long and prove sustainable. In this video, however, Motley Fool tech and telecom analyst Andrew Tonner tells us his view on why Alcatel-Lucent faces a lot more negatives than positives in the long run and why being part of this rally as an investor could be risky.

One company that Andrew mentions that's facing similar headwinds but taking a different approach is Nokia. Nokia's been struggling in a world of Apple and Android smartphone dominance. However, the company has banked its future on its next generation of Windows smartphones. Motley Fool analyst Charly Travers has created a new premium report that digs into both the opportunities and risks facing Nokia to help investors decide if the company is a buy or sell. To get started, simply click here now.

The article Alcatel-Lucent: A Tech Rally That's Fraught With Risk originally appeared on Fool.com.

Andrew Tonner has no position in any stocks mentioned, and neither does The Motley Fool. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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