Nokia Corp (ADR) (NYSE:NOK) is all set to release earnings for Q3 tomorrow morning before market open, with a call to follow at 8:00 a.m. Meanwhile, BMO analyst Tim Long is outlining his expectations for the telecom-equipment maker.

Long wrote, “We are in line with consensus on both revenue and EPS for the December quarter. For Networks, we model revenue declines of 10% in the quarter, only a touch better than the decline we saw in June. For the December quarter, we are slightly below the Street on both revenue and EPS, with a weaker outlook for Networks. We recently updated our Global Infrastructure Model, which implies slightly worse performance of global operator capex. However, we do not expect the numbers to come down as much as they have for rival Ericsson, which reported last week, given Nokia’s lower wireless exposure.”

“Nokia’s licensing agreement with Apple is set to expire, and we believe Nokia will no longer be able to collect an estimated €150 million per year. While the expiration of the contract seems like a negative at the surface, we see the event as an opportunity to renegotiate to more favorable rates, particularly following the better Samsung deal and Ericsson’s transaction with Apple,” the analyst added.

Overall, Long reiterates an Outperform rating on shares of Nokiawith a price target of $7.00, which implies an upside of 36% from current levels.

According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Tim Long has a yearly average return of 5.6% and a 56% success rate. Long has a -27% average return when recommending NOK, and is ranked #597 out of 4197 analysts.

Out of the 19 analysts polled by TipRanks, 15 rate Nokia Corp stock a Buy, while 4 rate the stock a Hold. With a return potential of 31.5%, the stock’s consensus target price stands at $6.78.