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Blue chip companies that stumbled badly — and are starting to recover — are still the best values available to investors today. Nokia (NOK) is a new addition to our list of fallen angels. It has great potential that I think you should consider.

Many readers may remember Nokia for the popular cellphones they produced many years ago. The Finnish company led the industry with innovative designs, reliability, and ease of use.

Nokia made the transition from analog phones to digital phones with ease. However, the company failed to adequately take the next big step to smart phones with cameras, internet browsers, and entertainment capabilities. As a result, Nokia’s products all but disappeared from the cellphone market.

Nokia then followed a path that many companies take when they find themselves — and their products — out of date. The company decided to reinvent itself. Old managers and weak operations were eliminated.

New blood was brought in to revitalize the company and lead it in new directions. The new management promptly sold Nokia’s cellphone business and expanded into the much broader — and more profitable — field of telecom equipment.

Nokia is now a competitive player in the telecom equipment industry. After its early struggles with 5G networks, the company appears to be on track for 2021 net sales to reach $25.6 million, with profit margins of 7% to 10%. Return on invested capital should come in between 10% and 15%. Last year, net sales were the same — but the profit margin was only 4%.

I think Nokia is another recovering fallen angel that you should consider for your long-term accounts. We are early birds with the company. However that’s the right place to be if — as I believe — Nokia is starting to turn itself around.