Deutsche Telekom: Analysts Call the Selloff Overdone as a $320 Billion Rumor Swirls Around T-Mobile US
Published on 07/06/2026 at 16:31 | Redaktion boerse-global.de
Deutsche Telekom's stock is caught between two opposing narratives. On one hand, investment bank UBS argues the recent plunge has gone too far, dismissing takeover fears that knocked the shares to a 52-week low in June. On the other, a market rumor involving Elon Musk’s SpaceX and a potential $320 billion buyout of T-Mobile US has reignited speculation about the German group’s prized American subsidiary.
In early Monday trading, the stock was quoted at 25.34 euros before climbing to 25.46 euros in Xetra trading, a gain of 1.03% from Friday’s close of 25.20 euros. Weekly advances ranged between 1.81% and 2.29%, depending on the data point. The recovery comes after the equity hit a trough of 23.54 euros on June 30, its weakest in 52 weeks, and remains more than 26% below the 2026 peak of 34.35 euros set on February 27.
UBS analysts pushed back against the notion that a full takeover of T-Mobile US is imminent or even desirable. The parent already owns 54% and exercises operational control; a full buyout would add little strategic value while facing steep regulatory hurdles, they argue. The bank warns that the market’s focus on M&A chatter has obscured the underlying operational strength of the group. That message appears to be gaining traction as investors revisit the fundamentals.
Should investors sell immediately? Or is it worth buying Deutsche Telekom?
The operational picture is itself shifting. T-Mobile US is winding down its legacy 2G network on August 3, 2026, freeing up spectrum for 5G and forcing millions of customers onto modern plans. The move, seen by analysts as a response to rising competition from satellite-based services, is designed to streamline IT and improve average revenue per user. Closer to home, Deutsche Telekom is cementing its dominance in the German fiber market. According to the manager magazin, the company’s rollout costs in Germany are up to seven times higher than in Spain, but many smaller rivals are losing ground. The group is exploiting that weakness to expand its infrastructure, raising talk of a renewed monopoly in its home market.
A €560 million share buyback running from July 1 to the end of September is providing a further prop. The program, part of a planned total of up to €2 billion in repurchases for the full year, reduces the free float and offsets selling pressure. Deutsche Telekom will release its second?quarter and half?year results on August 6, which should clarify whether operating momentum in Germany and the US can finally push the M&A distraction into the background.
Technically, the stock remains in a fragile position. It trades roughly 11.5% below its 200?day moving average of 28.76 euros and about 8% under the 50?day average. The relative strength index (RSI) hovers around 39, signaling oversold rather than overheated conditions. That leaves room for further short?term gains if positive catalysts emerge, but the chart has yet to confirm a genuine trend reversal.
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