Deutsche Telekom at a Crossroads: Buyback Support Fades as T-Mobile US Steps Up and Merger Talks Linger
Published on 06/25/2026 at 10:05 | Redaktion boerse-global.de
The shares of Deutsche Telekom are walking a tightrope as a critical support mechanism expires just as the stock flirts with its 52-week low. The second tranche of the company’s buyback programme closes on 30 June, removing a steady buyer from the market at a time when the German telecoms giant is already under heavy selling pressure. At €26.48, the stock is only just above the recent trough of €25.71, a level not seen in a year.
The 30-day decline of roughly 9% has been partly cushioned by the share repurchases. Since April, Deutsche Telekom has snapped up nearly 17 million of its own shares under a €550 million tranche. From July, that buffer vanishes. The timing is awkward: the broader sector is struggling under persistently high interest rates, which raise refinancing costs for capital-intensive projects like fibre rollout. Deutsche Telekom must balance those investments with a stable dividend policy, and the absence of buyback support leaves the stock more exposed to selling pressure.
Yet the operational picture tells a different story. MagentaTV has been riding a wave from the ongoing football World Cup, with 36 million viewers tuning into group matches in the first seven days. The France?–?Senegal game set a new record with 6.5 million viewers. This momentum contributed to first?quarter results that saw adjusted operating profit climb by over 7%, prompting management to lift the full?year guidance to around €47.5 billion in operating earnings.
Should investors sell immediately? Or is it worth buying Deutsche Telekom?
Across the Atlantic, T?Mobile US is injecting its own catalysts. The subsidiary is offering the Apple iPhone 17 for free to new customers and certain upgrade plans during the Amazon Prime Days from 23 to 26 June, a bid to capture market share in a saturated US wireless market. At the same time, it is bracing for Tropical Storm Arthur, which is heading for the Gulf coast. Emergency plans are in place to protect network infrastructure in Texas and Louisiana.
Technical indicators suggest the stock is oversold. The Relative Strength Index sits at 32.9, a level that often attracts bargain hunters. The current counter?move is being interpreted by some market observers as an attempt to prevent a slide towards the €25 mark. However, the shares remain well below their 50?day moving average of €28.03, and the 200?day average at €28.91 represents any realistic recovery target if the €26 support holds.
Clouding the outlook is speculation about a potential merger with T?Mobile US. The talk is of a multinational holding company with a dual listing in the US and Europe, but the hurdles are formidable. The German government and KfW together own roughly 28% of Deutsche Telekom, and their blessing is far from assured. These rumours have added to the stock’s recent weakness, diverting attention from the solid underlying business.
Investors now have two key dates on their calendars. On 6 August, Deutsche Telekom releases its second?quarter figures, which will provide a fresh read on operational momentum. Until then, the share price is caught between fading buyback support, T?Mobile US promotions, storm risks and merger uncertainty. The €26 level has become the near?term battleground; a decisive break below it could open the door to further losses, while a successful defence might set the stage for a recovery towards the 200?day average.
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