Deutsche Telekom Keeps Spending on Network and Buybacks as Stock Languishes Near Year Lows
Published on 07/09/2026 at 09:33 | Redaktion boerse-global.de
The Bonn-based telecoms group is running a two-pronged strategy: buy back its own shares at depressed prices while pouring money into network infrastructure that rivals have abandoned. Between 1 and 3 July, Deutsche Telekom repurchased 908,705 of its own shares on the Xetra electronic trading platform for a total of approximately €22.48 million. That activity forms part of a larger buyback programme that allows the company to spend up to €560 million by the end of September, with a total envelope of €2 billion available through the end of 2026. The rationale is straightforward: fewer shares in circulation should mechanically lift earnings per share.
Meanwhile, the company continues to push ahead with network expansion. In May alone it switched on 83 new mobile sites across Germany. In the town of Nachrodt-Wiblingwerde, Deutsche Telekom has stepped in to rescue a fibre-optic project that a competitor had halted due to lack of funding. Around 2,000 households and businesses will now receive connections, with construction expected to begin by October. The group is also betting on events to showcase its 5G capability: at this summer’s Lollapalooza festival in Berlin, MagentaTV will stream selected concerts for free, backed by an additional mast that will handle the heavy data load. Last year the event saw 13,000 gigabytes of traffic.
None of this operational vigour is translating into a rising share price. The stock closed Wednesday at €25.54, a modest 8.5% above its year low of €23.54 touched on 30 June. Over the past 12 months it has fallen 17.88%, and since the start of 2024 it is down 8.36%. The 52-week high of €34.35, recorded on 27 February, now sits 25.65% above the current level. Volatility remains elevated at 29.48%.
Should investors sell immediately? Or is it worth buying Deutsche Telekom?
Analysts remain uncertain about the near-term trajectory. Barclays has kept its “overweight” rating but lowered its price target from €39.50 to €36.50, citing heightened competition in the US market from new satellite broadband providers. T-Mobile US, the American subsidiary that accounts for the bulk of group value, will report its quarterly results on 23 July. Deutsche Telekom itself will publish its first-half figures on 6 August. The US arm is also busy refarming spectrum: it plans to shut down its 2G network on 3 August, freeing up frequencies for 5G and eventual 6G services.
For now, the share buyback stands as the most visible signal from management to shareholders — a declaration that the stock is cheap even as the market disagrees. The combination of aggressive network investment and steady buyback activity suggests a company willing to use its balance sheet to build for the long term, despite a trading environment that has left its shares stuck near the bottom of their range.
Ad
Deutsche Telekom Stock: New Analysis - 9 July
Fresh Deutsche Telekom information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
Disclaimer regarding our articles: No investment advice, no buy or sell recommendation. Information on prices, companies, and markets is provided without guarantee; changes are possible at any time. Stock market transactions can lead to substantial losses. Our articles are created and reviewed in whole or in part automatically with the support of AI.
