Deutsche Telekom Expands Sports and Satellite Reach While Bernstein Steps to the Sidelines

Bernstein cut Deutsche Telekom to Market-Perform with a EUR 28.10 target, citing T-Mobile US uncertainty and German broadband competition.

Deutsche Telekom is pressing ahead on several operational fronts even as one of the more prominent voices on the sell side turns more guarded on the stock. The Bonn-based carrier closed Friday at EUR 27.09, a modest daily gain of 0.5%, leaving its market capitalization at EUR 128.32 billion — but still 21% below its 52-week high of EUR 34.35.

The caution comes courtesy of Bernstein, which downgraded the DAX heavyweight from "Outperform" to "Market-Perform" and, according to media reports, slashed its price target to EUR 28.10 from EUR 37. Two concerns drive the more reserved stance: lingering uncertainty over a possible full combination with T-Mobile US, and doubts that industrial synergies alone would justify such a transaction. Bernstein's US team also takes only a neutral view of the American subsidiary. On top of that, the analysts flag noticeably tougher competition in Germany's fixed-line broadband market.

Fresh Content for MagentaSport

None of that has slowed the company's commercial agenda. Telekom has secured exclusive rights to the Basketball Champions League for Germany on its MagentaSport platform. Starting with the season opener on October 6, the broadcaster will show every game involving German clubs, plus all matchups from the quarterfinals onward. Financial terms of the agreement were not disclosed.

The rights deal fits a broader push to widen the group's offering for consumers and business customers alike. In its retail network, Telekom announced on Thursday that it will roll out 50 smaller, flexible store formats across Germany in 2027, aiming to link in-person service more tightly with its digital support structures as shopping and advisory habits shift.

Iridium Deal Opens Satellite IoT

Further afield, the group recently completed technical integration and a global roaming agreement with Iridium. The partner's low-earth-orbit satellite network is now commercially available to Telekom's IoT customers, provided they use compatible narrowband devices — enabling uninterrupted data transmission well beyond conventional mobile coverage.

Existing network capacity, meanwhile, is already being tested at scale. Telekom reported 57.7 terabytes of data traffic at the Munich Oktoberfest grounds over the festival's opening weekend, an 18% increase year on year, with more than half of that volume carried over 5G.

Buyback Keeps Rolling

Management continues to support the share price through the capital markets. A mandatory disclosure shows the company repurchased 2,945,800 of its own shares between September 14 and September 18. Since the program began on August 10, the buyback has totaled 14,005,765 shares.

Investors have two near-term dates to watch. An AI Investor Day on October 5 will spotlight the group's use of artificial intelligence, followed on November 5 by third-quarter financial results.