Deutsche Telekom Pairs Green Power Push With Buyback as Bernstein Cuts Rating

Deutsche Telekom launches three renewable electricity tariffs via Rabot Energy in its MeinMagenta app, as buybacks and network build-out continue.

Deutsche Telekom is broadening its Magenta Moments loyalty program beyond connectivity, launching three electricity tariffs sourced entirely from renewable energy in partnership with Rabot Energy. The offer, unveiled Thursday, sits inside the MeinMagenta app, where the Bonn-based group acts as the digital sales channel while Rabot Energy handles contracts and customer supply.

The move comes as the carrier keeps two other engines running in parallel: an aggressive share buyback and a steady build-out of its fixed and mobile networks.

Buyback tally climbs past 17 million shares

Between September 21 and 25, Deutsche Telekom repurchased another 3,292,319 of its own shares. Since the program began on August 10, the company has bought back a total of 17,298,084 shares, steadily shrinking its outstanding stock count.

Network expansion presses ahead

August operational figures, released Wednesday, show 222,000 additional fiber connections added during the month, lifting the total reach to 14.1 million households and businesses able to book speeds of up to 2,000 Mbit/s. On the mobile side, 115 new sites went live in August and extra antenna capacity was installed at 401 existing masts. Mobile data volumes on the network are growing at roughly 30 percent a year, according to the company, and about half of all mobile sites have now been technically upgraded.

To densify its fixed-line footprint further, the group has agreed to acquire fiber infrastructure from ruhrfibre Essen and Metrofibre, bringing around 87,000 households in Essen onto its network.

Enterprise and AI bets widen

Deutsche Telekom added to its business-customer portfolio this week through a Cloudflare partnership, delivered via subsidiary T-Systems, covering connectivity and security solutions. It also announced an AI-based automation project for health insurers built on the T Cloud Public platform. Sports fans were not overlooked either: on September 25 the company secured exclusive rights to the Basketball Champions League for the 2026/27 season.

Bernstein steps back

Sentiment on the equity has nonetheless been dented by strategic uncertainty. Bernstein Research downgraded the stock to "Market-Perform" from "Outperform" on September 25, cutting its price target to EUR 28.10 from EUR 37. The broker cited ambiguity over a possible full takeover of T-Mobile US and tougher competition in the German broadband market. Under Bernstein's modeling, buying out minorities at a 20 percent premium could dilute Deutsche Telekom shareholders by about 11 percent.

The shares closed Friday at EUR 26.59, up 1.9 percent on the day, but they remain 4.3 percent lower since the start of the year.

Investors now look toward the company's AI Investor Day on October 5, 2026, followed by third-quarter 2026 results on November 5, 2026.