Deutsche Telekom Reshuffles Leadership as Buyback Rolls On and Bernstein Steps Back

Deutsche Telekom names new product chief, adds 222,000 fiber lines in August, and repurchases 17.3 million shares as Bernstein downgrades to Market-Perform.

Deutsche Telekom is entering the final stretch of the year with a fresh management lineup, an active share repurchase program, and a more cautious reception on the trading floor. The Bonn-based carrier confirmed that Mladen Mitic has taken over as Chief Product & Digital Officer, part of a leadership overhaul first flagged on September 2. Jan Hofmeyr is set to join the board as the executive responsible for product and technology on November 1, a pairing that aligns technical infrastructure more tightly with digital customer offerings.

Fiber and mobile build-out continues

Infrastructure spending remains a pillar of the group's strategy. During August, the company switched on 115 new mobile sites and upgraded capacity at 401 existing locations. On the fixed-line side, 222,000 fiber connections were added over the same month, lifting the total reach to 14.1 million households and businesses able to access speeds of up to 2,000 Mbit/s.

The build-out extends beyond organic expansion. Through an asset deal, Deutsche Telekom secured the fiber network of ruhrfibre Essen and Metrofibre, covering roughly 87,000 households, with integration planned once the transaction closes.

Buyback keeps shrinking the share count

Capital returns have proceeded at a steady clip. Between September 21 and September 25, the group repurchased 3,292,319 of its own shares. Since the program began on August 10, the cumulative total has reached 17,298,084 shares, steadily trimming the number of shares outstanding.

Cloudflare tie-up and AI ambitions

Alongside the network work, Deutsche Telekom is widening its enterprise offering. A strategic partnership with Cloudflare, announced in late September, is aimed at protecting digital corporate architectures across Europe. Under the arrangement, T-Systems will add Cloudflare's security and networking products to its portfolio, and the two sides have agreed to interconnect their networks directly to make data transfers more resilient.

Artificial intelligence features prominently as well. Together with caery, the company unveiled an automated solution for health and long-term care insurers that runs on the T Cloud Public and handles billing and benefits checks digitally. Investors will get a closer look at the broader AI roadmap on October 5, when the group hosts its AI Investor Day in Bonn. On the sports side, Deutsche Telekom locked up exclusive rights to the Basketball Champions League for the 2026/27 season on September 25.

Bernstein trims its view

Sentiment in the market has been mixed. The stock closed Friday at EUR 26.59, a gain of 1.9% on the day, yet it remains 4.3% lower since the start of the year. Bernstein Research cut its rating on the DAX-listed group to "Market-Perform" from "Outperform" on September 25, while lowering its price target to EUR 28.10 from EUR 37.

The analysts pointed to uncertainty surrounding a possible full takeover of T-Mobile US and to tougher competition in the German fixed-line broadband market. According to Bernstein's modeling, buying out the minority stake at a 20% premium could dilute Deutsche Telekom shareholders by around 11%. Berenberg, by contrast, maintained its buy recommendation on the stock.

What's next on the calendar

Attention now turns to the third-quarter 2026 results, scheduled for release on November 5. Deutsche Telekom's market capitalization stands at EUR 124.68 billion.