Deutsche Telekom Stock: Nears Historic €30 Mark After 22 Years

Deutsche Telekom's stock is approaching a significant milestone as shares edge closer to the €30 threshold, a level not seen since 2001. The telecommunications giant has demonstrated robust momentum, with the stock climbing approximately one percent in recent trading. This upward trajectory is bolstered by optimistic analyst assessments, with several experts revising their price targets upward. Despite intensifying competition in the German mobile communications market, particularly in the low-price segment, the company maintains strong fundamentals, projecting earnings growth exceeding 11 percent and attractive shareholder returns of more than 4 percent annually.

Market Valuation Paradox

A notable disparity exists between Deutsche Telekom's market valuation and its U.S. subsidiary, T-Mobile US. While the subsidiary commands a market capitalization of approximately €266 billion, the entire Deutsche Telekom group is valued at just €148 billion. This creates an intriguing scenario where the group's stake in T-Mobile US alone, worth about €135 billion, nearly equals the parent company's total market value, drawing increased attention from market participants.