Deutsche Telekom: shares fall after broker cuts target
(CercleFinance.com) - Shares in Deutsche Telekom are currently down 0.
8% at 15.1 euros on Frankfurt's blue chip index DAX, as Jefferies cut its target price in the company from 14.3 euros to 13 euros, while maintaining its "underperform" rating on the stock.
In a research report, Jefferies fears that FTTH investments could be a drag on the share price.
In particular, the brokerage firm points out that the intensifying public debate over Germany's lagging position in fiber-to-the-home (FTTH) technology may subject the telecoms giant to increasing pressures to do more FTTH.
However, Jefferies notes that returns on FTTH are "long-term" and "uncertain."
Copyright (c) 2017 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
8% at 15.1 euros on Frankfurt's blue chip index DAX, as Jefferies cut its target price in the company from 14.3 euros to 13 euros, while maintaining its "underperform" rating on the stock.
In a research report, Jefferies fears that FTTH investments could be a drag on the share price.
In particular, the brokerage firm points out that the intensifying public debate over Germany's lagging position in fiber-to-the-home (FTTH) technology may subject the telecoms giant to increasing pressures to do more FTTH.
However, Jefferies notes that returns on FTTH are "long-term" and "uncertain."
Copyright (c) 2017 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.