What's next for the Telstra (ASX:TLS) share price?

What's next for the Telstra Corporation Ltd (ASX: TLS) share price? This week, we saw Telstra lose some of its recent gains, despite a 5G win

| More on:
telstra share price

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Telstra Corporation Ltd (ASX: TLS) share price has had an interesting week. Telstra shares started Monday off at a price of $3.42 a share. But by Wednesday, those same shares dipped to as low as $3.32, a fall of more than 3% from Monday's level. By the end of the week, we saw Telstra return to a share price of $3.40.

That was despite some interesting developments along the way. On Thursday, we discussed how Pengana Capital holds Telstra shares as its biggest holding. As my Fool colleague Tony reported, Pengana Capital chief investment officer Rhett Kessler has Telstra "as just under 8% of our portfolio". Why? Mr Kessler stated that Pengana likes the telco because "when you buy Telstra shares, you're buying the best mobile phone network in the country. And you're buying a really nice inflation-protection bond from the government".

Telstra gets 5G boost

On Friday, it was revealed that Telstra has secured 1,000 MHz in the 26 GHz spectrum auction, spending $277 million to do so.

Here's some of what Telstra CEO Andy Penn said of the acquisition:

Telstra is already leading the way in 5G, and this investment of $277 million in highly sought after spectrum will help us broaden and deepen our 5G connectivity for more Australians across the country…. mmWave spectrum is especially good at providing high-speed mobile broadband in high-density areas, such as built up cities and towns, train stations, sport stadiums and other locations with a high concentration of people using their mobile devices.

So what's next for the Telstra share price? Well, Telstra has been hovering around its current pricing level since late March. Before then, the telco had been on a bit of a bullish run, appreciating more than 12% between 11 March and 30 March. This share price run was sparked by Telstra's announced plans to structurally separate itself into 4 divisions by December this year. Investors are evidently expecting that this separation will unlock value from some of Telstra's more defensive assets. Such as its mobile towers and fixed-line networks.

Considering all of this, it will be interesting to see how the market continues to price Telstra. The separation plans are likely to continue to set the tone for the company. Especially in conjunction with the 5G spectrum announcement on Friday.

Should you invest $1,000 in Commonwealth Bank Of Australia right now?

Before you buy Commonwealth Bank Of Australia shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and Commonwealth Bank Of Australia wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys...

See The 5 Stocks *Returns as of 30 April 2025

Motley Fool contributor Sebastian Bowen owns shares of Telstra Limited. The Motley Fool Australia owns shares of and has recommended Telstra Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Blue Chip Shares

A man thinks very carefully about his money and investments.
Blue Chip Shares

2 super ASX 200 blue chip shares to buy now

Brokers are saying good things about these stocks. Let's see why.

Read more »

Happy shareholders clap and smile as they listen to a company earnings report.
Blue Chip Shares

3 unstoppable ASX 200 shares to buy and hold for 10+ years

Analysts are tipping these shares to deliver strong returns. But why?

Read more »

A bland looking man in a brown suit opens his jacket to reveal a red and gold superhero dollar symbol on his chest.
Blue Chip Shares

If I were building a portfolio from scratch, I'd buy these 3 ASX 200 shares today

These quality shares could be great picks for investors building a portfolio.

Read more »

A bland looking man in a brown suit opens his jacket to reveal a red and gold superhero dollar symbol on his chest.
Blue Chip Shares

Why these super blue chip ASX 200 shares could deliver big returns

Analysts think these shares are top picks for investors looking for blue chips to buy.

Read more »

A man with a wide, eager smile on his face holds up three fingers.
Blue Chip Shares

3 ASX blue-chip shares I'd buy with $3,000 right now

Here’s why these businesses are appealing opportunities to me.

Read more »

Three happy office workers cheer as they read about good financial news on a laptop.
Blue Chip Shares

3 of the best ASX 200 shares to buy now with $5,000

Investors with money to invest might want to check out these shares that analysts rate as buys.

Read more »

Beautiful holiday photo showing two deck chairs close-up with people sitting in them enjoying the bright blue ocean and island view while sipping champagne and enjoying the good life thanks to Pilbara Minerals share price gains in recent times
Blue Chip Shares

3 ASX 200 blue chips to compound your way to riches

Analysts think these blue chips would be top picks for buy and hold investors.

Read more »

A businessman hugs his computer and smiles.
Blue Chip Shares

3 excellent ASX shares I would buy and hold for the next 10 years

Analysts think these quality companies could be in the buy zone right now.

Read more »