What's been happening with the Telstra (ASX:TLS) share price this week?

We take a look at the Telstra share price over the week…

| More on:

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

This week has been an interesting one for the S&P/ASX 200 Index (ASX: XJO). As it stands this Friday, the ASX 200 is in the green, although ever so slightly. The ASX 200 is currently up by 0.08% at the time of writing to 7,421 points. That puts it in the green for the week so far too, by around 0.9% to be precise. But what of the Telstra Corporation Ltd (ASX: TLS) share price?

Telstra is, of course, one of the ASX 200's staple blue chip shares. And one which has been delivering some impressive returns for investors in recent years.

The Telstra share price is presently up a pleasing 24.92% year to date in 2021, as well as being up a robust 36.7% over the past 12 months. That compares pretty favourably against the ASX 200, which has managed to eke out gains of 10.65% and 20.02% over the same periods respectively.

But how has Telstra performed over the past week?

A woman holds an old fashioned telephone ear piece to her ear while looking unhappy sitting at a desk with her glasses crooked on her nose and a deflated expression on her face.

Image source: Getty Images

Telstra share price has a week to forget

Well, not as impressively, as it turns out. Telstra started the week at a share price of $3.85. As it stands today at the time of writing, Telstra is trading at $3.76 a share. That means this ASX 200 telco has gone backwards by 2.34% over the week so far. That contrasts very unfavourably against the ASX 200's gains of 0.62% so far.

So what might have sparked this lacklustre performance from Telstra this week?

Well, we can't say for sure. There have been no news or announcements out of the telco this week at all. However, there have been some other developments in the ASX telco space which might have played a role.

The first was the results of a report on Australian internet speeds that my Fool colleague Brooke covered back on Tuesday. According to the Ookla quarterly Australian internet speed report, Telstra's broadband internet was, on average, slower than most of its rival telco providers, including Optus, iiNetVodafone, Aussie Broadband Ltd (ASX: ABB) and TPG Telecom Ltd (ASX: TPG). Not exactly a good look for Telstra.

The second was news from Aussie Broadband, a newer rival to Telstra in the telco space. As we covered just this morning, there are rumours that Aussie Broadband is in talks to purchase the IT telecommunications provider Over The Wire Holdings Ltd (ASX: OTW). Over the Wire is "a company that specialises in converged voice and data networks", as my Fool colleague Zach covered earlier.

It's possible that a combination of these developments has seen investors lose interest in Telstra shares, at least temporarily.

At the current Telstra share price, this ASX 200 telco has a market capitalisation of $44.84 billion, a price-to-earnings (P/E) ratio of 24.11 and a dividend yield of 4.26%.

Motley Fool contributor Sebastian Bowen owns shares of Telstra Corporation Limited. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and has recommended Aussie Broadband Limited. The Motley Fool Australia owns shares of and has recommended Telstra Corporation Limited. The Motley Fool Australia has recommended Aussie Broadband Limited and TPG Telecom Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Communication Shares

A girl sits on her bed in her room while using laptop and listening to headphones.
Earnings Results

Superloop FY26 earnings: EBITDA up 33% as customer growth surges

Underlying EBITDA is up 33.1% to $122.7 million, exceeding upgraded guidance.

Read more »

woman on phone
Communication Shares

How much could the Telstra share price rise in the next year?

Telstra shares have dropped. Can they rebound over the next year?

Read more »

Happy investor holding up 3 fingers amidst an orange background.
Communication Shares

3 reasons why the Telstra share price is a buy

I think Telstra could be a strong buy for a number of benefits.

Read more »

Australian notes and coins symbolising dividends.
Communication Shares

Everything you need to know about the Telstra dividend

Owners of Telstra shares can look forward to another good dividend.

Read more »

A young woman in a red polka-dot dress holds an old-fashioned green telephone set in one hand and raises the phone to her ear.
Earnings Results

Telstra share price drops 5% on FY26 report despite big dividend increase

Telstra will pay a final dividend of 10.5 cents per share for FY26.

Read more »

Media journalists on the desk reporting the news live.
Communication Shares

Southern Cross Media Group posts FY26 results

Southern Cross Media Group’s FY26 results highlight challenging market conditions, digital growth, and an expanded cost-saving push amid merger integration.

Read more »

Businesswoman holds hand out to shake.
Communication Shares

oOh!media receives takeover offer

oOh!media shares are in focus as the board backs a $1.70 per share takeover by I Squared Capital.

Read more »

Male hands holding Australian dollar banknotes, symbolising dividends.
Communication Shares

Here's the dividend forecast out to 2027 for Telstra shares

Here are the telco’s dividend projections for the next couple of years.

Read more »