It's been a relatively tough week for Telstra Group Ltd (ASX: TLS) shares so far. Telstra closed out last week at $4.38 a share, before building on that during Monday's trading with a new 52-week high of $4.40.
But the rest of the week has told a different story. Tuesday's trading saw the Telstra share price lose a nasty 2.28%. The ASX 200 telco has recovered somewhat over Wednesday and Thursday's sessions and closed trading yesterday at $4.33.
But the hard numbers don't lie – Telstra has gone backwards this week.
This is quite a change of pace for Telstra. The company has had a strong year so far, almost tripling the returns of the S&P/ASX 200 Index (ASX: XJO) with its year-to-date gain of 9.6%. Telstra shares have also booked quite a few new 52-week highs over the past couple of months too:
So the value investors out there might be asking if this pullback for Telstra shares is a good chance to jump in.
Well, let's see what some of the ASX's top brokers have to say about that.
Are Telstra shares a buy after this week's slump?
First up is Macquarie. As we covered last month, Macquarie currently rates Telstra shares as outperform. This broker has given the ASX 200 telco a 12-month share price target of $4.68. It is expecting Telstra to continue to outperform expectations when it comes to earnings over the next few years after the company's recent mobile price hikes.
That's one notch on the belt.
But another ASX broker in Goldman Sachs is also positive on Telstra. This expert rates Telstra shares as a buy, with an even better share price target of $4.70. Goldman is also eyeing off Telstra's ability to generate strong earnings down the road, together with higher dividends.
Finally, let's go over the views of yet another broker in Morgans. As we covered last month, Morgans is our third ASX broker to recommend Telstra. It currently has an add rating on the telco, and shares Goldman's $4.70 price target.
Morgans reckons the Telstra share price is sporting an attractive valuation, and anticipates further value if the company proceeds with asset divestment.
So that's three out of three brokers that are currently recommending Telstra shares for investors today. No doubt Telstra shareholders will be exceptionally pleased with that outcome.
At Telstra shares' current pricing, this ASX 200 telco has a market capitalisation of $50.03 billion, with a dividend yield of 3.93%.
