SYDNEY, May 18, 2026, 02:06 (AEST)
Telstra Group (ASX:TLS) starts Monday trading with its shares at A$5.38. The stock closed up 1.13% on Friday, sitting near its 52-week highs. Shares last changed hands at 4:10 p.m. AEST on May 15, before the weekend pause in Australia’s cash market.
Capital return is the new focus for investors. Telstra’s filing on May 15 showed it bought 1,095,583 ordinary shares during the session, following an earlier run of 219.4 million shares repurchased. The buy on Friday cost A$5.9 million, putting the total spent at around A$1.116 billion out of a total buyback limit of roughly A$1.25 billion.
The programme is in its last weeks now. Telstra wants to close its on-market buyback by June 30, with purchases on the exchange. The company said it will buy shares only if it thinks that helps with capital management, and it can also pause or end the buyback at any time.
No live trading so far. Normal trading on the ASX goes from 09:59:45 to 16:00:00 in Sydney, with the closing auction following close. That means Monday’s test for the market will happen later in the morning.
Telstra shares were stronger last week, edging up to A$5.38 from A$5.31 on May 8, for a 1.3% gain. That came as the S&P/ASX 200 slipped 0.1% on Friday to 8,630.8 and fell for the week.
ASX 200 falls 1.27% for the week, Market Index says Market Index reported that the ASX 200 dropped 1.27% this week, weighed down by budget concerns, high bond yields and a stronger U.S. dollar. Telstra’s steady-income profile set it apart from miners and banks.
Stronger first-half numbers backed the buyback. Telstra said in February its first-half profit climbed 9.4% to A$1.12 billion, topping Visible Alpha consensus. Mobile income came in at A$5.77 billion. For the year, Telstra guided EBITDAaL — a measure of operating profit after lease amortisation — to between A$8.2 billion and A$8.4 billion.
Telstra Chief Executive Vicki Brady said then the buyback should help boost earnings and dividend per share. Telstra also lifted its interim dividend to 10.5 cents a share, with 90.5% of the payout franked, so eligible Australian investors get tax credits on part of the payment.
Telstra is still one of the most defensive stocks on the ASX outside the AI and tech upgrade story, eToro market analyst Zavier Wong said after the February result, according to Reuters. “Outside of AI and tech upgrades, Telstra remains one of the most defensive names on the ASX,” he said. Reuters
Competition remains a key issue. The ACCC said Telstra kept its lead in Australian retail mobile services for 2024-25, holding 41% of the market, with Optus at 29% and TPG Telecom at 17%. All three major players bumped up entry-level postpaid mobile prices, the ACCC said. Telstra gets some revenue upside from that, but also faces pressure on customer retention.
Telstra faces the risk that support wanes before earnings can improve. If the buyback is already reflected in the stock, slowing mobile growth, or more aggressive pricing from Optus and TPG could test Telstra’s yield case. The stock, often seen as a defensive income play, would also take a hit from a weaker ASX or higher bond yields.
Telstra doesn’t have much on the calendar this week, with director nominations set to open June 5 and full-year results coming August 13. For now, daily buyback updates, interest rates, and mobile competition are the main near-term drivers.
