Sydney, June 24, 2026, 05:05 (AEST)
Telstra Group finished up 1.6% at A$5.12, touching the session high on Tuesday. Around 15.9 million shares traded as the S&P/ASX 200 shed 0.33% to 8,787 points.
Investors moved to defensive stocks, betting on steadier earnings and cash flow as the wider market softened. Telstra’s telecom revenue and dividend drew buyers while others dumped technology and mining names.
Tech stocks fell 4% with miners also down as commodity prices reacted to a stronger U.S. dollar. IG market analyst Tony Sycamore said “a hawkish Fed outlook” pushed yields and the dollar higher, while U.S. rate markets priced in more risk of another hike. IG
Telstra’s first-half profit climbed 9.4% to A$1.12 billion. The telco also cut its full-year underlying earnings forecast after lease costs to A$8.2 billion to A$8.4 billion. eToro market analyst Zavier Wong said in February that, aside from AI and tech upgrades, “Telstra remains one of the most defensive names on the ASX.” CEO Vicki Brady said the ongoing buyback is set to back up earnings and dividends per share. Reuters
Telstra finished its on-market buyback this month, picking up 245.9 million shares for about A$1.25 billion. The buyback reduced the number of shares the company has on issue, meaning future profits will be spread over fewer shares.
Telstra’s next move hits July 1, with some home and small-business NBN plans going up A$4 to A$5 a month. The premium 5G internet plan jumps A$10. Other high-speed fixed-line plans and two low-speed 5G options won’t change. Telstra pointed to higher wholesale costs and ongoing network spending.
The stock beat its closest local competitor. TPG Telecom fell 0.3% to A$3.67 Tuesday, pushing the one-day gap between the two carriers wider.
KPMG Australia’s chairman and two top partners are stepping down after the firm revealed that sensitive Optus data was passed to staff working on a Telstra audit bid. The audit ultimately went to Deloitte, and nothing in the disclosures suggested misconduct by Telstra. Optus, which is owned by Singapore Telecommunications, is still linked to the ongoing audit controversy. “The decisions announced today are necessary and immediate,” KPMG interim CEO Stan Stavros said. Reuters
The outlook isn’t all strong. July’s price hikes might send budget-focused customers to rivals offering lower prices, and now that the buyback is over, that source of support for Telstra shares is gone. Rising bond yields could hit demand for dividend stocks, and Telstra may still be in the governance spotlight due to the KPMG issue, even though there are no claims against the company.
ASX cash market is shut at the dateline time. The pre-open will start at 07:00 in Sydney, and normal trade kicks off near 10:00. Investors will see if Telstra’s defensive streak sticks for another day.
