Telecom ETF: Reconnected at this number

Telecommunications coming back

However, this is likely to change in the coming months. With a surprising takeover bid, the private equity giant KKR takes a stake in the Italian Telecom Italia. But what makes the title so interesting in the current environment? If you take a closer look, you quickly realize that the big telephone providers, such as Deutsche Telekom, the French company Orange and also the British Vodafone have developed from the ugly duckling to the beautiful swan.

Tried and tested, strong cash flow and - particularly exciting - corona-independent business models promise investors the desired stability in turbulent times on the stock exchange. With price earnings ratios often in the single digits, the stocks in the industry are currently priced significantly more favorably than the market average and thus open up potential for price increases. The business case is underpinned by above-average dividend yields, which are more than well above the general capital market interest rate level.