UBS has raised its price target for Deutsche Telekom from 28 euros to 31 euros, while maintaining a "Neutral" rating.
The recent quarterly results of mobile phone providers in Germany have raised concerns about increased competition, especially in the low-cost segment.
However, analyst Polo Tang remains optimistic about Deutsche Telekom's long-term prospects, citing its potential for defensive earnings growth of over 11 percent and annual shareholder returns of more than 4 percent.