BUZZ - Bernstein downgrades Deutsche Telekom to "market perform" after reports of a T-Mobile merger

September 25 -

** Bernstein downgraded Deutsche Telekom (DTEGn.DE) from "Outperform" to "Market Perform" after reports that the German telecom operator may merge with T-Mobile US (TMUS.O)

** The firm said its view on Deutsche Telekom was also influenced by its US analyst's "Market Perform" rating on T-Mobile

** The institution added that competition in the German fixed-line market could put pressure on the company

** Bernstein said it maintains a cautious outlook on the European telecom sector and prefers operators focused on their core connectivity business

** The firm lowered its price target on Deutsche Telekom from 37 euros to 28.1 euros

** According to LSEG data, out of 21 analysts covering Deutsche Telekom, 20 rate it as either "Strong Buy" or "Buy", and 1 rates it as "Hold"

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