Should I buy Telstra stock in 2025?

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At HelloSafe, our expert has been tracking the performance of Telstra for over three years. Every month, hundreds of thousands of users in Australia trust us to analyse market trends and identify the best investment opportunities. Our analyses are provided for informational purposes and do not constitute investment advice. In accordance with our ethical charter, we have never been, and will never be, compensated by Telstra.

What is Telstra?

What is the price of Telstra stock?

The price of Telstra stock is rising this week. Telstra is currently trading at AUD $4.83, showing a slight 24-hour decrease of $0.06 but posting an impressive 6-month gain of 18.67%. With a market capitalization of $55.0 billion and an average 3-month trading volume of 30.8 million shares, the stock is widely held and actively traded. Telstra’s Price/Earnings Ratio sits at 34.5, the dividend yield is 3.93%, and its beta is a modest 0.28, signalling relatively low volatility and stable growth potential.

Our full analysis on Telstra stock

Following a detailed review of Telstra’s latest financial results and its robust three-year stock performance, we have synthesised a broad spectrum of analytics—including proprietary momentum models, classical technical signals, market context, and sector peer analysis. Our multifactor approach, aggregating both quantitative and qualitative insights, consistently points towards hidden value and renewed structural advantages. So, why might Telstra stock once again become a strategic entry point into the dynamic telecommunications sector in 2025?

Recent performance and market context

Telstra’s share price has impressively climbed to AUD $4.83, marking a gain of 18.67% over the past six months and 33.43% year-on-year, comfortably outperforming many sector rivals and the broader ASX index. Even though there was a minor daily decline of $0.06 (-1.23%), this should be viewed within the context of recent consolidation following a stellar run. Recent events have strongly supported this upward trend: the strategic AI partnership with Accenture (valued at $700 million) and the announcement of a $476 million share buyback have both fuelled investor confidence and attracted major institutional inflows. The sector backdrop is equally favourable, with the telecommunications industry experiencing heightened demand from Australia’s digital transformation, government infrastructure expansion, and rapid 5G adoption. Telstra’s combination of defensive revenue, competitive moat, and leadership in next-gen technologies sets the stage for continued outperformance.

Technical analysis

Technical signals indicate compelling positive momentum for Telstra. The Relative Strength Index (RSI) sits at 56.56, reflecting neither overbought nor oversold conditions and thus a healthy state for upside moves. The MACD (0.04) and Williams %R (-68.97) both signal “Buy,” while the ADX (33.08) implies moderate but sustained trend strength. Notably, the share price trades above all major moving averages—short- and long-term (50-, 100-, and 200-day SMAs)—with the 100-day and 200-day averages serving as strong trend supports at $4.40 and $4.13 respectively. Key support at $4.76 and resistance at $4.88 frame Telstra on the verge of a potential bullish breakout. The technical consensus, including multiple bullish indicators, suggests current price levels may represent a favourable entry for investors anticipating further upside within the next market cycle.

Fundamental analysis

Telstra’s fundamentals are anchored by resilient revenue growth (AUD $11.82 billion, +0.9% YoY in H1 2025), robust EBITDA expansion (+6.0% YoY to $4.2 billion), and rising net profit ($1.1 billion, +7.1% YoY). These results not only align with analyst expectations but also signal operating leverage across all key business segments—especially in mobile and enterprise services. The company’s current P/E ratio of 34.5 and forward P/E of 24.94 should be evaluated in the context of Telstra’s powerful structural strengths: accelerating AI integration, dominant market share, remarkable brand recognition, and a sustainable competitive advantage through ownership of Australia’s largest and most advanced fixed-line and mobile network infrastructure. Strategic expansion, including operations in Papua New Guinea and wider South Pacific, adds an international layer to Telstra’s earnings profile, diversifying geographic risk. On valuation, while Telstra trades at a premium to some legacy peers, its growth trajectory and capital discipline merit this justified multiple—conveying clear upside for quality-focused, long-term investors.

Volume and liquidity

Consistently robust trading volume is one of Telstra's hallmarks, with a three-month average of 30.8 million shares daily and a float distributed across an exceptionally wide investor base. This liquidity is an important measure of market confidence, providing investors with ease of entry and exit, as well as dynamic price discovery. Sustained high turnover not only reflects institutional support but also allows for fair valuation based on current market sentiment. The public’s diverse shareholding base further reinforces stability, while deep liquidity affords agile response to evolving news flow and macro shifts—key to capitalising on new opportunities.

Catalysts and positive outlook

• AI Innovation and Partnerships: The landmark $700 million joint venture with Accenture is poised to position Telstra as a topline digital leader in the Asia-Pacific region. Establishing a Silicon Valley innovation hub strengthens its AI and data capabilities, both for internal transformation and customer-facing solutions.
• 5G Expansion and Digital Infrastructure: Ongoing investment into 5G infrastructure not only secures future revenue streams from both consumer and enterprise clients but increases the stickiness of Telstra’s core offerings.
• Share Buyback and Dividend Policy: The planned $476 million buyback enhances shareholder value through capital return and signals management’s conviction in Telstra’s future cash flows. Offering a forward dividend yield of 3.93% (fully franked, appealing to local investors), Telstra provides both income and growth potential.
• Sector Leadership and Government Collaboration: Telstra’s role as the backbone of Australia’s telecommunications and strategic partner to the NBN infrastructure program only deepens its resilience against upstart competition.
• Positive Market Projections: With forecast annual earnings growth of 8.17% and revenue growth of 2.56%, Telstra is well placed to surf on the rising tide of Australia’s digital economy and benefit from long-term secular trends in data usage and connectivity.

Investment strategies

• Short-Term: With the current technical momentum and several bullish indicators, a tactical entry on short-term consolidations (particularly if the price approaches strong support) could capture impending breakouts—especially around earnings season or next major news release.
• Medium-Term: Investors can look to benefit from upcoming catalysts, such as the continued roll-out of AI initiatives, new commercial launches, or regulatory clarifications, all of which could drive strong outperformance relative to the index over the next 6–12 months.
• Long-Term: For those seeking stability and growth, Telstra’s defensive characteristics—recurring revenue, leadership in critical infrastructure, and a future-proof digital strategy—offer a rare blend of security and upside, with robust dividend history and capital appreciation potential.

Is it the right time to buy Telstra?

Synthesising these findings, Telstra appears exceptionally well equipped to capitalise on structural sector changes, digital transformation, and Australia’s rising demand for advanced communications infrastructure. The stock’s multi-year momentum, compelling fundamental profile, robust cash flows, and commitment to innovation underpin a positive risk/reward balance that justifies renewed attention now. Current technical levels and high liquidity combine with a sequence of supportive corporate events to provide added tailwinds for the share price. In our view, Telstra seems to represent an excellent opportunity for investors seeking both yield and growth exposure within the Australian technology and communications sector. The convergence of favourable macro trends, strategic partnerships, and industry leadership suggest that Telstra may well be entering a new bullish phase worthy of close consideration for portfolio positioning in 2025 and beyond.

How to buy Telstra stock in Australia?

Buying Telstra stock online is simple and highly secure, thanks to strict Australian regulation and long-established online brokers. Investors can choose between two main methods: traditional spot/cash buying, where you own the shares outright, or trading Contracts for Difference (CFDs), which lets you speculate on the stock’s movements using leverage. Each approach has its pros and is suited to different investment goals. For a side-by-side comparison of leading online brokers and their fees, see the comparison further down the page.

Cash buying

A cash (spot) purchase means you buy Telstra shares directly via a regulated broker, making you a shareholder with voting rights and dividend eligibility. Typical brokerage fees for Australian residents usually range from around $5 to $15 per order, but popular online platforms often charge a flat $5 per trade.

Example of a Share Gain Scenario

If the Telstra share price is $4.83 AUD, you can buy around 206 shares with a $1,000 stake, including a brokerage fee of around $5.

✔️ Gain scenario: If the share price rises by 10%, your shares are now worth $1,100. Result: +$100 gross gain, i.e. +10% on your investment.

Trading via CFD

CFD trading means speculating on the price changes of Telstra shares without actually owning them. You can use leverage—for example, 5x—magnifying your potential gains (or losses). Fees for CFDs typically include the spread (difference between buy and sell price) and overnight financing if you hold positions for more than a day.

CFD Position Gain Scenario

You open a CFD position on Telstra shares, with 5x leverage. This gives you a market exposure of $5,000.

Gain scenario: If the stock rises by 8%, your position gains 8% × 5 = 40%. Result: +$400 gain, on a bet of $1,000 (excluding fees).

Final advice

Before buying Telstra shares or trading CFDs, always compare the costs, platforms, and available features—our broker comparison further down the page makes this process easy. Whether you opt for traditional ownership or seek leveraged exposure with CFDs, your decision should align with your personal investment objectives and risk tolerance.

Our 7 tips for buying Telstra stock

The latest news about Telstra

Telstra shares have outperformed the broader ASX, gaining over 33% in the past 12 months. This upward momentum is supported by robust half-year results, including net profit of $1.1 billion AUD and a 7.1% year-on-year earnings increase—reinforcing Telstra’s position as Australia’s leading telecommunications group.

Technical signals remain distinctly positive for Telstra as the stock trades above major moving averages. The latest consensus from technical indicators and buy signals on the MACD, Williams %R, and key moving averages all suggest continued bullish momentum, attracting both local and institutional interest.

Telstra continues to benefit from its AI partnership with Accenture, which is accelerating digital transformation projects in Australia. This strategic joint venture has received significant attention for its $700 million AUD commitment, fostering leadership in both 5G and AI infrastructure and enhancing Telstra’s competitive edge in domestic and regional markets.

Analyst forecasts remain constructive, projecting annual earnings growth of 8.17% and stable dividend yields near 4%. Such perspectives reflect strong demand across core segments, powered further by recent mobile services growth and a resilient business model tailored for Australian consumers and enterprises.

Market capitalisation stands at $55 billion AUD, with sustained high liquidity reflected in daily volumes averaging over 20 million shares. This deep market and reliable institutional backing ensure that Telstra remains an attractive choice for ASX-focused portfolios, especially as it continues to expand its leading infrastructure footprint nationwide.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.