Parent Company Sells 129,000 T-Mobile US Shares Worth $29.5 Million

Deutsche Telekom (OTC:DTEGF) sold 128,852 shares of T-Mobile US (NASDAQ:TMUS) in multiple open-market transactions on October 17 and October 20, 2025, for a total value of approximately $29.5 million (rounded from $29,469,811.04), according to the SEC Form 4 filing. This is the Germany-based parent company to TMUS with majority ownership and representation on its board of directors.

Transaction summary

Transaction value is based on the SEC Form 4 weighted average purchase price ($228.71), and post-transaction value is based on the October 20, 2025 market close ($230.09). Both values use calendar year market data as of October 20, 2025.

Key questions

How does the transaction size compare to prior sales by Deutsche Telekom?
The sale of 128,852 shares is substantially smaller than the historical median sale size of approximately 379,340 shares for this insider, based on 86 sell-only events. This represents 0.02% of Deutsche Telekom's direct holdings at the time of the October 20, 2025 transaction, compared to a median of 0.06% per transaction in prior sales.

What is the significance of this trade relative to Deutsche Telekom's remaining ownership?
Following the transaction, Deutsche Telekom retains direct ownership of 627,524,343 shares, valued at approximately $144.4 billion as of October 20, 2025. The sale reduced its stake marginally, with direct ownership after the trade representing 55.8% of outstanding shares.

At what prices were the shares sold, and how did these relate to recent market levels?
The weighted average sale price was approximately $228.71 per share, while the market closed at $230.09 on October 20, 2025. The executed prices were in line with prevailing market levels at the time of the transaction.

Were there any additional disclosures or trading plan details relevant to this sale?
The transactions were part of a Rule 10b5-1 trading plan, established on June 12, 2025. The filing mentioned several specific Deutsche Telekom officers and executives who collectively count as a T-Mobile US board member for the purposes of financial reports. The filing didn't specify which officer made any particular trade.

Company overview

* 1-year performance is calculated using October 20, 2025 as the reference date, based on a calendar-year window.

Company snapshot

Provides wireless voice, messaging, and data services, as well as mobile devices and accessories, primarily under the T-Mobile and Metro by T-Mobile brands.

Generates revenue through service subscriptions, device sales, and wholesale agreements with third-party distributors and resellers.

Serves 108.7 million customers across the United States, Puerto Rico, and the U.S. Virgin Islands, targeting the postpaid, prepaid, and wholesale markets.

T-Mobile US is a leading telecommunications provider with a nationwide presence and a customer base exceeding 100 million. The company leverages its expansive network infrastructure and multi-brand strategy to capture share in both postpaid and prepaid markets.

Foolish take

About $30 million of stock sales is a sizable chunk of change, but it was spread across 8 different people who presumably have T-Mobile US shares included in their compensation packages. Moreover, it's barely a blip on the radar in the context of Deutsche Telekom's dominant ownership of its American subsidiary.

So I would hesitate to draw any conclusions from this pre-planned stock sale. It's just another round of stock-based compensation playing out on the open market. Deutsche Telecom remains T-Mobile US's largest shareholder by a mile, firmly committed to the company's long-term success.

And the remote-controlled strategy has worked wonders so far. T-Mobile US started out as a minor player in the American mobile service market, but now boasts the largest market cap among the big 3 networks -- and it keeps growing much faster than AT&T (NYSE:T) and Verizon Communications (NYSE:VZ). The stock isn't cheap, but T-Mobile US earned its premium valuation through superior business results.

Glossary

Insider trading: The buying or selling of a company’s securities by someone with access to material, nonpublic information.
Open-market transaction: A trade of securities conducted on a public exchange at prevailing market prices, not through private agreements.
Director: A member of a company’s board responsible for overseeing management and major decisions.
SEC Form 4: A required filing disclosing changes in ownership of a company’s securities by insiders.
Weighted average purchase price: The average price paid per share, weighted by the number of shares in each transaction.
Outstanding shares: The total number of a company’s shares currently held by all shareholders, including insiders and the public.
Direct ownership: Shares held directly by an individual or entity, not through intermediaries or indirect means.
Trading plan: A pre-arranged program allowing insiders to sell or buy shares at set times to avoid accusations of insider trading.
Post-transaction: Refers to the state of holdings or values after a specific transaction has occurred.
Dividend yield: The annual dividend payment expressed as a percentage of the stock’s current price.
Wholesale agreements: Contracts where services or products are sold in bulk to third parties for resale.
TTM: The 12-month period ending with the most recent quarterly report.

Anders Bylund has positions in T-Mobile US. The Motley Fool recommends T-Mobile US and Verizon Communications. The Motley Fool has a disclosure policy.