TELECOM OPERATORS : Valuation Station: SpaceX Oddity

Research evidence excerpt

TELECOM OPERATORS : Valuation Station: SpaceX Oddity

EQUITIES

TELECOM OPERATORS

Valuation Station: SpaceX Oddity

EU telco outperformance continued last month (SXKP +25% vs. SXXP +5% YTD) despite increasing8 JUNE 2026

Sector Research Report investor debate/concerns around the potential impact of SpaceX/ Starlink on legacy telco

Production time: 05:26* (London time)

businesses. We still believe that concerns around this topic are overdone, as operators (both US and

Research Analysts & Publishing Entities

European) have started to provide a more robust defence on their terrestrial mobile network

Joshua Mills, CFA advantages and considering the technological limitations of satellite services. We would also noteBNP Paribas London Branch

(+44) 203 430 8670 recent proposals to limit SpaceX spectrum availability in Europe (see here), which should provide

Joshua.Mills@uk.bnpparibas.com some protection for incumbents. Last week we also hosted Orange, Vodafone, Telia and Iliad at our

Abhilash Mohapatra CEO Conference in Paris. The overall tone was positive, and French consolidation was a clear focus

BNP Paribas London Branch ahead of confirmation over the weekend that deal has been reached with SFR (see here). With that

(+44) 203 430 8675 done, we expect investor attention to shift to potential deals in Germany/Italy/Spain/Nordics as well.

abhilash.mohapatra@uk.bnpparibas.com

Charles de Saint Perier Limited estimate changes last month, but cost/ capex reductions driving sector FCF growth

BNP Paribas London Branch Aggregate consensus earnings were stable this month (-0.1% for EBITDA, -0.1% for Capex, flat for

(+44) 7771 371977 OpFCF). The consistent message from the likes of BT, Orange and KPN, however, was that AI ischarles.1.desaintperier@uk.bnpparibas.com