and it's not me. $FNTN (-0,42%)

Why is that? Let's take a look at that.

freenet AG is a holding company that offers telecommunications services. The company is divided into two central business divisions: Mobile Communications and TV and Media.

In the Mobile Communications segment, freenet bundles its traditional communications services. These include, in particular, mobile phone tariffs and, increasingly, internet-based applications such as digital lifestyle products.

The TV & Media segment comprises IPTV-related services. These include planning, project management, development, operation and marketing of broadcasting-related solutions for business customers in the radio and media sector.

The company was founded on March 2, 2007.

Management: Freenet has appointed Robin Harries as its new CEO with effect from August 1, 2025. He has many years of experience in the telecommunications and digital industry. At the same time, the Management Board structure was reduced to two members. Ingo Arnold remains CFO and his appointment has been extended. This indicates continuity and clearly defined responsibilities.

Strategy: The management is pursuing a so-called digital lifestyle strategy. Specific financial targets have been formulated for 2025 as well as a medium-term ambition to significantly increase EBITDA by 2028.

Capital allocation: In 2024, freenet achieved a record level of EBITDA and free cash flow. A record dividend of €1.97 per share was approved at the 2025 Annual General Meeting. In addition, the Management Board has launched a share buyback program with a volume of up to €100 million. Both of these factors indicate a high level of cash generation and an active dividend policy.

Freenet positions itself as a provider of digital lifestyle solutions. The core business consists of network-independent mobile services with its own brands and tariffs. This is supplemented by a growing TV and IPTV business, for example with freenet TV and waipu.tv. Revenue is primarily generated from subscriptions, device margins and additional services as well as from media offerings and service packages.

Freenet combines its own product design and brand management with a broad-based sales organization. This includes its own stores, the electronics trade and online channels. At the same time, the company relies on strong customer management and long-term customer relationships. Partnerships with network operators, device manufacturers and media providers reduce the need for in-house infrastructure and allow the company to focus on customer acquisition, cross-selling and stable, recurring revenues.

Freenet benefits from a network-independent business model in mobile communications and from a growing TV and streaming offering. The combination of direct sales and partner channels supports stable revenues, customer retention and additional sales opportunities. The expansion of IPTV services and the positioning as a digital lifestyle provider open up further growth potential.

Risks: The German telecommunications market is highly competitive, which can lead to price pressure. In addition, regulatory decisions, for example on network access policy or the allocation of frequencies, can affect margins and growth. Other risks include the strong dependence on the domestic market as well as technological changes and the associated investment requirements.

Sounds good, why am I not buying?

Quite simply, I don't like the dividend payout ratio...

I'm not as optimistic about Freenet as others are (even though I'm a Waipu fan myself ;))

With charts etc. and better structured... here: I'm not as optimistic about Freenet as others are (even though I'm a Waipu fan myself ;)) https://steady.page/de/finanzen-anders/posts/e7e8e6a1-3006-4173-91d7-283f094cb32b

This week I will still $XYL (+0,12%) and $AWK (+0,73%) this week. And maybe I still have time for $9988 (-3,01%)

Not only good business figures, but also a reliable dividend pearl for years 👍

$FNTN (-0,42%)

Freenet

The Freenet share currently appears slightly **cheap** to fairly valued, with solid earnings and a very high, sustainable dividend yield.

#1 P/E ratio (trailing & forward)

- Current share price (March 2026, approx.): around EUR 26-28 per share (Xetra/Gettex range).

- Earnings per share 2024: approx. 2.08-2.30 EUR.[1][2]

- This results in a current P/E ratio in the 12-13 range (trailing).

- Forward P/E ratio according to estimates 2026e-2028e: approx. 9-11.

Sector comparison (telecommunications/service providers in Europe):

- Typical P/E range: approx. 13-18 for established telcos with moderate growth.

- Freenet is at the lower end at 9-13 → slightly favorable valuation.

| Key figure | Freenet value | Industry classification |

|---------------------|-------------:|--------------------|

| P/E ratio 2024 (trailing) | approx. 12-13[1][2] | Lower middle |

| P/E ratio 2026e | approx. 11.2[2] | Lower end |

| P/E 2028e | approx. 9.7[2] | Favorable |

## 2. earnings per share (EPS)

- EPS 2024: approx. 2.08-2.30 EUR per share.

- Analyst estimates: EPS increase to approx. 2.34 EUR (2026e), 2.56 EUR (2027e), 2.69 EUR (2028e).

- This corresponds to expected EPS growth of roughly 3-5% p.a. over the next 3-5 years[2][8].

| Year | EPS in EUR |

|------|-----------:|

| 2024 | ~2,08-2,30[1][2] |

| 2025e | ~2,30-2,34[2][8] |

| 2027e | ~2,56[2] |

| 2028e | ~2,69[2] |

The trend shows solid, but not very dynamic growth - typical for mature telco business models.

## 3. EBIT & EBIT margin

- Revenue 2025 according to annual report: approx. EUR 2.44 billion, slightly declining.

- Adjusted EBITDA Q1 2025 almost at previous year's level (EUR 126.1 million vs. EUR 127.1 million).

- The EBIT margin is historically in the mid single-digit to low double-digit percentage range, with a stable to slightly increasing trend thanks to the focus on high-margin services.

Conclusion: operationally stable, no growth story, but reliable cash flows - important for the dividend story.

## 4th dividend

- Proposed dividend for FY 2025: EUR 2.07 per share.

- History (rounded): 1,50 (2020), 1,57 (2021), 1,68 (2022), 1,77 (2023), ~1,85-1,97 (2024), ~2,09 (2025).

- Forecasts: EUR 2.08 (2026e), EUR 2.18 (2027e), EUR 2.24-2.25 (2028e).

- Current dividend yield depending on share price: approx. 7-8%.

Payout ratio:

- With EPS of just over EUR 2.1-2.3 and dividends of around EUR 2.0-2.1, the payout ratio is close to 90-100%.

- This is high, but typical for Freenet, as the focus is clearly on distributions rather than aggressive growth.

| Year | Dividend (EUR) | Yield approx. | Comment |

|------|----------------:|------------:|-----------|

| 2022 | 1.68 | ~6-7% | Rising |

| 2023 | 1.77 ~7% | Increase |

| 2024 | ~1.85-1.97 ~7% | Further increase |

| 2025 | 2.07 (proposal) | ~7-8% | Very high |

| 2026e | 2.08 | ~8% | Stable high |

## 5 Price history vs. benchmark

- 1-year performance (until spring 2026): moderately positive to sideways, with volatility and dividends as the main return drivers.

- Over 3-5 years: significant fluctuations, several drawdowns of over 30%, but overall decent total return including dividends.

- Compared to MDAX/TecDAX: price performance rather below average, but thanks to high dividends the total return is usually in the midfield.

Exemplary points:

- Strong corrections 2018-2020 with drawdowns of up to approx. -57%.

- More recent years show stable sideways phase around the high dividend yield.

| Period | Price character Freenet | Classification vs. index |

|---------|------------------------|----------------------|

| 1 year | Sideways/slightly positive

Rather similar/slightly weaker |

| 3 years | Volatile, several setbacks

Share price often weaker, dividend compensated |

| 5 years | Sideways with drawdowns

Total return in midfield |

## 6. overall rating

- Valuation: P/E ratio in the lower sector range, stable cash flow, very high dividend → Freenet currently looks rather **favorable** to fair from the perspective of classic key figures.

- Opportunity: Attractive current yield of ~7-8% p.a., moderate earnings growth, basic telco provider with a large subscriber base.

- Risk: High payout ratio leaves little buffer, limited structural growth, share price tends to remain sideways/volatile and is heavily dependent on the dividend story.

Short summary: For income-oriented investors looking for a high dividend yield with moderate risk and limited growth, the Freenet share is currently valued rather favorably; growth-oriented investors will find more attractive stories elsewhere.

Sources:

[1] freenet AG share | A0Z2ZZ | DE000A0Z2ZZ5 | share price https://live.deutsche-boerse.com/aktie/freenet-ag/kennzahlen

[2] FREENET SHARE | FRN | Share price | DE000A0Z2ZZ5 https://www.finanzen.net/aktien/freenet-aktie

[3] FREENET SHARE Dividend | Annual General Meeting https://www.finanzen.net/dividende/freenet

[4] freenet AG: Dividend history and forecasts - Marketscreener https://de.marketscreener.com/kurs/aktie/FREENET-AG-130481418/bewertung-dividende/

[5] freenet AG share: Annual Report 2025 confirms decline in sales https://www.ad-hoc-news.de/boerse/ueberblick/freenet-ag-aktie-geschaeftsbericht-2025-bestaetigt-umsatzrueckgang/68950779

[6] Freenet historical share prices https://www.onvista.de/aktien/historische-kurse/Freenet-Aktie-DE000A0Z2ZZ5

[7] FREENET SHARE historical prices | closing prices | A0Z2ZZ https://www.finanzen.net/historische-kurse/freenet

[8] FREENET SHARE Estimates | Forecasts & Expectations | A0Z2ZZ https://www.finanzen.net/schaetzungen/freenet

[9] freenet makes a solid start to the 2025 financial year and confirms ... https://www.freenet.ag/presse/presse-informationen/pressemitteilungen/freenet-ag/2025/05/freenet-startet-solide-in-das-geschaftsjahr-2025-und-bestatigt-prognose.html

[10] Freenet AG - Wikipedia https://de.wikipedia.org/wiki/Freenet_AG

[11] Freenet confirms preliminary results for the financial year ... https://de.marketscreener.com/boerse-nachrichten/freenet-bestaetigt-die-vorlaeufigen-ergebnisse-fuer-das-geschaeftsjahr-2025-den-vorschlag-der-dividende-ce7e5edfdb89f627

[12] freenet AG share: Confirmed annual figures 2025 and ... https://www.ad-hoc-news.de/boerse/news/ueberblick/freenet-ag-aktie-bestaetigte-jahreszahlen-2025-und-dividendenanhebung-auf/68943646

[13] Freenet share performance since inception (A0Z2ZZ | FNTN) https://aktie.traderfox.com/historie/DE000A0Z2ZZ5/LS/freenet-ag

[14] freenet | Tariffs in all networks and cheap cell phone offers https://www.freene

t.de

[15] freenet Internet - Easy access to a flexible Internet tariff https://www.freenet-internet.de

As I like to buy shares in companies whose products I also use personally (then you really understand the business model), Freenet $FNTN (-0,42%) has been on my watch list for some time. As a user of DVB-T2 terrestrial television, I pay €9.49 a month to Freenet to receive HD programs. It therefore makes sense to recoup these fees through the dividends. After all, Freenet has announced a dividend of €2.07 and intends to maintain this for at least the next few years.

So the calculation was clear: €9.49*12=€114 in fees per year. 60 shares make €124 in dividends per year.

And if my everyday things pay for themselves, that's totally in line with my dudesque lifestyle...

$FNTN (-0,42%) I am considering whether I should increase my holdings further. The dividend was always quite nice.

The dividend distribution of freenet AG was paid in full from the tax contribution account in 2024. The payment was therefore made without deduction of capital gains tax and solidarity surcharge. In 2025, the dividend will be paid out with a partial deduction of capital gains tax. Around 60% of the dividend will be paid out without deduction of capital gains tax. From 2026, the dividend will be paid out with full deduction of capital gains tax and solidarity surcharge.

Domestic investors who acquired freenet AG shares after 31 December 2008 will realize a capital gain subject to withholding tax in the event of a sale. In the opinion of the German tax authorities, the distributions in this case reduce the acquisition costs of the shares for tax purposes and thus lead to a higher capital gain - and therefore to an implicit subsequent taxation of the dividends.

$FNTN (-0,42%)

Where are the highest dividends expected to be paid in Germany in 2026?

The editors of "Welt | Alles auf Aktien" have looked into the question. Here is an excerpt:

Overall, the total dividend payout in Dax and MDax will probably decline overall in 2026. One of the main reasons for this is the weak earnings performance in the automotive industry, which is an important dividend payer.

The amounts that German companies will pay out in 2026 have only been determined in a few cases.

The highest payout in 2026 can be expected from the RTL Group
$RTLL (+0,4%) can be expected. According to analysts, shareholders of the media group can expect a credit of 3.19 euros per share next year, which corresponds to a yield of 9.6 percent based on the current share price. This does not yet include the expected five-euro special dividend resulting from the sale of RTL Nederland. Incidentally, RTL was already one of the top dividend payers this year, with an additional 23 percent share price gain.

Shareholders of Evonik Industries $EVK (+1,7%) can also hope for more than nine percent. The Essen-based company is so stable in its niches that it has been able to maintain its dividend at EUR 1.17 for four years. Overall, they are the market leader in 20 different areas. In 2026, too, there will be 1.17 euros per share, which would be a current yield of 9.1 percent at the current share price.

Another dividend pearl is Freenet $FNTN (-0,42%). The mobile operator is a favorite of dividend collectors. Experts say it will probably pay 2.10 euros per share in 2026. That would be 7.5 percent. This year, the share price has risen slightly in addition to the generous dividend.

The same cannot be said for the next dividend share: Ströer $SAX (+7,43%). Not only did the operator of outdoor and online advertising lose a lot in 2025, the share price has not budged for ten years. In this case, the dividend yield of 6.3 percent is little consolation.

The last dividend pearl is BASF $BAS (+1,68%). The company was once the largest chemical group in the world, but here too - if you look at the share price - there has been no progress and no growth for more than ten years. At least the Ludwigshafen-based company will be able to keep its dividend stable in 2026, according to analysts. That would be 2.25 euros per share, or a good five percent current yield.

Source text and image, "Welt", 09.12.25

$FNTN (-0,42%)

Tax-free dividends? Yes, you can:

freenet surprises with a sharp jump in profits and exceeds analysts' expectations, while the streaming service

waipu.tv

becomes a growth driver. The share price rises significantly.

The German mobile and internet service provider has had a remarkable rollercoaster ride over the past 12 months. A brilliant spring rally to over EUR 35 was followed by an abrupt slide that put the share under significant pressure in the summer - since then, a tough sideways movement with a slight downward trend has dominated.

In the quarter under review, freenet suffered a slight decline in revenue to €615.0 million, compared to €619.8 million in the same period of the previous year. This was mainly due to a decline in the mobile business, which was partially offset by growth in waipu.tv. The subscriber base grew by 205,600 to a total of 10.4 million users in the first nine months, underlining the successful expansion of the streaming segment.

Since my Staffel purchase lowered the EK twice, we have seen worse prices in good times.

$HAUTO (+3,34%)

Now that the waves are rising, the stop loss was triggered yesterday.

10 % + 3x dividend over approx. 9 months - target reached.

Hope my motivated repeat buyers

@GHF
@Thomas_1963
@ColdzeroNL
@trade_commander_725

reach their target.

S

ome like the rest who haven't posted.

When I buy, the price falls, when I sell, the price rises.

Notice when GQ buys it is a negative trend.

My forecast: annual low will be reached, customs and profit margins will cut the dividend.

Money will be invested in Ares $ARCC (+0,29%) <16, Freenet $FNTN (-0,42%) <26 will be invested.

$NOC (+1,23%) Northrop is just running away from me and $4X0 (+6,23%) Steyr is coming back.