Airtel Africa Plc (AAF.L) stock analysis

In our weekly check, Airtel Africa Plc is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 19 pass, warnings: 3, red flags: 3.

About Airtel Africa Plc

Airtel Africa Plc is a Communication Services company (Telecommunications Services) based in the United Kingdom, listed on LSE as AAF.L.

What our checks show for AAF.L

Red flags

• Net debt is 1.2x a year of EBITDA (debt/equity 2.03). That limits room in a downturn and raises refinancing risk.
• The gross margin fell by 6.3 points, to 62.5%: costs are rising faster than prices.
• The stock has fallen as much as 66% from a peak. Would you have held through that?

Warning signs

• Operating profit covers interest only 2.5 times: a weak year could make the payments hard.
• The net margin fell by 3 points over 5 years, to 10.4%: the company keeps less of each sale as profit.
• The price swings a lot: 42.8% annual volatility. Expect large ups and downs.

Strengths

• Operating cash flow is 3.29x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 31.2% a year over the next years.
• Analysts expect the net margin to improve by 5.2 points from today's 10.4%.
• Free cash flow is 23.4% of revenue: cash for dividends, buybacks or growth.
• The dividend takes 35% of profit: there is a cushion.
• A large company: market value $12.57 billion.

Next earnings report: 2027-01-29

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Questions

What grade does Airtel Africa Plc (AAF.L) have?

In our weekly check, Airtel Africa Plc is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 19 pass, warnings: 3, red flags: 3. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of AAF.L stock?

This week's biggest flags for Airtel Africa Plc: High debt, Gross margin falling, Deep past fall. In total 6 of 25 checks show a warning or a red flag.

What does Airtel Africa Plc do?

Airtel Africa Plc is a Communication Services company (Telecommunications Services) based in the United Kingdom, listed on LSE as AAF.L.

When does Airtel Africa Plc report earnings next?

The next earnings report is expected on 2027-01-29. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-31

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