MTN Group Limited (MTN.JO) stock analysis

In our weekly check, MTN Group Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 4, red flags: 5.

About MTN Group Limited

MTN Group Limited is a Communication Services company (Telecommunications Services) based in South Africa, listed on JNB as MTN.JO.

What our checks show for MTN.JO

Red flags

• Operating profit does not cover the interest bill (0.2x): interest is paid from cash or new debt.
• The gross margin fell by 26 points, to 47.6%: costs are rising faster than prices.
• The dividend takes 511% of profit: little cushion if profit falls.
• A small company (market value $217 million): usually riskier and followed by fewer analysts.
• The stock has fallen as much as 89% from a peak. Would you have held through that?

Warning signs

• Net debt is 0.9x a year of EBITDA (debt/equity 1.11). That limits room in a downturn and raises refinancing risk.
• Revenue grew only 3.1% a year over the last 3 years.
• The net margin is only 8.9%: little room if costs rise.
• The stock is still below its previous peak.

Strengths

• The net margin rose by 1.4 points over 5 years, to 8.9%.
• Operating cash flow is 3.85x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 29.6% a year over the next years.
• Analysts expect the net margin to improve by 4.5 points from today's 8.9%.
• Free cash flow is 19.9% of revenue: cash for dividends, buybacks or growth.
• Actively traded: about 5 million shares a day.

Similar companies

3045.TW · VOD.JO · 4904.TW · 7010.SR · TELIA.ST · VZ

Questions

What grade does MTN Group Limited (MTN.JO) have?

In our weekly check, MTN Group Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 4, red flags: 5. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of MTN.JO stock?

This week's biggest flags for MTN Group Limited: Weak interest cover, Gross margin falling, Dividend stretched. In total 9 of 25 checks show a warning or a red flag.

What does MTN Group Limited do?

MTN Group Limited is a Communication Services company (Telecommunications Services) based in South Africa, listed on JNB as MTN.JO.

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 2026-10-24

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