Vodacom Group Limited (VOD.JO) stock analysis

In our weekly check, Vodacom Group Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 3, red flags: 6.

About Vodacom Group Limited

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

What our checks show for VOD.JO

Red flags

• Operating profit does not cover the interest bill (0.3x): interest is paid from cash or new debt.
• The net margin fell by 4.3 points over 5 years, to 12.4%: the company keeps less of each sale as profit.
• The gross margin fell by 22.4 points, to 40%: costs are rising faster than prices.
• The dividend takes 1041% of profit: little cushion if profit falls.
• A small company (market value $188 million): usually riskier and followed by fewer analysts.
• The stock has fallen as much as 73% from a peak. Would you have held through that?

Warning signs

• Net debt is 1x a year of EBITDA (debt/equity 1.02). That limits room in a downturn and raises refinancing risk.
• Analysts expect the net margin to shrink by 1 points from today's 12.4%.
• The stock is still below its previous peak.

Strengths

• Operating cash flow is 2.59x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 13% a year over the next years.
• Analysts expect revenue to grow about 17.4% a year over the next years.
• Free cash flow is 18.2% of revenue: cash for dividends, buybacks or growth.
• Beta 0.35: the stock usually moves less than the market.
• Actively traded: about 2.1 million shares a day.

Next earnings report: 2026-11-09

Similar companies

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

Questions

What grade does Vodacom Group Limited (VOD.JO) have?

In our weekly check, Vodacom Group Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 3, red flags: 6. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of VOD.JO stock?

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

What does Vodacom Group Limited do?

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

When does Vodacom Group Limited report earnings next?

The next earnings report is expected on 2026-11-09. 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 2026-10-24

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