# Airtel Africa Plc (AAF.L) fundamentals

Data as of 2026-09-08. LSE, United Kingdom. Sector: Communication Services / Diversified Telecommunication Services. Price 355p, market value 12.9 billionp.

## Valuation
- **P/E (trailing): 25.3×** (5-yr avg 1529.0×, 3-yr avg 2353.0×). Airtel Africa Plc trades at 25.3× trailing earnings, well below its own five-year average of 1529.0×: cheap by its own standards. The Communication Services median in the September 2026 study was 21.1×. Forward P/E is 14.0×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.07**. A PEG of 0.07 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 2.7×**. Each dollar of revenue is priced at 2.7×.
- **Price / book: 5.4×**. The shares trade at 5.4× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 6.6×**. Enterprise value is 6.6× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 11.6%** (5-yr avg 0.2%). Free cash flow equals 11.6% of the market value, above its five-year average of 0.2%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 3.9%**. The inverse of the P/E: 3.9% of the price is earned each year.

## Profitability
- **Gross margin: 67.6%**. Airtel Africa Plc keeps 67.6% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 33.2%**. 33.2% of revenue is left after running the business, an exceptional level.
- **Net margin: 10.8%**. 10.8% of each dollar of sales reaches the bottom line.
- **Return on equity: 21.6%**. 21.6% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 16.7%**. Return on all capital, debt included, is 16.7%: comfortably above what that capital costs.
- **Return on assets: 4.9%**. Each dollar of assets produces 4.9% of profit.

## Growth
- **Revenue growth (1 yr): 27.4%** (3-yr 6.3%/yr, 5-yr 10.1%/yr). Revenue grew 27.4% over the last year, against 10.1% a year compounded over five years: growth is accelerating.
- **EPS growth (1 yr): 203.5%** (3-yr 0.0%/yr, 5-yr 14.9%/yr). Earnings per share rose 203.5%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 20.0%/yr**. Free cash flow has compounded at 20.0% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 2.04**. Debt is 2.04 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 1.3×**. It would take 1.3 years of operating earnings to repay net borrowings, within the comfortable range.
- **Interest coverage: 2.5×**. Operating profit covers interest 2.5×, thin but manageable.
- **Current ratio: 0.58** (quick 0.58). Current liabilities exceed current assets, so the company depends on ongoing cash generation or refinancing to pay the next year's bills.
- **Altman Z-score: 1.81**. A Z-score of 1.81 is in the distress zone, a signal to examine the balance sheet closely.
- **Piotroski F-score: 8/9**. 8 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 1.52%** (0p per share, trailing). Airtel Africa Plc yields 1.52%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 36%** (12% of free cash flow). 36% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 4**. 4 straight years of increases.
- **Dividend growth (5 yr): 8.3%/yr** (1-yr 4.8%). The dividend has grown 8.3% a year over five years.
- **Shareholder yield: 1.9%**. Dividends plus net buybacks return 1.9% of the market value a year.

## Analyst view
- **Analyst consensus: hold** (7 analysts). 7 analysts cover Airtel Africa Plc; the consensus is hold, with an average price target of 386p (+9% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 57.5%** (YTD -1.9%, 3-mo 1.3%). The shares are up 57.5% over twelve months including dividends.
- **From 52-week high: -18.7%** (64.7% above the low). Trading 19% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 61**. An RSI of 61 is neutral.
- **Beta (1 yr): 1.30** (volatility 43%). Beta of 1.30 against the FTSE All-Share: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=AAF.L · Page: https://foliofundamentals.com/stocks/aaf.l

Not investment advice.