MTN Group (MTN SJ) Buy: Reaffirming growth focus at CMD

Research evidence excerpt

MTN Group (MTN SJ) Buy: Reaffirming growth focus at CMD

17 June 2026

MTN Group (MTN SJ) EquitiesWireless

Telecommunications

Buy: Reaffirming growth focus at CMD South Africa

◆ Management outlined a detailed framework on medium-term MAINTAIN BUY

ambitions across the segments; quality growth is key focus

TARGET PRICE (ZAR) PREVIOUS TARGET (ZAR)

◆ AI may unlock ZAR30bn over 5 years for MTN; fintech, data

300.00 280.00 remain core growth drivers; IHS deal to be transformational

◆ Maintain Buy, raise TP to ZAR300; fintech-driven re-rating to SHARE PRICE (ZAR) UPSIDE/DOWNSIDE

be a key driver ahead with share buybacks/DPS growth 226.68 +32.3%

(as of 15 Jun 2026)

MTN unpacks six pillars of growth: MTN Group hosted its 2026 Capital markets MARKET DATA

Market cap (ZARm) 415,658 Free float 69%

day on 10 June with a focus on new growth areas across the group. Although there Market cap (USDm) 25,649 BBG MTN SJ

was no major surprise, management examined each vertical in depth to discuss 3m ADTV (USDm) 58 RIC MTNJ.J

market conditions, outlook, and growth drivers. 1) In Connectivity, data is a huge

FINANCIALS AND RATIOS (ZAR)

opportunity due to low internet/smartphone penetration. However, it will remain Year to 12/2025a 12/2026e 12/2027e 12/2028e

focused on sustaining quality growth (margin accretive). Voice is still a flagship HSBC EPS 13.45 18.22 23.59 29.09

HSBC EPS (prev) 13.45 18.75 24.98 30.59

product and cannot be totally written off, but its base is declining. Home broadband Change (%) 0.0 -2.8 -5.6 -4.9

and enterprise are other big opportunities, as per management. 2) In Fintech, MTN Consensus EPS 12.63 16.27 21.68 28.16

PE (x) 16.9 12.4 9.6 7.8

has market leadership in Ghana, Uganda, and Rwanda, but there are still structural Dividend yield (%) 2.2 3.1 4.0 5.0