MTN Group (FRA:LL6) Financial Strength: 5 (As of Jun. 2026) — 25% Above Median

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FRA:LL6 MTN Group Ltd FRA:LL6
74 GF Score
Price €9.70
GF Value €3.21
Valuation Significantly Overvalued
! 4 Warning Signs
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What is MTN Group Financial Strength?

MTN Group FRA:LL6 -1.02% 74 Financial Strength is 5 as of Jun. 2026, which is 25% above its 10-year median of 4.00. GuruFocus rates FRA:LL6 with a GF Score™ of 74/100 and a GF Value™ of €3.21 (Significantly Overvalued). The stock has 4 warning signs investors should review.

MTN Group has the Financial Strength Rank of 5.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

MTN Group's Interest Coverage for the quarter that ended in Jun. 2026 was 3.81. MTN Group's debt to revenue ratio for the quarter that ended in Jun. 2026 was 0.61. As of today, MTN Group's Altman Z-Score is 1.78.


MTN Group  (FRA:LL6) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

MTN Group has the Financial Strength Rank of 5.


MTN Group Financial Strength Related Terms


FRA:LL6 vs VZ, TMUS, T: Financial Strength Comparison

For the Telecom Services subindustry, MTN Group's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


MTN Group Financial Strength vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, MTN Group's Financial Strength distribution charts can be found below:

* The bar in red indicates where MTN Group's Financial Strength falls into.


FRA:LL6
74GF Score
MTN Group Ltd FRA:LL6
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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MTN Group Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

MTN Group's Interest Expense for the months ended in Jun. 2026 was €-502 Mil. Its Operating Income for the months ended in Jun. 2026 was €1,914 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was €6,157 Mil.

MTN Group's Interest Coverage for the quarter that ended in Jun. 2026 is

Interest Coverage=-1*Operating Income (Q: Jun. 2026 )/Interest Expense (Q: Jun. 2026 )
=-1*1913.524/-501.778
=3.81

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

MTN Group's Debt to Revenue Ratio for the quarter that ended in Jun. 2026 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2026 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(1500.672 + 6156.812) / 12592
=0.61

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

MTN Group has a Z-score of 1.78, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 1.78 is in distress zone. This implies bankruptcy possibility in the next two years.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 5 mean?
MTN Group (FRA:LL6) has a Financial Strength of 5 as of Jun. 2026. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on MTN Group and its competitors. This is 25% above median its historical median of 4.00. Over the past decade, MTN Group's Financial Strength has ranged from 3.00 to 6.00.
Is MTN Group's Financial Strength too high?
MTN Group's current Financial Strength of 5 is 25% above median its 10-year median of 4.00. Over the past 10 years, this metric has ranged from a low of 3.00 to a high of 6.00. Overall, MTN Group has a GF Score™ of 74/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does MTN Group's Financial Strength compare to VZ and TMUS?
MTN Group's Financial Strength of 5 can be compared against companies in the Telecommunication Services industry. Historically, MTN Group's own Financial Strength has ranged from 3.00 to 6.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for a Telecommunication Services company?
A good Financial Strength depends on the Telecommunication Services industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on MTN Group and its competitors. MTN Group's current Financial Strength is 5, which is 25% above median its own 10-year median of 4.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is MTN Group stock overvalued right now?
Based on GuruFocus' analysis, MTN Group (FRA:LL6) is currently considered Significantly Overvalued. The stock's GF Value™ is €3.21, compared to a current price of €9.70 — trading 202.2% above its estimated fair value. The current Financial Strength is 5, which is 25% above median its 10-year median of 4.00. MTN Group's overall GF Score™ is 74/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For MTN Group (FRA:LL6), the current Financial Strength is 5 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is MTN Group (FRA:LL6) Overvalued in 2026?

Based on GuruFocus' analysis, MTN Group stock appears to be overvalued. The current stock price of €9.70 is trading 202.2% above its estimated GF Value™ of €3.21. GuruFocus considers MTN Group to be Significantly Overvalued.

Key valuation signals for FRA:LL6:

  • Financial Strength: 5 (25% above median its 10-year median of 4.00)
  • GF Value™: €3.21 vs. price of €9.70 (202.2% above fair value)
  • GF Score™: 74/100 with 4 warning signs

No single metric tells the full story. See the FRA:LL6 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


MTN Group Business Description

Address Innovation Centre 216 - 14th Avenue, Fairland, Roodepoort, Gauteng, Johannesburg, ZAF, 2195
MTN Group Ltd is a mobile telecommunications provider. The company also has a joint venture in Iran. From a product perspective, the majority of its revenue is from voice and data. Other contributors include SMS and sale of devices revenue. MTN also provides enterprise services to small/midsize enterprises and corporate clients. The company owns the mobile infrastructure and data centers. Its segments include Network services, Mobile devices, Interconnect and roaming, Digital and fintech and others. It derives maximum revenue from Network Services segment. Geographically, the company operates across South Africa, Nigeria, South and East Africa (SEA), GHASEA, Middle East and North Africa (MENA). The majority of the company's revenue is earned in and Nigeria.
74GF Score

Get the complete analysis for FRA:LL6

Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€9.70
Price
€3.21
GF Value