MTN Nigeria Communications PLC provides broadband fixed wireless access, telecommunication, and mobile financial services in Nigeria.
High growth potential and good value.
Share Price & News
How has MTN Nigeria Communications's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MTNN has not had significant price volatility in the past 3 months.
7 Day Return
NG Wireless Telecom
1 Year Return
NG Wireless Telecom
Return vs Industry: MTNN underperformed the NG Wireless Telecom industry which returned -12.7% over the past year.
Return vs Market: MTNN exceeded the NG Market which returned -22.6% over the past year.
Price Volatility Vs. Market
How volatile is MTN Nigeria Communications's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Is MTN Nigeria Communications undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: MTNN (NGN117) is trading below our estimate of fair value (NGN357.67)
Significantly Below Fair Value: MTNN is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: MTNN is good value based on its PE Ratio (11.6x) compared to the Wireless Telecom industry average (13.4x).
PE vs Market: MTNN is poor value based on its PE Ratio (11.6x) compared to the NG market (7.2x).
Price to Earnings Growth Ratio
PEG Ratio: MTNN is good value based on its PEG Ratio (0.5x)
Price to Book Ratio
PB vs Industry: MTNN is overvalued based on its PB Ratio (12.2x) compared to the XF Wireless Telecom industry average (2.1x).
How is MTN Nigeria Communications forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MTNN's forecast earnings growth (23.7% per year) is above the savings rate (14.3%).
Earnings vs Market: MTNN's earnings (23.7% per year) are forecast to grow faster than the NG market (13.9% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: MTNN's revenue (10.2% per year) is forecast to grow faster than the NG market (7.4% per year).
High Growth Revenue: MTNN's revenue (10.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: MTNN's Return on Equity is forecast to be very high in 3 years time (105.6%).
How has MTN Nigeria Communications performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MTNN has high quality earnings.
Growing Profit Margin: MTNN's current net profit margins (16.8%) are higher than last year (15.1%).
Past Earnings Growth Analysis
Earnings Trend: MTNN's earnings have grown significantly by 40.2% per year over the past 5 years.
Accelerating Growth: MTNN's earnings growth over the past year (26.4%) is below its 5-year average (40.2% per year).
Earnings vs Industry: MTNN earnings growth over the past year (26.4%) exceeded the Wireless Telecom industry 7.5%.
Return on Equity
High ROE: Whilst MTNN's Return on Equity (104.66%) is outstanding, this metric is skewed due to their high level of debt.
How is MTN Nigeria Communications's financial position?
Financial Position Analysis
Short Term Liabilities: MTNN's short term assets (NGN356.9B) do not cover its short term liabilities (NGN443.1B).
Long Term Liabilities: MTNN's short term assets (NGN356.9B) do not cover its long term liabilities (NGN992.9B).
Debt to Equity History and Analysis
Debt Level: MTNN's debt to equity ratio (209.6%) is considered high.
Reducing Debt: MTNN's debt to equity ratio has reduced from 302.6% to 209.6% over the past 5 years.
Debt Coverage: MTNN's debt is well covered by operating cash flow (102.5%).
Interest Coverage: MTNN's interest payments on its debt are well covered by EBIT (3.7x coverage).
What is MTN Nigeria Communications's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: MTNN's dividend (8.5%) is higher than the bottom 25% of dividend payers in the NG market (4.3%).
High Dividend: MTNN's dividend (8.5%) is low compared to the top 25% of dividend payers in the NG market (10.62%).
Stability and Growth of Payments
Stable Dividend: Too early to tell whether MTNN's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if MTNN's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (78.7%), MTNN's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: MTNN's dividends in 3 years are not forecast to be well covered by earnings (103.5% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average board tenure
Ferdi Moolman (56yo)
Mr. Ferdinand Moolman also known as Ferdi, has been Chief Executive Officer of MTN Nigeria at MTN Group Limited since December 1, 2015. Mr. Moolman serves as the Chief Executive Officer of MTN Nigeria Comm ...
|CEO & Director||5.42yrs||no data||no data|
|CFO & Executive Director||0.25yr||no data||no data|
|Executive Director||no data||no data||no data|
|Independent Non-Executive Director||5.17yrs||no data||no data|
|Non-Executive Director||3.17yrs||no data||no data|
|Director||4.33yrs||no data||no data|
|Non-Executive Director||3.17yrs||no data||no data|
|Chairman||0.75yr||no data||no data|
|Non-Executive Director||0.75yr||no data||no data|
|Independent Non-Executive Director||0.75yr||no data||no data|
Experienced Board: MTNN's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
MTN Nigeria Communications PLC's company bio, employee growth, exchange listings and data sources
- Name: MTN Nigeria Communications PLC
- Ticker: MTNN
- Exchange: NGSE
- Founded: 2001
- Industry: Wireless Telecommunication Services
- Sector: Telecom
- Market Cap: ₦2.361t
- Shares outstanding: 20.35b
- Website: https://www.mtnonline.com
Number of Employees
- MTN Nigeria Communications PLC
- 4, Aromire Road
- Off Alfred Rewane Road
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|MTNN||NGSE (Nigerian Stock Exchange)||NGN0.02||NG||NGN||May 2019|
|MTNN||NGSE (Nigerian Stock Exchange)||Yes||Ordinary Shares||NG||NGN||May 2019|
MTN Nigeria Communications PLC provides broadband fixed wireless access, telecommunication, and mobile financial services in Nigeria. It offers mobile telecommunications services, including airtime and subscription, data, digital, value added, and short message services; and interconnect and roaming services, as well as sells mobile handsets and accessories. The company also provides mobile money and rich media services. It serves approximately 55 million subscribers. The company was founded in 2001 and is based in Lagos, Nigeria. MTN Nigeria Communications Limited is a subsidiary of MTN International (Mauritius) Limited.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/06/01 19:17|
|End of Day Share Price||2020/06/01 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.