MTN Uganda (UGSE:MTNU) - Share price, News & Analysis

MTNU fundamental analysis
Snowflake Score
Valuation	0/6
Future Growth	0/6
Past Performance	2/6
Financial Health	4/6
Dividends	0/6

MTNU Stock Overview

MTN Uganda Limited provides telecommunications services in Uganda.

Rewards

Revenue grew by 9.3% over the past year

Risk Analysis

High level of non-cash earnings

Price History & Performance

Summary of all time highs, changes and price drops for MTN Uganda
Historical stock prices
Current Share Price	USh183.00
52 Week High	USh205.00
52 Week Low	USh180.00
Beta	0
1 Month Change	-8.04%
3 Month Change	n/a
1 Year Change	n/a
3 Year Change	n/a
5 Year Change	n/a
Change since IPO	-10.73%

Shareholder Returns

	MTNU	UG Telecom	UG Market
7D	-2.1%	-0.05%	-0.3%
1Y	n/a	5.8%	-1.6%

Return vs Industry: Insufficient data to determine how MTNU performed against the UG Telecom industry.

Return vs Market: Insufficient data to determine how MTNU performed against the UG Market.

Price Volatility

Is MTNU's price volatile compared to industry and market?
MTNU volatility
MTNU Average Weekly Movement	1.8%
Telecom Industry Average Movement	3.0%
Market Average Movement	4.4%
10% most volatile stocks in UG Market	7.6%
10% least volatile stocks in UG Market	1.0%

Stable Share Price: MTNU is not significantly more volatile than the rest of UG stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: Insufficient data to determine MTNU's volatility change over the past year.

About the Company

Founded	Employees	CEO	Website
1998	1,000	Wim Vanhelleputte	https://www.mtn.co.ug

MTN Uganda Limited provides telecommunications services in Uganda. It offers a range of products and services, including voice and SMS, mobile data and home internet, digital, and mobile financial services; mobile money services; and interconnect and roaming services. The company also sells mobile devices.

MTN Uganda Fundamentals Summary

How do MTN Uganda's earnings and revenue compare to its market cap?
MTNU fundamental statistics
Market Cap	USh4.10t
Earnings (TTM)	USh321.68b
Revenue (TTM)	USh1.88t

12.7x

P/E Ratio

2.2x

P/S Ratio

Is MTNU overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
MTNU income statement (TTM)
Revenue	USh1.88t
Cost of Revenue	USh377.26b
Gross Profit	USh1.50t
Expenses	USh1.18t
Earnings	USh321.68b

Last Reported Earnings

Dec 31, 2020

Next Earnings Date

n/a

Earnings per share (EPS)	14.37
Gross Margin	79.91%
Net Profit Margin	17.13%
Debt/Equity Ratio	53.5%

How did MTNU perform over the long term?

See historical performance and comparison

Valuation

Is MTN Uganda undervalued compared to its fair value and its price relative to the market?

12.74x

Price to Earnings (PE) ratio

Share Price vs. Fair Value

Below Fair Value: MTNU (UGX183) is trading above our estimate of fair value (UGX79.56)

Significantly Below Fair Value: MTNU is trading above our estimate of fair value.

Price To Earnings Ratio

PE vs Industry: MTNU is poor value based on its PE Ratio (12.7x) compared to the African Telecom industry average (7.5x).

PE vs Market: MTNU is poor value based on its PE Ratio (12.7x) compared to the UG market (5.3x).

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate MTNU's PEG Ratio to determine if it is good value.

Price to Book Ratio

PB vs Industry: MTNU is overvalued based on its PB Ratio (5.6x) compared to the XF Telecom industry average (0.8x).

Future Growth

How is MTN Uganda forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

2.7%

Forecasted Telecom industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as MTN Uganda has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Past Performance

How has MTN Uganda performed over the past 5 years?

19.4%

Last years earnings growth

Earnings and Revenue History

Quality Earnings: MTNU has a high level of non-cash earnings.

Growing Profit Margin: MTNU's current net profit margins (17.1%) are higher than last year (15.7%).

Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if MTNU's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Insufficient data to compare MTNU's past year earnings growth to its 5-year average.

Earnings vs Industry: MTNU earnings growth over the past year (19.4%) underperformed the Telecom industry 53.9%.

Return on Equity

High ROE: MTNU's Return on Equity (44.3%) is considered outstanding.

Financial Health

How is MTN Uganda's financial position?

Financial Position Analysis

Short Term Liabilities: MTNU's short term assets (UGX886.8B) do not cover its short term liabilities (UGX1,201.9B).

Long Term Liabilities: MTNU's short term assets (UGX886.8B) exceed its long term liabilities (UGX832.2B).

Debt to Equity History and Analysis

Debt Level: MTNU has more cash than its total debt.

Reducing Debt: Insufficient data to determine if MTNU's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: MTNU's debt is well covered by operating cash flow (150.9%).

Interest Coverage: MTNU's interest payments on its debt are well covered by EBIT (4.3x coverage).

Balance Sheet

Dividend

What is MTN Uganda current dividend yield, its reliability and sustainability?

Dividend Yield vs Market

Notable Dividend: Unable to evaluate MTNU's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate MTNU's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if MTNU's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if MTNU's dividend payments have been increasing.

Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of MTNU's dividend in 3 years as they are not forecast to pay a notable one for the UG market.

Next Steps

Explore strong dividend paying companies in the Telecom industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

10.4yrs

Average management tenure

CEO

Wim Vanhelleputte

5.5yrs

Tenure

Mr. Wim Vanhelleputte serves as the Chief Executive Officer of Uganda at MTN Group Limited since July 31, 2016. Mr. Vanhelleputte served as Managing Director of DRC at Bharti Airtel Limited since July 2015...

Leadership Team

Experienced Management: MTNU's management team is seasoned and experienced (10.4 years average tenure).

Ownership

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.

Ownership Breakdown

Dilution of Shares: MTNU only recently listed within the past 12 months.

Data	Last Updated (UTC time)
Company Analysis	2022/01/19 16:03
End of Day Share Price	2022/01/19 00:00
Earnings	2020/12/31
Annual Earnings	2020/12/31