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In this share market analysis article you are going to get info of Africa’s Best Internet Provider stocks. You are going to get full stocks analysis , so read it full.
Stocks Info of Best African Internet Provider (Internet Service Provider)Companies :
| Company | Stock Price (Local Currency) | Market Cap (USD Billion) | Net Profit (USD Million) (Q1 2025) | Index Listed In |
|---|---|---|---|---|
| MTN Group | ZAR 120.50 | 12.5 | 450 | JSE All Share |
| Vodacom Group | ZAR 95.80 | 9.8 | 320 | JSE All Share |
| Airtel Africa | GBP 1.15 | 5.2 | 210 | FTSE 250 |
| Telkom SA | ZAR 25.30 | 1.1 | 50 | JSE All Share |
| Safaricom | KES 18.75 | 8.3 | 280 | NSE 20 |
| Econet Wireless | ZWL 550.00* | 0.9* | 15* | ZSE All Share |
| Orange S.A. | EUR 10.40 | 30.6 | 850 | CAC 40 |
| Etisalat (9mobile) | AED 18.20 | 35.0 | 1,100 | ADX General |
| Liquid Intelligent | ZAR 5.60 | 0.7 | 12 | JSE All Share |
Extra Reference :
Fundamental Analysis of Africa’s Best Internet Service Provider Stocks :
| Company | ROCE (%) | Debt-to-Equity | P/E Ratio |
|---|---|---|---|
| MTN Group | 18.5% | 0.75 | 12.4 |
| Vodacom Group | 20.1% | 0.60 | 14.2 |
| Airtel Africa | 15.8% | 1.20 | 9.8 |
| Telkom SA | 8.3% | 1.05 | 6.5 |
| Safaricom | 25.4% | 0.45 | 18.6 |
| Econet Wireless | 6.2%* | 1.80* | 22.0* |
| Orange S.A. | 12.7% | 0.90 | 10.3 |
| Etisalat (9mobile) | 22.0% | 0.50 | 8.7 |
| Liquid Intelligent | 5.5% | 2.10 | N/A (loss-making) |
Key Investment Recommendation:
- Best Buy: Safaricom & Etisalat (strong returns, low debt).
- Value Pick: MTN & Airtel Africa (good growth at fair price).
- Avoid: Telkom SA, Liquid, Econet (weak profitability, high risk).
Piotroski F-Score Analysis of Africa’s Best Internet Provider Companies :
| Company | F-Score | Strength | Weakness |
|---|---|---|---|
| MTN Group | 7 | Strong profitability, moderate debt | Slower growth vs peers |
| Vodacom Group | 8 | High ROCE, low debt | Slightly high P/E |
| Airtel Africa | 6 | Good growth potential | High debt ratio |
| Telkom SA | 4 | Low valuation | Weak ROCE, high debt |
| Safaricom | 9 | Best ROCE, low debt | High P/E (premium) |
| Econet Wireless | 3* | N/A (hyperinflation risk) | Very weak fundamentals |
| Orange S.A. | 5 | Stable large-cap | Moderate debt, slow growth |
| Etisalat (9mobile) | 8 | High ROCE, low debt | Limited African exposure |
| Liquid Intelligent | 2 | N/A (loss-making) | Extremely high debt |
Top Picks (Strong F-Score, Fundamentals)
- Safaricom (9) – Best overall.
- Vodacom (8), Etisalat (8) – Strong & stable.
- MTN (7) – Balanced choice.
Moderate (Potential but Risks)
- Airtel Africa (6) – Growth but high debt.
- Orange (5) – Stable but slow.
Avoid (Weak F-Score, High Risk)
- Telkom SA (4), Econet (3), Liquid (2) – Poor fundamentals.
Credit Rating Analysis of African Internet Stocks :
| Company | Credit Rating | Outlook |
|---|---|---|
| MTN Group | BB+ | Stable |
| Vodacom Group | BBB- | Positive |
| Airtel Africa | BB | Stable |
| Telkom SA | B+ | Negative |
| Safaricom | BBB | Stable |
| Econet Wireless | CCC | Negative |
| Orange S.A. | BBB+ | Stable |
| Etisalat (9mobile) | A- | Stable |
| Liquid Intelligent | B- | Negative |
Key Risks
- Currency Volatility – African forex risks (ZAR, NGN, KES, ZWL).
- Regulatory Pressure – Govt. taxes & licensing fees.
- High Debt (Telkom, Econet, Liquid) – Liquidity risks.
- Hyperinflation (Econet) – Zimbabwe’s economic crisis.
- Loss-Making (Liquid) – Unsustainable debt.
Final Words : Future Investment Analysis of Best African Internet Companies
| Company | Future Prospects | Financial Strength |
|---|---|---|
| MTN Group | Good: Expansion in key markets, potential growth from digital services like fintech | Strong profitability, moderate debt |
| Vodacom Group | Good: Strong presence in Africa, expected growth in mobile data services | High ROCE, low debt |
| Airtel Africa | Good: Increasing demand for mobile and broadband services | High debt ratio, but strong market growth |
| Telkom SA | Neutral: Facing competition, regulatory challenges | Weak ROCE, high debt |
| Safaricom | Excellent: Leading mobile operator in Kenya, strong brand, expansion potential | Best ROCE, low debt |
| Econet Wireless | Bad: Hyperinflation risk in Zimbabwe, economic instability | Very weak fundamentals, high debt |
| Orange S.A. | Neutral: Stable growth in existing markets, slower expansion | Moderate debt, slow growth |
| Etisalat (9mobile) | Neutral: Good performance in selected markets, but limited Africa exposure | High ROCE, low debt |
| Liquid Intelligent | Bad: Loss-making company, high debt | Extremely high debt, lack of profitability |
Long Term & Short Term Investment Possibilities :
| Company | Short-Term Investment | Long-Term Investment |
|---|---|---|
| MTN Group | Good: Stable growth, expected dividend payments | Good: High growth potential in digital services |
| Vodacom Group | Good: High profitability, growth in data and fintech | Good: Strong long-term growth potential in mobile data |
| Airtel Africa | Good: Expanding mobile data services in Africa | Good: High long-term growth potential in broadband |
| Telkom SA | Neutral: Declining fixed-line services, moderate risk | Bad: Slow growth, weak ROCE, high debt |
| Safaricom | Excellent: Dominant position in Kenya, potential to expand | Excellent: Leading position in East Africa, consistent returns |
| Econet Wireless | Bad: Hyperinflation risk, economic instability in Zimbabwe | Bad: High risk due to financial instability |
| Orange S.A. | Neutral: Slow but stable growth in core markets | Neutral: Moderate growth, stable cash flow |
| Etisalat (9mobile) | Neutral: Limited African exposure, moderate risk | Neutral: Good in limited markets, but growth potential outside Africa is unclear |
| Liquid Intelligent | Bad: Loss-making, high debt, uncertain financial future | Bad: High risk, uncertain future |
Top Picks:
- Safaricom
- Short-Term: Excellent position in Kenya with expansion potential.
- Long-Term: Leading player in East Africa, with consistent returns and growth potential.
- F-Score: 9 (Best ROCE, low debt)
- Why: Safaricom is well-established in Kenya and has a solid track record with high profitability and growth potential in the region. Despite a high P/E, its strong financials make it a top pick.
- Vodacom Group
- Short-Term: High profitability with growth in data and fintech.
- Long-Term: Strong long-term growth potential in mobile data services across Africa.
- F-Score: 8 (High ROCE, low debt)
- Why: Vodacom has an excellent financial standing, and its focus on data and fintech positions it well for future growth in Africa’s telecom and digital services.
- MTN Group
- Short-Term: Stable growth, expected dividend payments, and potential for digital services.
- Long-Term: High growth potential in digital services, including fintech.
- F-Score: 7 (Strong profitability, moderate debt)
- Why: MTN is one of the largest telecom companies in Africa with a diversified strategy in mobile services and digital offerings, providing strong prospects for both short-term and long-term growth.
Avoid:
- Econet Wireless
- Short-Term: High risk due to hyperinflation and economic instability in Zimbabwe.
- Long-Term: Weak fundamentals with high financial instability.
- F-Score: 3* (Very weak fundamentals, high debt)
- Why: The company’s exposure to Zimbabwe’s hyperinflation and poor financial health makes it a risky investment with minimal upside potential.
- Liquid Intelligent Technologies
- Short-Term: Loss-making with high debt and uncertain future.
- Long-Term: High risk due to uncertain financial future and extreme debt.
- F-Score: 2 (Extremely high debt, loss-making)
- Why: With extremely high debt and no profitability, Liquid Intelligent is an extremely risky investment, especially in the long term.
- Telkom SA
- Short-Term: Declining fixed-line services and moderate risk.
- Long-Term: Slow growth, weak ROCE, and high debt.
- F-Score: 4 (Weak ROCE, high debt)
- Why: Telkom’s weak financials, combined with a declining fixed-line market and high debt, make it a poor choice for long-term investments.
Summary of Top Picks & Avoids:
- Top Picks: Safaricom, Vodacom, MTN Group
- Avoid: Econet Wireless, Liquid Intelligent Technologies, Telkom SA
So this was it for full stocks analysis of best African Internet stocks. You can read many fundamentals from this article and decide for yourself which is the best company stocks for you. Best of luck
I hope you like this study
Happy Investing