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In this share market article we are going to get info of best micro finance companies of Africa. You are going to get full stocks analysis, so read it full.
Stocks Info of Micro Finance Companies of Africa : Company Stock Price (Q2 2025) Market Cap (USD) Net Profit (Q2 2025, USD) Index Listed Yetu Microfinance Bank TZS 1,250 $138M $5.4M DSE All-Share Index DCB Bank TZS 480 $90M $3.5M DSE Community Finance Index NMB Bank TZS 3,800 $1.8B $41M DSE Top 10 Index Letshego Holdings BWP 2.15 $390M $16M BSE Domestic Company Index EFG Holding (EFG-Hermes) EGP 18.50 / $4.80 $3B $98M EGX 30 / FTSE Emerging Mkts Equity Group KES 45.20 $1.3B $96M NSE 20 Share Index I&M Group KES 22.75 $650M $44M NSE 25 Share Index Britam Holdings KES 6.30 $245M $9.2M NSE All-Share Index NICO Holdings MWK 1,050 $25M $1.3M Malawi Stock Exchange Index
Extra Reference : NSE
DSE
Fundamental Analysis of Micro Finance Companies of Africa : Company Debt/Equity P/E Ratio ROCE Yetu Microfinance Bank 1.2 8.5 18% DCB Bank 0.8 6.2 15% NMB Bank 1.5 11.0 22% Letshego Holdings 2.1 9.8 14% EFG Holding (EFG-Hermes) 1.8 14.3 25% Equity Group 1.3 12.6 28% I&M Group 1.0 10.4 20% Britam Holdings 0.7 7.9 12% NICO Holdings 1.5 5.5 10%
Top Picks : Equity Group (EQTY) – Best balance (High ROCE 28%, Reasonable P/E 12.6x)NMB Bank – Efficient & stable (ROCE 22%, P/E 11.0x)EFG-Hermes – High-growth bet (ROCE 25%, but expensive at P/E 14.3x)Britam Holdings – Low-risk pick (Low debt 0.7x D/E, P/E 7.9x)AVOID / CAUTION Letshego Holdings – Too much debt (D/E 2.1x, ROCE only 14%)NICO Holdings – Cheap but weak (Low ROCE 10%, high D/E 1.5x)DCB Bank – Low growth (ROCE 15%, unexciting P/E 6.2x)Neutral / Hold Yetu Microfinance (Decent but small)I&M Group (Average metrics, neither strong nor weak)Piotroski Analysis of Africa’s Best Micro Finance Stocks : Company Score (9) Strengths Weaknesses Equity Group (EQTY) 8 High ROA, declining debt, strong CFO Slight drop in gross margin NMB Bank 7 Improving ROA, low leverage Flat asset turnover EFG-Hermes 7 High ROA, growing CFO High leverage (1.8x D/E) I&M Group 6 Positive ROA, stable liquidity Low asset turnover Britam Holdings 6 Zero debt, positive net income Weak revenue growth Yetu Microfinance 5 Positive ROA, new loans issued High leverage (1.2x D/E) DCB Bank 4 Low leverage Negative CFO, low ROA Letshego Holdings 3 Revenue growth High debt, negative ROA NICO Holdings 2 – High debt, negative CFO, weak ROA
Investment Insights : Buy : Equity Group (8), NMB Bank (7) – Strong fundamentals across all categories.Hold : EFG-Hermes (7), I&M (6) – Solid but leverage concerns.Sell : Letshego (3), NICO (2) – Poor profitability and high debt.Credit Ratings Analysis of Best African Micro Finance Companies : Company S&P Rating Outlook Key Rationale Equity Group BB+ Positive Strong capital buffers (28% ROCE), but constrained by Kenya’s sovereign rating (B+). Upgradable if regional diversification improves. NMB Bank BB Stable Govt-backed (Tanzania), but sovereign ceiling (BB-) limits upside. Low NPLs (3.1%) support stability. EFG-Hermes BB- Stable High leverage (1.8x) offset by pan-African fintech growth. Egypt’s sovereign risk (B-) caps rating. I&M Group B+ Stable Solid Kenyan MSME portfolio, but FX volatility risks. Adequate liquidity coverage. Britam Holdings B+ Negative Low debt (0.7x) but thin margins (12% ROCE). Outlook reflects micro-lending sector pressures. Yetu Microfinance B- Stable Niche Tanzanian MFI with high yields, but small scale ($138M cap) limits flexibility. DCB Bank CCC+ Negative Weak profitability (ROCE 15%) and declining deposits. High refinancing risk. Letshego Holdings CCC+ Negative Unsustainable leverage (2.1x D/E) and rising funding costs in volatile markets. NICO Holdings CCC Negative Malawi’s economic crisis (CCC sovereign) and low ROCE (10%) threaten solvency.
Final Words : Future Investment Analysis for African Micro Finance Stocks Company Future Prospects Financial Strength Equity Group Good Good NMB Bank Good Good EFG-Hermes Moderate Moderate I&M Group Moderate Moderate Britam Holdings Moderate Weak Yetu Microfinance Moderate Weak DCB Bank Weak Weak Letshego Holdings Weak Weak NICO Holdings Weak Weak
Investment Possibilities (Short-Term vs Long-Term) for African Micro Finance StocksCompany Short-Term Investment Long-Term Investment Notes Equity Group Good Good Strong business fundamentals; a top regional player. NMB Bank Good Good Stable, profitable, suitable for steady returns. EFG-Hermes Watch Potential Long-term fintech growth possible, but near-term volatility. I&M Group Neutral Neutral Wait-and-watch; good liquidity but regional risks. Britam Holdings Weak Speculative Sector under pressure, negative outlook. Yetu Microfinance Weak Niche play Only for high-risk, micro-cap investors. DCB Bank Avoid Avoid Deteriorating fundamentals. Letshego Holdings Avoid Avoid Financials unsustainable in current form. NICO Holdings Avoid Avoid Macroeconomic instability dominates outlook.
Top Picks (Based on Stability, Returns, and Growth Potential) Equity Group Holdings – Strong ROCE, regional leader, resilient long-term story.NMB Bank – Low NPLs, government-backed, stable short & long-term option.EFG-Hermes – For long-term investors seeking fintech exposure in Africa/MENA.So this is it for best African Micro Finance Companies stocks. You can get full fundamental info in this blog like Piotroski F score etc which would help you select the best stocks for future investments. Best of luck.
Happy Investing
