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Helios Towers (GB:HTWS)
LSE:HTWS
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Helios Towers (HTWS) AI Stock Analysis

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GB:HTWS

Helios Towers

(LSE:HTWS)

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Neutral 62 (OpenAI - 4o)
Rating:62Neutral
Price Target:
182.00p
▲(14.75% Upside)
Helios Towers' stock score is primarily driven by its strong technical momentum, despite high valuation concerns. The company's financial performance is mixed, with strong operational efficiency but high leverage and negative revenue growth. The absence of a dividend yield further impacts the valuation score negatively. The positive sentiment from the earnings call is not factored into the score due to its exclusion from the weighted calculation.
Positive Factors
Strong Tenancy Growth
The increase in tenancy and new site additions indicates robust demand for Helios Towers' infrastructure, supporting long-term revenue growth and market expansion.
Improved Financial Ratings
Improved credit ratings enhance the company's financial credibility, potentially lowering borrowing costs and supporting future investments and growth.
Consistent Long-term Growth
Sustained EBITDA growth reflects strong operational performance and strategic execution, indicating a durable competitive position and potential for continued success.
Negative Factors
High Leverage
High leverage can limit financial flexibility and increase risk, potentially impacting the company's ability to invest in growth opportunities or weather economic downturns.
Negative Revenue Growth
Declining revenue growth may signal challenges in market demand or competitive pressures, potentially affecting long-term profitability and strategic goals.
Potential Market Saturation
Market saturation could limit future expansion opportunities, necessitating strategic adjustments to sustain growth and maintain competitive advantage.

Helios Towers (HTWS) vs. iShares MSCI United Kingdom ETF (EWC)

Helios Towers Business Overview & Revenue Model

Company DescriptionHelios Towers (HTWS) is a leading independent telecommunications infrastructure company that specializes in the development, acquisition, and management of tower sites for mobile network operators across Africa and the Middle East. The company focuses on providing reliable and scalable tower solutions to enhance connectivity, supporting the growing demand for mobile communications and data services. Helios Towers operates in the sectors of telecommunications infrastructure and real estate, offering core products such as tower leasing services, site development, and energy solutions to optimize the operational efficiency of its clients.
How the Company Makes MoneyHelios Towers generates revenue primarily through long-term tower leasing agreements with mobile network operators. The company's revenue model is based on charging clients for the use of its tower infrastructure, which includes the lease of space for antennas and other telecommunications equipment. Key revenue streams include rental income from new site deployments and existing tower leases, as well as additional services such as energy management and site maintenance. Significant partnerships with major telecom operators in the regions it serves enhance its earnings potential, as increased demand for mobile services drives the need for more tower infrastructure. Additionally, Helios Towers may benefit from the expansion of 5G networks, further contributing to its revenue growth.

Helios Towers Earnings Call Summary

Earnings Call Date:Jul 31, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Mar 12, 2026
Earnings Call Sentiment Positive
The earnings call reflects a strong financial and strategic position for Helios Towers, with significant growth in tenancy and financial metrics, improved financial ratings, and a clear long-term growth strategy. However, the company must remain vigilant of macroeconomic challenges and potential market saturation risks.
Q2-2025 Updates
Positive Updates
Strong Tenancy Growth and Financial Performance
Helios Towers reported strong tenancy growth with over 1,200 additions year-to-date, including 190 new sites. The tenancy ratio expanded to 2.11, up 0.1 year-on-year, with strong momentum towards the 2.2 target by 2026. EBITDA increased by 9% year-on-year, and free cash flow saw an upward swing of $40 million, reaching a record $30 million for H1 2025.
Improved Financial Ratings and Cost of Debt
Moody's affirmed a B1 rating with a positive outlook, while Fitch upgraded to BB-. The company also reduced its cost of debt from 7.2% to 6.9% through refinancing, enhancing its financial position.
Consistent Long-term Growth and Strategic Outlook
Helios Towers achieved 10 consecutive years of double-digit adjusted EBITDA growth, averaging a 25% annual growth rate since 2015. The company reaffirmed its full-year guidance and is on track for significant long-term value creation through its Capital Markets Day strategic plans.
Negative Updates
Macroeconomic Challenges and Risk Outlook
Despite strong performance, the company faces global macroeconomic challenges such as inflation, currency movements, and global shocks like COVID-19 and oil price fluctuations, requiring resilience and adaptability in its business model.
Potential Market Saturation
As the company continues to expand, there is a potential risk of market saturation in certain regions, which may impact future growth prospects if not managed carefully.
Company Guidance
During the Helios Towers H1 2025 results call, CEO Tom Greenwood announced that the company is firmly on track to achieve its FY '25 guidance, indicating a positive outlook across several key metrics. The company reported a 9% year-on-year increase in EBITDA, reaching $226 million for the first half of 2025, and expanded its return on invested capital (ROIC) by a percentage point to 14%. Free cash flow saw a significant upward swing of $40 million year-on-year, resulting in a surplus of $30 million, with expectations to reach between $40 million to $60 million by year-end. The net leverage ratio continued its downward trend to 3.8, a reduction of 0.4 from the previous year. The company also reaffirmed its full-year guidance, expecting to add 2,000 to 2,500 tenancies, achieve $460 million to $470 million in EBITDA, and continue deleveraging towards a net leverage ratio of 3.5. Helios Towers has successfully reduced its cost of debt to 6.9% from 7.2%, following some refinancing of term loans. Looking ahead, the company is preparing for its Capital Markets Day on November 6, where it plans to discuss its enhanced capital allocation policy and five-year strategic plan.

Helios Towers Financial Statement Overview

Summary
Helios Towers shows operational efficiency with strong EBIT and EBITDA margins. However, high leverage and negative revenue growth in the TTM period pose financial risks. Improving cash flow generation is a positive, but the company needs to focus on reducing leverage and enhancing revenue growth for better financial stability.
Income Statement
65
Positive
Helios Towers shows a mixed performance in its income statement. The company has a strong EBIT and EBITDA margin, indicating efficient operations. However, the revenue growth rate is negative in the TTM period, which is a concern. The net profit margin has improved significantly from previous years, suggesting better cost management or increased operational efficiency.
Balance Sheet
45
Neutral
The balance sheet reveals high leverage with a substantial debt-to-equity ratio, which poses a financial risk. The return on equity is low, reflecting limited profitability relative to shareholder equity. The equity ratio is also low, indicating a heavy reliance on debt financing.
Cash Flow
70
Positive
Cash flow analysis shows positive trends with a significant increase in free cash flow growth. The operating cash flow to net income ratio is healthy, indicating good cash generation relative to net income. However, the free cash flow to net income ratio suggests that not all net income is translating into free cash flow.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue820.40M792.00M721.00M560.70M449.10M414.00M
Gross Profit389.50M383.10M270.60M194.80M153.80M147.90M
EBITDA397.90M381.50M282.00M252.40M222.70M224.90M
Net Income84.70M33.50M-100.10M-171.40M-156.20M-36.70M
Balance Sheet
Total Assets2.40B2.33B2.20B2.14B1.93B1.43B
Cash, Cash Equivalents and Short-Term Investments184.50M161.00M106.60M119.60M528.90M428.70M
Total Debt1.95B1.95B1.89B1.80B1.48B1.12B
Total Liabilities2.29B2.29B2.24B2.10B1.77B1.30B
Stockholders Equity77.00M4.70M-68.30M8.30M168.00M130.30M
Cash Flow
Free Cash Flow81.10M53.90M-49.50M-196.70M-134.60M-64.20M
Operating Cash Flow234.90M198.30M147.20M51.10M35.90M59.50M
Investing Cash Flow-153.30M-149.70M-195.80M-381.50M-407.60M-123.50M
Financing Cash Flow-48.60M4.50M43.20M-74.60M474.00M271.50M

Helios Towers Technical Analysis

Technical Analysis Sentiment
Positive
Last Price158.60
Price Trends
50DMA
149.48
Positive
100DMA
137.37
Positive
200DMA
123.07
Positive
Market Momentum
MACD
1.94
Positive
RSI
58.35
Neutral
STOCH
48.04
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:HTWS, the sentiment is Positive. The current price of 158.6 is above the 20-day moving average (MA) of 156.10, above the 50-day MA of 149.48, and above the 200-day MA of 123.07, indicating a bullish trend. The MACD of 1.94 indicates Positive momentum. The RSI at 58.35 is Neutral, neither overbought nor oversold. The STOCH value of 48.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:HTWS.

Helios Towers Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
£10.78B28.9521.04%1.61%14.13%
66
Neutral
£17.34B18.267.56%4.58%-2.53%24.52%
62
Neutral
$1.63B25.044.95%
60
Neutral
$48.67B4.58-11.27%4.14%2.83%-41.78%
58
Neutral
£20.68B-6.14-7.57%3.92%16.15%-279.78%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:HTWS
Helios Towers
158.60
60.10
61.02%
GB:BT.A
BT Group plc
178.05
28.66
19.18%
GB:VOD
Vodafone
92.52
24.80
36.62%
GB:AAF
Airtel Africa Plc
314.80
217.31
222.90%

Helios Towers Corporate Events

Stock Buyback
Helios Towers Executes Share Buyback, Reducing Share Count
Neutral
Nov 7, 2025

Helios Towers plc has announced the repurchase of 360,000 of its ordinary shares as part of its share buyback program, with the intention to cancel these shares. This move will reduce the total number of shares in issue to 1,055,140,000, potentially impacting shareholder calculations and market dynamics.

The most recent analyst rating on (GB:HTWS) stock is a Hold with a £160.00 price target. To see the full list of analyst forecasts on Helios Towers stock, see the GB:HTWS Stock Forecast page.

Helios Towers Reports Strong Growth and Strategic Initiatives
Nov 7, 2025

Helios Towers Plc is a leading independent mobile tower company operating across Africa and the Middle East, providing critical infrastructure and power services to mobile network operators in the fastest-growing region for mobile services globally.

Business Operations and StrategyStock Buyback
Helios Towers Announces $75 Million Share Buyback Program
Positive
Nov 6, 2025

Helios Towers has announced a share buyback program of up to $75 million, set to be completed by the end of 2026. This initiative is part of the company’s capital allocation strategy, reflecting its strong financial position and confidence in long-term growth. The buyback will be conducted in tranches, with the first $25 million tranche starting immediately, and aims to optimize the company’s capital structure while returning surplus capital to shareholders.

The most recent analyst rating on (GB:HTWS) stock is a Hold with a £160.00 price target. To see the full list of analyst forecasts on Helios Towers stock, see the GB:HTWS Stock Forecast page.

Business Operations and StrategyStock BuybackDividends
Helios Towers Launches Ambitious IMPACT 2030 Strategy for Growth and Shareholder Returns
Positive
Nov 6, 2025

Helios Towers has unveiled its new five-year strategy, IMPACT 2030, aiming for significant growth and shareholder returns. The strategy targets a >9% CAGR in adjusted EBITDA and plans to generate over $1.3 billion in cumulative recurring free cash flow from 2026 to 2030. The company also plans to return over $400 million to investors through share buybacks and dividends by 2030, starting with a $75 million buyback. This strategic plan is expected to enhance Helios Towers’ market position and provide substantial value to its stakeholders by combining growth with attractive shareholder distributions.

The most recent analyst rating on (GB:HTWS) stock is a Hold with a £160.00 price target. To see the full list of analyst forecasts on Helios Towers stock, see the GB:HTWS Stock Forecast page.

Business Operations and StrategyStock BuybackDividendsFinancial Disclosures
Helios Towers Reports Robust Growth and Unveils Strategic Plan for 2030
Positive
Nov 6, 2025

Helios Towers reported strong financial results for the first nine months of 2025, with an 11% increase in adjusted EBITDA and a $70 million expansion in free cash flow. The company has tightened its full-year guidance upwards, reflecting robust tenancy growth and a strategic focus on customer experience excellence. Helios Towers is entering a new strategic phase, IMPACT 2030, aiming for continued organic growth and returning over $400 million to investors through share buybacks and dividends by 2030. The launch of a $75 million share buyback program marks the beginning of this initiative, highlighting the company’s commitment to enhancing shareholder value.

The most recent analyst rating on (GB:HTWS) stock is a Hold with a £160.00 price target. To see the full list of analyst forecasts on Helios Towers stock, see the GB:HTWS Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Helios Towers to Announce Q3 2025 Results and Strategic Plans
Neutral
Oct 9, 2025

Helios Towers has announced that it will release its financial results for the first nine months of 2025 on November 6, 2025. On the same day, the company will unveil its new five-year strategic targets and capital allocation framework during a Capital Markets Day event. This announcement is significant as it may impact the company’s operational strategies and industry positioning, providing stakeholders with insights into Helios Towers’ future plans and market focus.

The most recent analyst rating on (GB:HTWS) stock is a Hold with a £160.00 price target. To see the full list of analyst forecasts on Helios Towers stock, see the GB:HTWS Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
Helios Towers to Repurchase $120 Million of Convertible Bonds
Neutral
Oct 1, 2025

Helios Towers, through its subsidiary HTA Group, Ltd, has announced the repurchase of $120 million of its $300 million Guaranteed Senior Unsecured Convertible Bonds due 2027. This repurchase, conducted via a reverse bookbuilding process, represents 40% of the outstanding bonds and aims to streamline the company’s financial structure by reducing its debt obligations. The settlement is expected to occur on or around October 10, 2025, after which the repurchased bonds will be canceled, leaving $180 million in outstanding bonds.

The most recent analyst rating on (GB:HTWS) stock is a Buy with a £245.00 price target. To see the full list of analyst forecasts on Helios Towers stock, see the GB:HTWS Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
Helios Towers Announces Bond Repurchase Initiative
Neutral
Sep 30, 2025

Helios Towers, through its subsidiary HTA Group, Ltd, has announced a repurchase initiative for up to USD 120 million of its USD 300 million Guaranteed Senior Unsecured Convertible Bonds due 2027. This move is part of a reverse bookbuilding process aimed at managing the company’s debt profile. The repurchase is expected to impact the company’s financial strategy by potentially reducing outstanding debt and optimizing its balance sheet. The initiative is not open to bondholders in the United States, reflecting regulatory compliance and market-specific strategies.

The most recent analyst rating on (GB:HTWS) stock is a Buy with a £245.00 price target. To see the full list of analyst forecasts on Helios Towers stock, see the GB:HTWS Stock Forecast page.

Business Operations and StrategyExecutive/Board Changes
Helios Towers CFO Exercises Legacy Incentive Options
Neutral
Sep 19, 2025

Helios Towers plc announced a transaction involving the exercise of legacy incentive plan options by Manjit Dhillon, the Chief Financial Officer. This transaction, involving 49,653 ordinary shares, reflects the company’s ongoing commitment to aligning management incentives with shareholder interests, potentially impacting its financial strategy and market perception.

The most recent analyst rating on (GB:HTWS) stock is a Buy with a £245.00 price target. To see the full list of analyst forecasts on Helios Towers stock, see the GB:HTWS Stock Forecast page.

Business Operations and Strategy
Helios Towers Appoints Deutsche Numis as Joint Corporate Broker
Positive
Sep 11, 2025

Helios Towers has appointed Deutsche Numis as a joint corporate broker alongside Bank of America and Jefferies. This strategic move is expected to enhance the company’s financial advisory capabilities and strengthen its market positioning, potentially impacting its operations and stakeholder interests positively.

The most recent analyst rating on (GB:HTWS) stock is a Hold with a £133.00 price target. To see the full list of analyst forecasts on Helios Towers stock, see the GB:HTWS Stock Forecast page.

Business Operations and StrategyExecutive/Board Changes
Helios Towers Announces Strategic Board Appointment
Positive
Aug 21, 2025

Helios Towers announced the appointment of Alison Baker, its Senior Independent Non-Executive Director, as a Non-Executive Director of Central Asia Metals plc, which is traded on the AIM market of the London Stock Exchange. This strategic appointment may enhance Helios Towers’ industry positioning by leveraging Baker’s expertise and connections, potentially benefiting stakeholders through strengthened governance and expanded influence.

The most recent analyst rating on (GB:HTWS) stock is a Buy with a £255.00 price target. To see the full list of analyst forecasts on Helios Towers stock, see the GB:HTWS Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 08, 2025