IHS Holding Limited (IHS): A Bull Case Theory

We came across a bullish thesis on IHS Holding Limited on X.com by ToffCap. In this article, we will summarize the bulls’ thesis on IHS. IHS Holding Limited's share was trading at $6.99 as of September 16th. IHS’s trailing P/E was 21.18 according to Yahoo Finance.

IHS Group ($IHS) has gained renewed investor attention following the launch of a strategic review in March 2024 aimed at unlocking shareholder value. The company has focused on optimizing its portfolio and improving financial performance, with a targeted $500 million to $1 billion in proceeds from asset and market disposals, primarily to reduce debt.

So far, the strategy has delivered impressive results: in December 2024, $IHS completed the sale of its Kuwait operations at an attractive 14.2x adjusted EBITDA, well above the company’s current trading multiple of around 6x. By mid-2025, $IHS had exited three additional markets—Rwanda, Egypt, and Peru—demonstrating both execution capability and discipline in monetizing non-core assets.

Debt reduction remains the company’s top priority, which is expected to improve leverage metrics and reduce financial risk, but management has left the door open for other capital return options, including share buybacks or the introduction of a dividend policy. The strategic review also continues to explore additional actions to enhance shareholder value, as management believes the market has yet to fully reflect the company’s underlying worth. This combination of successful high-multiple asset disposals, disciplined debt reduction, and potential shareholder returns positions $IHS as an attractive investment with clear upside.

The recent price momentum suggests that the market is beginning to recognize the impact of these strategic moves, but further catalysts remain, offering investors a compelling risk/reward scenario. Overall, $IHS represents a well-executed transformation story with multiple levers to unlock value, supported by a management team committed to maximizing returns while maintaining financial discipline.

Previously we covered a bullish thesis on IHS Holding Limited (IHS) by Deep Value Capital in May 2025, which highlighted the company’s high-margin telecom tower business, recurring CPI-protected revenue, and growth potential across emerging markets. The company's stock price has appreciated approximately by 33.90% since our coverage. The thesis still stands as IHS continues to compound cash flows. ToffCap shares a similar perspective but emphasizes the 2024 strategic review, asset disposals, and debt reduction as additional value catalysts.

IHS Holding Limited is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 27 hedge fund portfolios held IHS at the end of the second quarter which was 22 in the previous quarter. While we acknowledge the potential of IHS as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None.