BT Group plc (BT.A) AI Stock Analysis

• Market Cap: £19.27B
• Dividend Yield: 4.13%
• Average Volume (3M): 18.14M
• Price to Earnings (P/E): 18.3
• Beta (1Y): 0.91
• Revenue Growth: -2.23%
• EPS Growth: 22.78%
• Country: UK
• Employees: 91,700
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): 0.04
• Shares Outstanding: 9,967,472,000
• 10 Day Avg. Volume: 18,408,888
• 30 Day Avg. Volume: 18,142,619
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: £213.20
• Price Target Upside: 7.79% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5

• Rating: 66 Neutral
• Price Target: 218.00p ▲(10.21% Upside)

BT Group plc's overall stock score reflects solid financial performance and positive earnings call insights, despite technical analysis indicating short-term bearish trends. The company's strategic initiatives and strong dividend yield provide a balanced outlook, though high leverage and revenue declines pose risks.

BT Group plc Business Overview & Revenue Model

Company Description

BT Group plc provides communications products and services in the United Kingdom, Europe, the Middle East, Africa, the Americas, and the Asia Pacific. It operates through Consumer, Enterprise, Global, and Openreach segments. The Consumer segment offers landline, mobile, broadband, and TV services under the BT, EE, and Plusnet brands. The Enterprise segment provides network solutions to communications providers; and sells communications and IT services to businesses and public sector organizations. Its services include fixed voice, mobile, fixed connectivity, and IT services. The Global segment secures and manages network and cloud infrastructure and services for multinational corporations. It also offers voice and data network services, such as managed, security and network, and IT infrastructure services. The Openreach segment provides fixed connectivity access network that connects homes, mobile phone masts, schools, shops, banks, hospitals, libraries, broadcasters, governments, and big and small businesses. This segment also offers last mile, a service over the local access network; and installs and maintains fiber and copper communications networks from exchanges to homes and businesses. BT Group has strategic partnership with Microsoft. The company was formerly known as Newgate Telecommunications Limited and changed its name to BT Group plc in September 2001. BT Group plc was incorporated in 2001 and is headquartered in London, the United Kingdom.

How the Company Makes Money

BT Group generates revenue through multiple streams, primarily from its telecommunications services, which include both retail and wholesale offerings. Key revenue streams include monthly subscription fees for residential broadband and mobile plans, as well as fees for landline services. The company also earns revenue from its enterprise solutions, providing business customers with data, voice, and IT services, including cloud services and cybersecurity solutions. Significant partnerships with technology companies and content providers, such as sports broadcasting partnerships, further bolster its earnings by attracting more subscribers and enhancing its service offerings. Additionally, BT's investments in network infrastructure, particularly in fiber and 5G technology, are expected to drive future revenue growth by expanding its customer base and improving service quality.

BT Group plc Financial Statement Overview

Summary

BT Group plc demonstrates solid operational efficiency with strong EBITDA margins, but faces challenges with declining revenue and high leverage. The balance sheet shows stability in equity ratios, while cash flow metrics highlight strong operational cash generation. Overall, the company maintains resilience despite industry pressures.

Income Statement

BT Group plc has seen a decline in total revenue over the past years. The gross profit margin improved recently, indicating effective cost management. However, the net profit margin remains modest due to increased operational expenses, and revenue growth has been negative. The EBITDA margin is strong, reflecting good operational efficiency.

Balance Sheet

The company's debt-to-equity ratio is relatively high, suggesting significant leverage. However, the equity ratio is stable, showing resilience in equity financing. Return on equity has fluctuated but remains positive, indicating profitability relative to shareholder investments.

Cash Flow

BT Group's operating cash flow is consistently strong, supporting its capital expenditures. Free cash flow improved significantly in the latest year, enhancing financial flexibility. The operating cash flow to net income ratio is robust, demonstrating effective cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	20.36B	20.36B	20.80B	20.68B	20.85B	21.33B
Gross Profit	9.54B	14.99B	9.71B	15.17B	13.78B	13.80B
EBITDA	7.36B	7.27B	6.46B	7.47B	7.23B	6.88B
Net Income	1.05B	1.05B	855.00M	1.91B	1.27B	1.47B
Balance Sheet
Total Assets	50.98B	50.98B	51.74B	52.75B	49.77B	50.88B
Cash, Cash Equivalents and Short-Term Investments	2.81B	2.81B	2.31B	3.94B	3.46B	4.65B
Total Debt	23.33B	23.33B	23.48B	23.88B	21.95B	22.84B
Total Liabilities	38.07B	38.07B	39.22B	38.24B	34.48B	39.20B
Stockholders Equity	12.91B	12.91B	12.52B	14.51B	15.30B	11.68B
Cash Flow
Free Cash Flow	2.05B	2.05B	984.00M	1.42B	1.30B	1.06B
Operating Cash Flow	6.99B	6.99B	5.95B	6.72B	5.91B	5.96B
Investing Cash Flow	-5.01B	-5.01B	-3.54B	-6.40B	-3.56B	-3.24B
Financing Cash Flow	-2.11B	-2.11B	-2.43B	-636.00M	-2.56B	-3.22B

BT Group plc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 197.80
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:BT.A, the sentiment is Negative. The current price of 197.8 is below the 20-day moving average (MA) of 206.68, below the 50-day MA of 204.88, and above the 200-day MA of 169.37, indicating a neutral trend. The MACD of -2.02 indicates Positive momentum. The RSI at 37.32 is Neutral, neither overbought nor oversold. The STOCH value of 28.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:BT.A.

BT Group plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AAF	76 Outperform	8.07B	31.15	13.04%	2.02%	6.56%	2630.77%
GAMA	70 Outperform	905.01M	13.96	18.74%	2.08%	11.95%	20.69%
BT.A	66 Neutral	£19.27B	18.35	8.29%	4.13%	-2.23%	22.78%
HTWS	65 Neutral	1.46B	57.20	712.77%	―	6.88%	0.00%
VOD	61 Neutral	20.51B	-6.05	-7.90%	4.14%	-0.59%	-489.50%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

BT Group plc Corporate Events

BT Group Executives Reinvest Dividends in Company Shares

BT Group plc announced that key executives, including Bas Burger, Sabine Chalmers, and Alison Wilcox, have reinvested dividends into additional shares of the company. This move reflects confidence in the company’s future prospects and aligns the interests of management with those of shareholders, potentially impacting the company’s market perception positively.

The most recent analyst rating on ($GB:BT.A) stock is a Sell with a £140.00 price target. To see the full list of analyst forecasts on BT Group plc stock, see the GB:BT.A Stock Forecast page.

BT Group Welcomes New Board Members from Bharti Enterprises

BT Group plc has announced the appointment of Sunil Bharti Mittal and Gopal Vittal to its Board as non-independent non-executive directors, representing Bharti Televentures UK Limited. This move is part of a relationship agreement with Bharti Global, which allows Bharti to nominate board members based on its shareholding in BT Group. The appointments are expected to bring significant telecom industry experience and global perspectives to BT Group, potentially enhancing its market strategy and growth opportunities.

The most recent analyst rating on ($GB:BT.A) stock is a Sell with a £140.00 price target. To see the full list of analyst forecasts on BT Group plc stock, see the GB:BT.A Stock Forecast page.

BT Group Executives Reinvest Dividends in Company Shares

BT Group plc announced transactions involving the reinvestment of dividends into further shares under the BT Group Employee Share Investment Plan. Sabine Chalmers, Group General Counsel, and Howard Watson, Chief Security and Networks Officer, both engaged in these transactions, reflecting ongoing investment in the company’s stock by its senior management. This move underscores the confidence of BT Group’s leadership in the company’s future performance and aligns with strategic efforts to enhance shareholder value.

The most recent analyst rating on ($GB:BT.A) stock is a Sell with a £140.00 price target. To see the full list of analyst forecasts on BT Group plc stock, see the GB:BT.A Stock Forecast page.

BT Group Updates Shareholders on Voting Rights

BT Group plc announced that as of 29 August 2025, its capital consisted of 9,968,127,681 ordinary shares with voting rights, with 656,075 held as treasury shares. This results in a total of 9,967,471,606 voting rights, which shareholders can use to calculate their interests under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on ($GB:BT.A) stock is a Buy with a £240.00 price target. To see the full list of analyst forecasts on BT Group plc stock, see the GB:BT.A Stock Forecast page.

BT Group Announces Share Transaction by Key Associate

BT Group plc announced a transaction involving the sale of 150,000 ordinary shares by Hayden Davies, a person closely associated with Alison Wilcox, the Chief People & Culture Officer. This transaction, conducted in London at a price of £2.17 per share, highlights internal movements within the company and may impact shareholder perceptions and market dynamics.

The most recent analyst rating on ($GB:BT.A) stock is a Buy with a £240.00 price target. To see the full list of analyst forecasts on BT Group plc stock, see the GB:BT.A Stock Forecast page.

BT Group Executives Conduct Share Transactions Under Restricted Share Plan

BT Group plc announced transactions involving its senior executives under the BT Group Restricted Share Plan. Key executives, including the Chief Financial Officer and Chief People & Culture Officer, vested and sold shares primarily to cover tax obligations. These transactions highlight the company’s ongoing management of executive compensation and shareholding strategies, potentially impacting stakeholder perceptions and market confidence.

The most recent analyst rating on ($GB:BT.A) stock is a Sell with a £140.00 price target. To see the full list of analyst forecasts on BT Group plc stock, see the GB:BT.A Stock Forecast page.

BT Group Announces Total Voting Rights for July 2025

BT Group plc announced its total voting rights as of 31 July 2025, with its capital consisting of 9,968,127,681 ordinary shares, out of which 1,259,186 are held as treasury shares. This results in a total of 9,966,868,495 voting rights. This disclosure is crucial for shareholders to determine their notification requirements under the FCA’s rules, impacting their stake management and compliance obligations.

The most recent analyst rating on ($GB:BT.A) stock is a Buy with a £220.00 price target. To see the full list of analyst forecasts on BT Group plc stock, see the GB:BT.A Stock Forecast page.