diff --git a/pkg/login/social/azuread_oauth.go b/pkg/login/social/azuread_oauth.go
index e392eadc874..7545e10a733 100644
--- a/pkg/login/social/azuread_oauth.go
+++ b/pkg/login/social/azuread_oauth.go
@@ -22,6 +22,10 @@ import (
 	"github.com/grafana/grafana/pkg/util"
 )
 
+var (
+	errAzureADMissingGroups = &Error{"either the user does not have any group membership or the groups claim is missing from the token."}
+)
+
 const azureADProviderName = "azuread"
 
 var _ SocialConnector = (*SocialAzureAD)(nil)
@@ -130,6 +134,11 @@ func (s *SocialAzureAD) UserInfo(ctx context.Context, client *http.Client, token
 	}
 	s.log.Debug("AzureAD OAuth: extracted groups", "email", email, "groups", fmt.Sprintf("%v", groups))
 	if !s.isGroupMember(groups) {
+		if len(groups) == 0 {
+			// either they do not have a group or misconfiguration
+			return nil, errAzureADMissingGroups
+		}
+		// user is not a member of any of the allowed groups
 		return nil, errMissingGroupMembership
 	}
 
@@ -275,6 +284,7 @@ type getAzureGroupResponse struct {
 // extractGroups retrieves groups from the claims.
 // Note: If user groups exceeds 200 no groups will be found in claims and URL to target the Graph API will be
 // given instead.
+//
 // See https://docs.microsoft.com/en-us/azure/active-directory/develop/id-tokens#groups-overage-claim
 func (s *SocialAzureAD) extractGroups(ctx context.Context, client *http.Client, claims *azureClaims, token *oauth2.Token) ([]string, error) {
 	if !s.forceUseGraphAPI {
@@ -318,10 +328,10 @@ func (s *SocialAzureAD) extractGroups(ctx context.Context, client *http.Client,
 
 	if res.StatusCode != http.StatusOK {
 		if res.StatusCode == http.StatusForbidden {
-			s.log.Warn("AzureAD OAuh: Token need GroupMember.Read.All permission to fetch all groups")
+			s.log.Warn("AzureAD OAuth: Token need GroupMember.Read.All permission to fetch all groups")
 		} else {
 			body, _ := io.ReadAll(res.Body)
-			s.log.Warn("AzureAD OAuh: could not fetch user groups", "code", res.StatusCode, "body", string(body))
+			s.log.Warn("AzureAD OAuth: could not fetch user groups", "code", res.StatusCode, "body", string(body))
 		}
 		return []string{}, nil
 	}
diff --git a/pkg/login/social/azuread_oauth_test.go b/pkg/login/social/azuread_oauth_test.go
index 96be15224fa..dada74594d2 100644
--- a/pkg/login/social/azuread_oauth_test.go
+++ b/pkg/login/social/azuread_oauth_test.go
@@ -529,6 +529,30 @@ func TestSocialAzureAD_UserInfo(t *testing.T) {
 				Groups: []string{"foo"},
 			},
 		},
+		{
+			name: "Error if user does not have groups but allowed groups",
+			fields: fields{
+				providerCfg: map[string]any{
+					"name":                       "azuread",
+					"client_id":                  "client-id-example",
+					"allow_assign_grafana_admin": "false",
+					"allowed_groups":             "foo, bar",
+				},
+				cfg: &setting.Cfg{
+					AutoAssignOrgRole: "Viewer",
+				},
+			},
+			claims: &azureClaims{
+				Email:             "me@example.com",
+				PreferredUsername: "",
+				Roles:             []string{},
+				Groups:            []string{""},
+				Name:              "My Name",
+				ID:                "1234",
+			},
+			want:    nil,
+			wantErr: true,
+		},
 		{
 			name: "Fetch groups when ClaimsNames and ClaimsSources is set",
 			fields: fields{