Investing IdeasBrowse All StocksMarkets

Have your own idea? Try our Stock Screener

Header cover image

U.K. (FTSE) Market Analysis & Valuation

UpdatedJan 10, 2025
DataAggregated Company Financials
Companies1210
  • 7D0.3%
  • 3M-0.2%
  • 1Y6.6%
  • YTD0.3%

Over the last 7 days, the market has remained flat, although notably the Energy sector gained 4.9% in that time. More promisingly, the market is up 4.8% over the past year. As for the next few years, earnings are expected to grow by 14% per annum.

Trending IndustriesOil and GasGoldBiotechSoftware

Market Valuation and Performance

Has the U.K. Market valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 10 Jan 2025UK£2.4tUK£2.1tUK£124.2b15.8x19.6x1.2x
Sun, 08 Dec 2024UK£2.4tUK£2.0tUK£122.3b16.5x20x1.2x
Tue, 05 Nov 2024UK£2.4tUK£2.0tUK£114.9b16.3x21x1.2x
Thu, 03 Oct 2024UK£2.4tUK£2.0tUK£117.8b16.6x20.6x1.2x
Sat, 31 Aug 2024UK£2.5tUK£2.0tUK£119.2b16.9x20.7x1.2x
Mon, 29 Jul 2024UK£2.4tUK£2.0tUK£127.1b16.5x19.2x1.2x
Wed, 26 Jun 2024UK£2.4tUK£2.0tUK£131.8b16.4x18.4x1.2x
Fri, 24 May 2024UK£2.5tUK£2.0tUK£127.0b17.2x19.6x1.2x
Sun, 21 Apr 2024UK£2.4tUK£2.1tUK£148.4b15.6x16.1x1.1x
Tue, 19 Mar 2024UK£2.3tUK£2.1tUK£145.0b15.9x16x1.1x
Thu, 15 Feb 2024UK£2.3tUK£2.0tUK£144.4b15.1x15.6x1.1x
Sat, 13 Jan 2024UK£2.3tUK£2.1tUK£193.4b14.9x12x1.1x
Mon, 11 Dec 2023UK£2.3tUK£2.1tUK£194.1b14.6x11.8x1.1x
Wed, 08 Nov 2023UK£2.2tUK£2.2tUK£194.5b13.8x11.5x1x
Fri, 06 Oct 2023UK£2.3tUK£2.2tUK£187.0b14.1x12.2x1x
Sun, 03 Sep 2023UK£2.3tUK£2.2tUK£184.9b14.5x12.5x1.1x
Tue, 01 Aug 2023UK£2.4tUK£2.2tUK£194.0b14.6x12.3x1.1x
Thu, 29 Jun 2023UK£2.3tUK£2.2tUK£209.2b14.2x11.1x1.1x
Sat, 27 May 2023UK£2.4tUK£2.2tUK£214.0b14x11.2x1.1x
Mon, 24 Apr 2023UK£2.5tUK£2.2tUK£178.7b14.1x13.9x1.1x
Wed, 22 Mar 2023UK£2.3tUK£2.2tUK£182.7b13.7x12.6x1.1x
Fri, 17 Feb 2023UK£2.6tUK£2.2tUK£202.9b13.8x12.7x1.2x
Sun, 15 Jan 2023UK£2.5tUK£2.1tUK£184.7b13.8x13.7x1.2x
Tue, 13 Dec 2022UK£2.4tUK£2.1tUK£185.8b13.3x12.9x1.1x
Thu, 10 Nov 2022UK£2.4tUK£2.3tUK£207.9b12.8x11.6x1.1x
Sat, 08 Oct 2022UK£2.3tUK£2.4tUK£208.8b11.9x11.1x1x
Mon, 05 Sep 2022UK£2.4tUK£2.3tUK£207.5b13.2x11.7x1.1x
Wed, 03 Aug 2022UK£2.5tUK£2.2tUK£193.4b14.1x13x1.1x
Fri, 01 Jul 2022UK£2.4tUK£2.3tUK£195.8b14x12.5x1.1x
Sun, 29 May 2022UK£2.6tUK£2.2tUK£187.6b15.4x13.9x1.2x
Tue, 26 Apr 2022UK£2.6tUK£2.1tUK£192.8b16.5x13.2x1.2x
Thu, 24 Mar 2022UK£2.6tUK£2.0tUK£192.9b16.6x13.5x1.3x
Sat, 19 Feb 2022UK£2.7tUK£1.9tUK£167.6b17.8x16.1x1.4x
Mon, 17 Jan 2022UK£2.8tUK£1.9tUK£162.8b19.5x17.1x1.5x
Price to Earnings Ratio

17.1x


Total Market Cap: UK£2.8tTotal Earnings: UK£162.8bTotal Revenue: UK£1.9tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 14.6x202320242025
Current Market PE
  • Investors are optimistic on the British market, and appear confident in strong long term growth rates.
  • The market is trading at a PE ratio of 19.5x which is higher than its 3-year average PE of 14.6x.
Past Earnings Growth
  • The earnings for British listed companies have declined 8.7% per year over the last three years.
  • Meanwhile revenues for these companies have grown 3.4% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Sector Trends

Which sectors have driven the changes within the U.K. Market?

GB Market0.26%
Energy3.69%
Healthcare2.19%
Materials1.31%
Industrials0.51%
Financials0.19%
Information Technology0%
Financials0%
Health Care0%
Industrials0%
Consumer Staples-0.21%
Tech-0.36%
Consumer Discretionary-2.42%
Real Estate-3.38%
Telecom-3.39%
Utilities-3.57%
Sector PE
  • Investors favour the Consumer Staples sector the most for future growth, which is trading above its 3-year average PE ratio of 37.3x.
    • Analysts expect its future annual earnings growth (13.1%) to be largely in line with prior year's earnings growth.
    • The market's confidence could indicate that the market believes that analysts are underestimating future growth.
  • The Financials sector is the least preferred by investors for future growth, which is trading close to its 3-year average of 9.9x.
Forecasted Growth
  • Analysts are most optimistic on the Real Estate sector, expecting annual earnings growth of 32% over the next 5 years.
  • This is better than its past earnings growth rate of 23% per year.
  • In contrast, the Financials sector is expected to see its earnings grow by 9.2% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuationSector
AZN AstraZenecaUK£109.883.4%
+UK£5.6b		1.5%PE32.3xHealthcare
SHEL ShellUK£26.143.4%
+UK£5.4b		6.9%PE12.7xEnergy
HSBA HSBC HoldingsUK£8.032.4%
+UK£3.2b		31.3%PB0.9xFinancials
BP. BPUK£4.234.8%
+UK£3.1b		-6.9%PE29.8xEnergy
REL RELXUK£38.063.4%
+UK£2.3b		20.4%PE37.3xIndustrials
See more
Simply Wall St™
Simply Wall Street Pty Ltd
Level 7, 320 Pitt Street, Sydney
Download on the App StoreGet it on Google Play
Popular Markets
USAUUKINCAZA
About UsCareersPlans & PricingLogin
Help CenterLatest CoveragePodcastsAffiliate ProgramBusiness & EnterpriseWhat's New
Financial Services GuideTerms and ConditionsPrivacy Policy
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.

Market Insights

Header cover image

Sectors And Industries To Watch In 2025

Richard Bowman avatar
Richard Bowman
|
|

5 comments

Last week we covered which markets would sink or swim in 2025, at least, according to analysts' estimates. This week, we wanted to go a layer deeper...

Continue reading

Which Markets Will Sink Or Swim In 2025
Last Week

Which Markets Will Sink Or Swim In 2025

Latest News

EXPN

UK£34.66

Experian

7D

-0.5%

1Y

11.3%

SHEL

UK£26.14

Shell

7D

3.4%

1Y

6.9%

GRG

UK£22.10

Greggs

7D

-21.4%

1Y

-14.5%

HSBA

UK£8.03

HSBC Holdings

7D

2.4%

1Y

31.3%

AZN

UK£109.88

AstraZeneca

7D

3.4%

1Y

1.5%

Here's Why AstraZeneca (LON:AZN) Has Caught The Eye Of Investors

Jan 09
Here's Why AstraZeneca (LON:AZN) Has Caught The Eye Of Investors

WPP

UK£7.32

WPP

7D

-11.9%

1Y

0.4%

WPP plc's (LON:WPP) Intrinsic Value Is Potentially 59% Above Its Share Price

Jan 06
WPP plc's (LON:WPP) Intrinsic Value Is Potentially 59% Above Its Share Price

ABF

UK£19.67

Associated British Foods

7D

-4.5%

1Y

-12.8%

Here's What To Make Of Associated British Foods' (LON:ABF) Decelerating Rates Of Return

Jan 06
Here's What To Make Of Associated British Foods' (LON:ABF) Decelerating Rates Of Return

NWG

UK£3.85

NatWest Group

7D

-4.3%

1Y

81.9%

MKS

UK£3.45

Marks and Spencer Group

7D

-11.3%

1Y

31.1%

Marks and Spencer Group (LON:MKS) Is Doing The Right Things To Multiply Its Share Price

Jan 01
Marks and Spencer Group (LON:MKS) Is Doing The Right Things To Multiply Its Share Price

NG.

UK£9.35

National Grid

7D

-2.6%

1Y

-11.4%

Why We're Not Concerned About National Grid plc's (LON:NG.) Share Price

Dec 28
Why We're Not Concerned About National Grid plc's (LON:NG.) Share Price

SSE

UK£15.71

SSE

7D

-3.5%

1Y

-13.0%

ANTO

UK£17.18

Antofagasta

7D

6.4%

1Y

8.2%

There Are Reasons To Feel Uneasy About Antofagasta's (LON:ANTO) Returns On Capital

Dec 19
There Are Reasons To Feel Uneasy About Antofagasta's (LON:ANTO) Returns On Capital

BP.

UK£4.23

BP

7D

4.8%

1Y

-6.9%

Here's What To Make Of BP's (LON:BP.) Decelerating Rates Of Return

Dec 19
Here's What To Make Of BP's (LON:BP.) Decelerating Rates Of Return

LSEG

UK£118.65

London Stock Exchange Group

7D

3.4%

1Y

29.8%

REL

UK£38.06

RELX

7D

3.4%

1Y

20.4%

RELX PLC's (LON:REL) Shares May Have Run Too Fast Too Soon

Dec 02
RELX PLC's (LON:REL) Shares May Have Run Too Fast Too Soon

LLOY

UK£0.54

Lloyds Banking Group

7D

-2.1%

1Y

19.1%