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U.K. (FTSE) Consumer Discretionary Sector Analysis

UpdatedJul 07, 2026
DataAggregated Company Financials
Companies114
  • 7D-1.3%
  • 3M8.9%
  • 1Y-11.4%
  • YTD-4.8%

Over the last 7 days, the Consumer Discretionary industry has dropped 1.3%, driven by pullbacks in Compass Group and InterContinental Hotels Group of 2.2% and 4.7%, respectively. However, the industry is down 11% over the past year. As for the next few years, earnings are expected to grow by 15% per annum.

Sector Valuation and Performance

Has the U.K. Consumer Discretionary Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 07 Jul 2026UK£157.8bUK£198.8bUK£6.3b14x25.1x0.8x
Thu, 04 Jun 2026UK£156.1bUK£198.6bUK£6.2b13.9x25.1x0.8x
Sat, 02 May 2026UK£145.8bUK£195.5bUK£6.1b12.1x24x0.7x
Mon, 30 Mar 2026UK£129.8bUK£183.7bUK£5.4b11.6x24.2x0.7x
Wed, 25 Feb 2026UK£149.3bUK£181.7bUK£5.4b14.5x27.8x0.8x
Fri, 23 Jan 2026UK£151.1bUK£185.6bUK£5.2b14.1x29.1x0.8x
Sun, 21 Dec 2025UK£153.5bUK£185.9bUK£5.2b15x29.6x0.8x
Tue, 18 Nov 2025UK£150.5bUK£184.7bUK£4.9b15.7x30.7x0.8x
Thu, 16 Oct 2025UK£155.1bUK£183.0bUK£5.0b16.3x31.1x0.8x
Sat, 13 Sep 2025UK£154.6bUK£182.2bUK£4.8b14.9x32.2x0.8x
Mon, 11 Aug 2025UK£158.1bUK£183.7bUK£4.7b15.9x33.4x0.9x
Wed, 09 Jul 2025UK£160.6bUK£184.1bUK£4.9b16x32.7x0.9x
Fri, 06 Jun 2025UK£162.0bUK£183.6bUK£4.9b17x33.1x0.9x
Sun, 04 May 2025UK£160.0bUK£182.4bUK£4.8b16.2x33.1x0.9x
Tue, 01 Apr 2025UK£150.4bUK£186.7bUK£4.9b16.3x30.7x0.8x
Thu, 27 Feb 2025UK£161.4bUK£189.6bUK£5.3b15.3x30.2x0.9x
Sat, 25 Jan 2025UK£160.9bUK£190.7bUK£5.4b15.5x29.7x0.8x
Mon, 23 Dec 2024UK£164.0bUK£190.4bUK£5.4b16.5x30.4x0.9x
Wed, 20 Nov 2024UK£164.3bUK£189.9bUK£5.6b16.3x29.3x0.9x
Fri, 18 Oct 2024UK£173.5bUK£189.4bUK£5.9b17.5x29.4x0.9x
Sun, 15 Sep 2024UK£173.0bUK£189.1bUK£6.3b16.1x27.4x0.9x
Tue, 13 Aug 2024UK£166.1bUK£192.1bUK£6.6b15.8x25.3x0.9x
Thu, 11 Jul 2024UK£160.4bUK£191.7bUK£6.3b15.9x25.3x0.8x
Sat, 08 Jun 2024UK£191.7bUK£202.8bUK£5.5b15.5x35.2x0.9x
Mon, 06 May 2024UK£190.6bUK£200.7bUK£5.3b16.4x36.2x0.9x
Wed, 03 Apr 2024UK£191.4bUK£205.0bUK£5.0b15.2x38x0.9x
Fri, 01 Mar 2024UK£191.7bUK£203.6bUK£6.2b15x31.2x0.9x
Sun, 28 Jan 2024UK£198.8bUK£223.5bUK£6.6b14.2x30.3x0.9x
Tue, 26 Dec 2023UK£200.2bUK£224.0bUK£6.6b14.1x30.2x0.9x
Thu, 23 Nov 2023UK£190.0bUK£225.3bUK£6.1b12.1x31x0.8x
Sat, 21 Oct 2023UK£179.1bUK£223.7bUK£6.0b11.9x29.9x0.8x
Mon, 18 Sep 2023UK£199.3bUK£222.4bUK£6.0b12.6x33.5x0.9x
Wed, 16 Aug 2023UK£197.3bUK£217.6bUK£6.1b12.7x32.4x0.9x
Fri, 14 Jul 2023UK£198.8bUK£213.9bUK£6.2b12.9x31.8x0.9x
Price to Earnings Ratio

31.8x


Total Market Cap: UK£198.8bTotal Earnings: UK£6.2bTotal Revenue: UK£213.9bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Consumer Discretionary Sector Price to Earnings3Y Average 30.2x202420252026
Current Industry PE
  • Investors are pessimistic on the British Consumer Discretionary industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 25.1x which is lower than its 3-year average PE of 30.2x.
  • The industry is trading close to its 3-year average PS ratio of 0.86x.
Past Earnings Growth
  • The earnings for companies in the Consumer Discretionary industry have remained mostly flat over the last three years.
  • Meanwhile revenues for these companies have declined 2.4% per year.
  • This means that the cost of doing business could be reducing since sales have declined but profits have remained steady.

Industry Trends

Which industries have driven the changes within the U.K. Consumer Discretionary sector?

GB Market1.66%
Consumer Discretionary-1.32%
Consumer Services4.07%
Auto Components0.94%
Auto0.93%
Specialty Stores0.03%
Luxury0.004%
Online Retail and Ecommerce0%0
Retail Distributors-0.42%
General Merchandise and Department Stores-0.87%
Consumer Durables-1.67%
Hospitality-2.28%
Leisure-5.33%
Industry PE
  • Investors are most optimistic about the Auto Components industry which is trading above its 3-year average PE ratio.
    • Analysts are expecting annual earnings growth of 77.5%, which is higher than its past year's earnings decline of 24.2% per year.
Forecasted Growth
  • Analysts are most optimistic on the Auto Components industry, expecting annual earnings growth of 78% over the next 5 years.
  • This is better than its past earnings decline of 24% per year.
  • In contrast, the Leisure industry is expected to see its earnings growth to stay flat over the next few years.

Top Stock Gainers and Losers

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

CompanyLast Price7D1YValuation
PSON PearsonUK£12.394.7%
+UK£336.6m		16.3%PE22.2x
FRAS Frasers GroupUK£7.482.9%
+UK£90.4m		12.5%PE7.5x
WOSG Watches of Switzerland GroupUK£7.364.7%
+UK£77.0m		97.3%PE24.8x
MOON Moonpig GroupUK£2.629.4%
+UK£67.7m		24.0%PE15.3x
MAB Mitchells & ButlersUK£2.533.3%
+UK£47.5m		-10.9%PE8.2x

Latest News

WOSG
UK£7.36
Watches of Switzerland Group
7D
4.7%
1Y
97.3%
Narrative Update • Jul 06

WOSG: U.S. Luxury Dependence Will Likely Restrict Future Upside Potential

The analyst price target for Watches of Switzerland Group has been raised to £6.62 from £5.41, with analysts pointing to supportive U.S. luxury trends, a favorable brand mix, and scope for earnings upgrades following recent target increases at £6.50 and £8.50. Analyst Commentary Recent Street research on Watches of Switzerland Group highlights a mix of optimism on growth opportunities and some caution around execution and valuation, giving you a fuller picture of how professionals are framing the stock today.
IHG
US$164.65
InterContinental Hotels Group
7D
-4.7%
1Y
39.6%
Narrative Update • Jul 06

IHG: Future Returns Will Hinge On RevPAR Trends And Net Unit Acceleration

InterContinental Hotels Group's analyst price targets have moved higher into a $188 to $195 range as analysts point to stronger than expected RevPAR momentum in the U.S., improving net unit growth and a healthier pipeline as key supports for the updated valuation. Analyst Commentary Recent research on InterContinental Hotels Group highlights a cluster of higher price targets, with analysts focusing on RevPAR trends, net unit growth and the development pipeline as key drivers behind their views on the stock's valuation and execution risk.
FRAS
UK£7.48
Frasers Group
7D
2.9%
1Y
12.5%
MOON
UK£2.62
Moonpig Group
7D
9.4%
1Y
24.0%
Analysis Article • Jul 02

What Does Moonpig Group PLC's (LON:MOON) Share Price Indicate?

Moonpig Group PLC ( LON:MOON ), might not be a large cap stock, but it saw a significant share price rise of 23% in the...
GRG
UK£15.20
Greggs
7D
-7.7%
1Y
-10.7%
NXT
UK£144.40
NEXT
7D
-1.0%
1Y
18.8%
THG
UK£0.31
THG
7D
6.5%
1Y
-0.5%
PSON
UK£12.39
Pearson
7D
4.7%
1Y
16.3%
SMWH
UK£4.13
WH Smith
7D
6.9%
1Y
-62.0%
Narrative Update • Jun 29

SMWH: Rebased Expectations Will Support Future Upside From Travel Recovery Execution

The latest Narrative Update on WH Smith reflects a reduced analyst price target to £5.75 from £7.00, as analysts factor in softer revenue growth assumptions, a lower future P/E and adjustments to fair value, despite slightly firmer profit margin expectations. Analyst Commentary Recent research coverage on WH Smith has converged around lower price targets and more neutral ratings, as analysts reset expectations for growth, valuation multiples and execution risk.
BKG
UK£33.46
Berkeley Group Holdings
7D
-5.5%
1Y
-6.7%
ENT
UK£5.32
Entain
7D
-10.1%
1Y
-41.6%
CPG
US$31.57
Compass Group
7D
-2.2%
1Y
-7.9%
Narrative Update • Jun 22

CPG: BNP Upgrade And Premium P/E Will Drive Future Upside

Analysts have nudged their price target for Compass Group slightly higher to $38.30 from $38.28, reflecting updated assumptions around fair value, discount rate, revenue growth, profit margin, and future P/E following recent research, including a BNP Paribas upgrade. What's in the News for Compass Group Recent research on Compass Group includes updated assumptions for fair value, discount rate, revenue growth, profit margin, and future P/E.
JD.
UK£0.82
JD Sports Fashion
7D
-3.5%
1Y
-6.3%
Narrative Update • Jun 22

JD.: Cautious Outlook Will Prioritise Dividend Payouts Over Upside Potential

Analysts have trimmed their average price target for JD Sports Fashion to £0.83, a reduction of £0.03, as they factor in updated assumptions on growth, margins and valuation multiples reflected in recent research. Analyst Commentary Recent research on JD Sports Fashion highlights a more cautious tone, with the reduced average price target to £0.83 reflecting reassessments of growth prospects, execution risks and how the stock is valued against those assumptions.
GAW
UK£207.40
Games Workshop Group
7D
-5.4%
1Y
29.5%
CRN
UK£2.19
Cairn Homes
7D
2.8%
1Y
21.8%
Narrative Update • Jun 14

CRN: Housing Shortage And Dividend Support Will Drive Repricing Through 2026

Analysts have left their £ fair value estimate for Cairn Homes unchanged while making only minor tweaks to the discount rate and future P/E assumptions. As a result, the new price target reflects a steady view of the stock's long term outlook.
MAB
UK£2.53
Mitchells & Butlers
7D
3.3%
1Y
-10.9%