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U.K. (FTSE) Consumer Discretionary Sector Analysis

UpdatedJul 14, 2026
DataAggregated Company Financials
Companies114
  • 7D1.7%
  • 3M7.5%
  • 1Y-10.2%
  • YTD-3.1%

Over the last 7 days, the Consumer Discretionary industry has risen 1.7%, driven by gains from Compass Group of 2.2%. In the past year, the industry is down 10%. 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, 14 Jul 2026UK£160.5bUK£198.8bUK£6.3b14x25.5x0.8x
Thu, 11 Jun 2026UK£158.6bUK£198.8bUK£6.2b13.7x25.8x0.8x
Sat, 09 May 2026UK£150.7bUK£195.8bUK£6.0b12.3x25.2x0.8x
Mon, 06 Apr 2026UK£147.1bUK£195.6bUK£6.0b11.7x24.4x0.8x
Wed, 04 Mar 2026UK£143.8bUK£182.2bUK£5.2b15.2x27.9x0.8x
Fri, 30 Jan 2026UK£148.1bUK£184.8bUK£5.2b13.8x28.7x0.8x
Sun, 28 Dec 2025UK£152.3bUK£185.6bUK£5.2b15x29.4x0.8x
Tue, 25 Nov 2025UK£151.0bUK£184.7bUK£4.9b15.6x30.7x0.8x
Thu, 23 Oct 2025UK£159.3bUK£183.1bUK£5.0b16.5x32x0.9x
Sat, 20 Sep 2025UK£153.8bUK£183.7bUK£4.9b15.2x31.2x0.8x
Mon, 18 Aug 2025UK£156.6bUK£183.7bUK£4.6b15.5x33.8x0.9x
Wed, 16 Jul 2025UK£158.8bUK£184.6bUK£4.9b15.7x32.3x0.9x
Fri, 13 Jun 2025UK£163.5bUK£183.6bUK£4.9b17.4x33.5x0.9x
Sun, 11 May 2025UK£160.8bUK£182.3bUK£4.9b16.4x33.1x0.9x
Tue, 08 Apr 2025UK£140.5bUK£187.3bUK£4.9b15.5x28.6x0.8x
Thu, 06 Mar 2025UK£157.3bUK£186.9bUK£5.3b14.3x29.9x0.8x
Sat, 01 Feb 2025UK£166.3bUK£190.8bUK£5.5b15.3x30.5x0.9x
Mon, 30 Dec 2024UK£163.2bUK£190.4bUK£5.4b15.9x30.3x0.9x
Wed, 27 Nov 2024UK£165.6bUK£190.1bUK£5.7b15.8x29.3x0.9x
Fri, 25 Oct 2024UK£170.4bUK£189.5bUK£5.9b17.1x28.9x0.9x
Sun, 22 Sep 2024UK£172.7bUK£188.6bUK£6.3b17.2x27.5x0.9x
Tue, 20 Aug 2024UK£171.3bUK£191.3bUK£6.5b16.3x26.2x0.9x
Thu, 18 Jul 2024UK£162.5bUK£191.3bUK£6.3b15.8x25.7x0.8x
Sat, 15 Jun 2024UK£185.1bUK£202.6bUK£5.4b15.3x34.3x0.9x
Mon, 13 May 2024UK£195.8bUK£200.6bUK£5.2b16.5x37.6x1x
Wed, 10 Apr 2024UK£190.1bUK£204.9bUK£5.1b15.3x37.6x0.9x
Fri, 08 Mar 2024UK£191.5bUK£205.1bUK£5.9b15.6x32.4x0.9x
Sun, 04 Feb 2024UK£196.3bUK£223.4bUK£6.7b14.1x29.4x0.9x
Tue, 02 Jan 2024UK£200.3bUK£224.0bUK£6.6b14.1x30.2x0.9x
Thu, 30 Nov 2023UK£188.0bUK£223.6bUK£6.2b12.2x30.3x0.8x
Sat, 28 Oct 2023UK£179.6bUK£223.7bUK£6.0b11.9x30x0.8x
Mon, 25 Sep 2023UK£194.5bUK£223.0bUK£5.8b12.5x33.3x0.9x
Wed, 23 Aug 2023UK£190.3bUK£222.2bUK£6.0b12.3x31.5x0.9x
Fri, 21 Jul 2023UK£204.2bUK£214.2bUK£6.3b12.6x32.6x1x
Price to Earnings Ratio

32.6x


Total Market Cap: UK£204.2bTotal Earnings: UK£6.3bTotal Revenue: UK£214.2bTotal 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 25.5x 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 2.5% 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 Market-1.34%
Consumer Discretionary1.71%
Consumer Services6.22%
Hospitality2.38%
General Merchandise and Department Stores2.20%
Specialty Stores1.66%
Retail Distributors0.26%
Consumer Durables0.21%
Online Retail and Ecommerce0%0
Auto Components-0.33%
Luxury-1.48%
Leisure-2.47%
Auto-5.13%
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 77.0%, 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 77% 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
CPG Compass GroupUS$32.282.2%
+US$1.2b		-4.7%PE27.2x
PSON PearsonUK£13.186.4%
+UK£477.9m		24.8%PE23.7x
NXT NEXTUK£147.602.2%
+UK£365.3m		20.1%PE19x
JD. JD Sports FashionUK£0.865.0%
+UK£199.1m		0.4%PE9.5x
PTEC PlaytechUK£3.9821.6%
+UK£196.2m		4.2%PS1.7x

Latest News

PTEC
UK£3.98
Playtech
7D
21.6%
1Y
4.2%
Narrative Update • Jul 10

PTEC: Future Upside Will Depend On Executing Earnings Power Repricing

Analysts have nudged their fair value estimate for Playtech lower from £7.59 to £6.89, while still lifting published price targets to £4.45 and £4.60. This reflects updated assumptions for discount rate, revenue growth, profit margins and future P/E multiples.
IHG
US$163.65
InterContinental Hotels Group
7D
-0.6%
1Y
37.6%
CRN
UK£2.11
Cairn Homes
7D
-3.4%
1Y
10.6%
ASC
UK£3.63
ASOS
7D
19.0%
1Y
12.4%
PSN
UK£10.67
Persimmon
7D
1.7%
1Y
-12.4%
Narrative Update • Jul 08

PSN: Biggleswade Site And 2026 Completions Should Support Premium Earnings Multiple

Persimmon's analyst price target has been trimmed, with recent moves from banks such as Berenberg, Citi, JPMorgan and Morgan Stanley collectively pointing to a reset in fair value to about £16.94 from £18.00. This reflects analysts moderating revenue growth and valuation multiples while allowing for slightly stronger profit margins.
BME
UK£2.04
B&M European Value Retail
7D
3.6%
1Y
-12.9%
Narrative Update • Jul 07

BME: Bearish Ratings And Consumer Weakness Will Pressure Future Returns

The analyst price target for B&M European Value Retail has increased to £2.00 from £1.80, with analysts citing updated views reflected in modestly adjusted fair value, revenue growth, margin and future P/E assumptions. Analyst Commentary Recent research on B&M European Value Retail shows a mix of views, with several bearish analysts highlighting valuation risks and execution challenges despite upward revisions to some price targets.
PSON
UK£13.18
Pearson
7D
6.4%
1Y
24.8%
Narrative Update • Jul 07

PSON: AI Skills Expansion And Margin Outlook Will Support Future Upside

Analysts have lifted their price target for Pearson by £0.10, citing updated assumptions around long term revenue growth, profit margins, and future P/E multiples in their valuation work. What’s in the News for Pearson Pearson and Amazon Web Services released research indicating the U.S. currently leads in AI innovation but faces gaps in preparing students for an AI-ready workforce, highlighting employer demand for higher education credentials in the AI era.
CPG
US$31.70
Compass Group
7D
-2.5%
1Y
-5.8%
Narrative Update • Jul 06

nan

Analysts have trimmed their price target on Compass Group to about $47.17 from roughly $48.91, citing updated assumptions for revenue growth, profit margins, discount rate and future P/E that collectively point to a slightly lower fair value estimate. What’s in the News for Compass Group No recent Compass Group news items were identified in the provided sources.
JD.
UK£0.86
JD Sports Fashion
7D
5.0%
1Y
0.4%
Narrative Update • Jul 06

JD.: Reset Expectations And Margin Improvements Will Support Future Upside

Analysts have trimmed their fair value estimate for JD Sports Fashion by about £0.12 per share, reflecting slightly lower revenue growth expectations, a reduced future P/E assumption, and a lower Street price target range around £0.83 to £0.90 that still factors in improved profit margin forecasts and a somewhat lower discount rate. Analyst Commentary Recent Street research on JD Sports Fashion points to a more cautious but still balanced view, with several large firms highlighting both execution risk and potential support for the share price.
COA
UK£0.75
Coats Group
7D
-3.1%
1Y
-10.2%
Narrative Update • Jul 06

COA: Higher Required Return Will Support More Optimistic Future Earnings Multiple

Analysts have lifted their price target for Coats Group to £1.23 from £1.16, citing updated assumptions that combine a higher projected discount rate and revenue growth with lower profit margin expectations and a higher future P/E multiple. What’s in the News for Coats Group No recent Coats Group news items were identified in the provided primary news source.
AO.
UK£0.91
AO World
7D
-6.2%
1Y
-5.5%
Narrative Update • Jul 01

AO.: Dividend And Buybacks Will Support Higher Future Earnings Multiple

Analysts have trimmed their fair value estimate for AO World from £1.37 to £1.25, reflecting updated assumptions for revenue growth, profit margins and future P/E that now point to a more cautious outlook on the stock's potential. What’s in the News for AO World AO World announced a special dividend of 1.75 pence per ordinary share, scheduled to be paid on 31 July 2026 to shareholders on the register at close of business on 10 July 2026.
NXT
UK£146.30
NEXT
7D
0.5%
1Y
20.3%
BRBY
UK£10.69
Burberry Group
7D
-3.3%
1Y
-13.4%
ENT
UK£5.54
Entain
7D
4.9%
1Y
-41.2%
GAW
UK£202.20
Games Workshop Group
7D
-2.5%
1Y
25.7%
WTB
UK£22.98
Whitbread
7D
-3.0%
1Y
-24.7%
Narrative Update • Jun 18

WTB: Trading Momentum And P E Reset Will Drive Future Upside

Whitbread's analyst price target has been trimmed by £1.41 to £36.52, as analysts adjust fair value and profit margin assumptions while also expecting different future P/E and revenue growth inputs compared with previous estimates. Analyst Commentary Recent research on Whitbread highlights a mix of caution and optimism, with several price target revisions reflecting updated assumptions on valuation multiples and profit margins.