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U.K. (FTSE) Consumer Discretionary Sector Analysis

UpdatedJan 14, 2026
DataAggregated Company Financials
Companies117
  • 7D0.3%
  • 3M-0.7%
  • 1Y2.2%
  • YTD0.9%

Over the last 7 days, the Consumer Discretionary industry has risen 1.8%, driven by gains from Whitbread of 8.7%. In the same time, Entain was down 5.9%. The industry has been flat over the past 12 months despite the gain this week. As for the next few years, earnings are expected to grow by 17% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 14 Jan 2026UK£153.8bUK£185.8bUK£5.2b15.4x29.6x0.8x
Fri, 12 Dec 2025UK£150.6bUK£185.8bUK£5.2b15.7x29x0.8x
Sun, 09 Nov 2025UK£152.7bUK£184.6bUK£4.9b15.2x31x0.8x
Tue, 07 Oct 2025UK£156.1bUK£182.5bUK£5.0b15.9x31.3x0.9x
Thu, 04 Sep 2025UK£152.7bUK£182.6bUK£4.9b15.5x31.3x0.8x
Sat, 02 Aug 2025UK£160.7bUK£184.3bUK£4.7b15.9x34.1x0.9x
Mon, 30 Jun 2025UK£163.2bUK£183.5bUK£4.8b16.9x33.8x0.9x
Wed, 28 May 2025UK£165.2bUK£183.8bUK£4.9b17.2x33.6x0.9x
Fri, 25 Apr 2025UK£153.4bUK£182.8bUK£4.8b16x32.1x0.8x
Sun, 23 Mar 2025UK£150.1bUK£187.0bUK£5.5b15.3x27.5x0.8x
Tue, 18 Feb 2025UK£165.7bUK£189.8bUK£5.4b15.3x31x0.9x
Thu, 16 Jan 2025UK£159.4bUK£191.6bUK£5.4b15.4x29.3x0.8x
Sat, 14 Dec 2024UK£167.6bUK£190.3bUK£5.4b15.8x31.1x0.9x
Mon, 11 Nov 2024UK£166.4bUK£189.4bUK£5.9b16.3x28x0.9x
Wed, 09 Oct 2024UK£167.6bUK£189.7bUK£6.1b17.5x27.7x0.9x
Fri, 06 Sep 2024UK£170.9bUK£188.7bUK£6.2b16.3x27.3x0.9x
Sun, 04 Aug 2024UK£166.2bUK£191.7bUK£6.1b16.1x27.2x0.9x
Tue, 02 Jul 2024UK£158.4bUK£192.3bUK£6.3b15.8x25x0.8x
Thu, 30 May 2024UK£188.5bUK£202.6bUK£5.1b15.7x37.1x0.9x
Sat, 27 Apr 2024UK£187.8bUK£200.8bUK£5.3b16.2x35.7x0.9x
Mon, 25 Mar 2024UK£194.4bUK£205.4bUK£6.0b14.9x32.5x0.9x
Wed, 21 Feb 2024UK£193.3bUK£204.1bUK£6.3b15.1x30.6x0.9x
Fri, 19 Jan 2024UK£194.6bUK£223.7bUK£6.6b13.7x29.4x0.9x
Sun, 17 Dec 2023UK£197.1bUK£224.0bUK£6.6b14x29.8x0.9x
Tue, 14 Nov 2023UK£185.8bUK£223.9bUK£6.1b12.4x30.3x0.8x
Thu, 12 Oct 2023UK£187.9bUK£223.6bUK£5.8b12x32.4x0.8x
Sat, 09 Sep 2023UK£194.4bUK£221.6bUK£6.0b12.3x32.4x0.9x
Mon, 07 Aug 2023UK£201.7bUK£216.2bUK£6.5b12.1x31x0.9x
Wed, 05 Jul 2023UK£199.2bUK£214.6bUK£6.2b12.8x32.3x0.9x
Fri, 02 Jun 2023UK£201.0bUK£214.3bUK£6.3b13.9x32x0.9x
Sun, 30 Apr 2023UK£207.3bUK£207.9bUK£6.5b12.7x31.7x1x
Tue, 28 Mar 2023UK£191.3bUK£207.7bUK£7.0b11.9x27.1x0.9x
Thu, 23 Feb 2023UK£198.5bUK£207.1bUK£8.2b12.5x24.3x1x
Sat, 21 Jan 2023UK£193.6bUK£206.5bUK£8.5b11.9x22.7x0.9x
Price to Earnings Ratio

22.7x


Total Market Cap: UK£193.6bTotal Earnings: UK£8.5bTotal Revenue: UK£206.5bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Consumer Discretionary Sector Price to Earnings3Y Average 30.6x202420252026
Current Industry PE
  • Investors are relatively neutral on the British Consumer Discretionary industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 30.6x.
  • The industry is trading close to its 3-year average PS ratio of 0.89x.
Past Earnings Growth
  • The earnings for companies in the Consumer Discretionary industry have declined 15% per year over the last three years,
  • Revenues have also declined 3.5% per year.
  • This means overall sales from these companies are declining and profits are subsequently falling as well.

Industry Trends

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

GB Market0.19%
Consumer Discretionary0.28%
Auto Components6.78%
Consumer Durables1.59%
Consumer Services1.57%
Retail Distributors0.70%
Leisure0.63%
Hospitality0.20%
Online Retail and Ecommerce0%0
Specialty Stores-0.39%
General Merchandise and Department Stores-0.51%
Auto-1.27%
Luxury-2.62%
Industry PE
  • Investors are most optimistic about the Luxury industry which is trading above its 3-year average PE ratio.
    • Analysts are expecting annual earnings growth of 45.0%, which is higher than its past year's earnings decline of 32.8% per year.
Forecasted Growth
  • Analysts are most optimistic on the Auto industry, expecting annual earnings growth of 75% over the next 5 years.
  • 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
WTB WhitbreadUK£27.678.7%
+UK£370.9m		-2.7%PE18.6x
PSON PearsonUK£10.762.4%
+UK£162.0m		-16.6%PE15.5x
CPG Compass GroupUK£23.140.4%
+UK£153.0m		-12.9%PE28.3x
DWL Dowlais GroupUK£0.949.6%
+UK£107.5m		42.3%PS0.3x
VTY Vistry GroupUK£6.833.8%
+UK£78.6m		32.8%PE60x

Latest News

SSPG
UK£1.90
SSP Group
7D
-4.5%
1Y
12.0%

Is SSP Group (LON:SSPG) A Risky Investment?

Jan 14
Is SSP Group (LON:SSPG) A Risky Investment?
WTB
UK£27.67
Whitbread
7D
8.7%
1Y
-2.7%
KGF
UK£3.13
Kingfisher
7D
-2.7%
1Y
36.4%

Is Kingfisher (LON:KGF) Using Too Much Debt?

Jan 13
Is Kingfisher (LON:KGF) Using Too Much Debt?
NXT
UK£141.85
NEXT
7D
-0.6%
1Y
57.1%

When Should You Buy NEXT plc (LON:NXT)?

Jan 13
When Should You Buy NEXT plc (LON:NXT)?
BKG
UK£39.82
Berkeley Group Holdings
7D
2.1%
1Y
15.0%

BKG: Share Buybacks And Margin Outlook Will Support Measured Future Returns

Analysts have nudged their price target for Berkeley Group Holdings slightly higher, citing a modest lift in estimated fair value per share to £43.10, a higher assumed discount rate and P/E ratio, and minor adjustments to longer term revenue growth and profit margin expectations. What's in the News Berkeley Group Holdings reported completion of a share buyback tranche covering 3,500,000 shares, equal to 3.66% of its share capital, for a total consideration of £132 million under the programme announced on September 11, 2025 (Key Developments).
IHG
US$135.50
InterContinental Hotels Group
7D
-0.8%
1Y
10.3%

IHG: Future Returns Will Depend On Resilient Model And New Premium Collection

Analysts have lifted their fair value estimate for InterContinental Hotels Group from £95.54 to £140.44, reflecting updated assumptions on discount rate, revenue trends, profit margins and future P/E, along with recent Street research that includes a price target move to £80.00 from £79.00. Analyst Commentary Recent Street research includes a price target adjustment to 8,000 GBp from 7,900 GBp, paired with a Sell rating.
VTY
UK£6.83
Vistry Group
7D
3.8%
1Y
32.8%

VTY: Future Returns Will Likely Stay Capped As Margin Assumptions Weaken

Analysts have nudged their price target for Vistry Group higher, from £5.08 to £5.15. This reflects updated assumptions around revenue growth, profit margin and the future P/E multiple used in their models.
PSON
UK£10.76
Pearson
7D
2.4%
1Y
-16.6%

PSON: AI Partnerships And Global Education Demand Will Support Future Upside

The updated analyst price target for Pearson, now set around £12.45 from £12.51, reflects small refinements to assumptions on discount rate, revenue growth and profit margins, as analysts weigh a higher Street target of £13.30 alongside views that the shares are fairly valued for a mid single digit growth profile. Analyst Commentary Recent Street research gives you a split view on Pearson, with some focusing on upside as the shares track higher targets and others stressing that the current price already reflects a mid single digit growth profile.
CPG
UK£23.14
Compass Group
7D
0.4%
1Y
-12.9%

CPG: Strengthened European Platform And Better Returns Profile Should Drive Future Upside

Analysts have inched their blended price target higher to about £31.00 per share, supported by updated assumptions for slightly stronger revenue growth, modestly improved profit margins, and a marginally higher future P/E multiple, which align with recent Street research highlighting a stronger long term growth platform and improved returns profile. Analyst Commentary Recent Street research on Compass Group has focused on fine tuning upside potential and reassessing how much of the long term growth and returns story is already reflected in the share price.
BRBY
UK£13.12
Burberry Group
7D
-3.6%
1Y
37.2%

BRBY: Future Returns Will Depend On Fragile China Luxury Recovery

Analysts have reduced their price target for Burberry Group to £15.70 per share, a £0.30 adjustment that reflects updated views on fair value, discount rate, revenue growth, profit margin and future P/E assumptions. Analyst Commentary Recent price target moves around £15.50 to £15.70 per share show that research houses are fine tuning their valuation work on Burberry Group rather than making sweeping changes.
PSN
UK£13.78
Persimmon
7D
1.8%
1Y
23.7%

PSN: Contract Discipline And Higher P/E Assumptions Will Support Future Upside

Analysts have nudged their fair value estimate for Persimmon up from £14.63 to about £15.76, citing slightly adjusted assumptions for discount rate, revenue growth, profit margin and future P/E, as they refine their models following recent sector research. Analyst Commentary Recent research on a peer in a different sector highlights how markets can react strongly to contract news and changing expectations, which is useful context when thinking about Persimmon's refined fair value range.
GRG
UK£16.28
Greggs
7D
-6.5%
1Y
-23.0%

GRG: Margin And P/E Repricing Will Support Future Upside Potential

Analysts have trimmed their fair value estimate for Greggs from £19.43 to £18.91, reflecting slightly higher discount rates, somewhat softer revenue growth and profit margins, and a marginally higher assumed future P/E multiple. Valuation Changes Fair value estimate reduced slightly from £19.43 to £18.91 per share.
CURY
UK£1.25
Currys
7D
-3.9%
1Y
52.4%

CURY: Recent Share Buybacks Will Support Stronger Future Earnings Per Share

Analysts have nudged their price target on Currys slightly higher to reflect small adjustments to revenue growth, profit margin, discount rate and future P/E assumptions, while keeping their fair value estimate broadly unchanged at £2.10. What's in the News Currys completed a share buyback program, repurchasing 33,108,484 shares for £46 million, representing 3.08% of the company.
BTRW
UK£3.78
Barratt Redrow
7D
1.4%
1Y
-6.2%

BTRW: Steady Fair Value And Dividend Support Will Drive Future Returns

Analysts have made only minor adjustments to their inputs for Barratt Redrow, keeping the price target effectively unchanged at £4.96. Small tweaks to the discount rate and future P/E assumptions are seen as insufficient to justify a different fair value estimate.
ENT
UK£7.26
Entain
7D
-5.9%
1Y
18.2%

ENT: Future Upside Will Rely On UK Gaming Tax Overreaction Easing

Analysts have adjusted their expectations for Entain, with Street price targets broadly reset in a tighter range. Changes include a revision to £8.32 from £9.17 at HSBC.
DWL
UK£0.94
Dowlais Group
7D
9.6%
1Y
42.3%