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U.K. (FTSE) Consumer Discretionary Sector Analysis

UpdatedFeb 10, 2026
DataAggregated Company Financials
Companies116
  • 7D-3.2%
  • 3M-6.6%
  • 1Y-9.0%
  • YTD-4.6%

Over the last 7 days, the Consumer Discretionary industry has dropped 3.2%, driven by a pullback from Compass Group of 7.4%. On the other hand Burberry Group is actually up 9.6%. However, the industry is down 9.0% over the past year. 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
Tue, 10 Feb 2026UK£144.2bUK£180.9bUK£5.3b14.3x27.1x0.8x
Thu, 08 Jan 2026UK£154.5bUK£185.6bUK£5.2b15.2x29.8x0.8x
Sat, 06 Dec 2025UK£156.5bUK£186.1bUK£5.2b15.5x30x0.8x
Mon, 03 Nov 2025UK£156.2bUK£183.6bUK£4.9b15.8x32x0.9x
Wed, 01 Oct 2025UK£157.9bUK£184.7bUK£5.0b15.4x31.9x0.9x
Fri, 29 Aug 2025UK£156.5bUK£182.4bUK£4.9b15.4x32.1x0.9x
Sun, 27 Jul 2025UK£163.5bUK£184.1bUK£4.9b15.6x33.4x0.9x
Tue, 24 Jun 2025UK£159.2bUK£183.9bUK£4.9b16.9x32.5x0.9x
Thu, 22 May 2025UK£166.2bUK£183.2bUK£4.8b17x34.5x0.9x
Sat, 19 Apr 2025UK£153.3bUK£182.9bUK£4.8b15.8x32x0.8x
Mon, 17 Mar 2025UK£154.1bUK£187.0bUK£5.5b14.4x28.1x0.8x
Wed, 12 Feb 2025UK£164.2bUK£190.8bUK£5.4b15.4x30.5x0.9x
Fri, 10 Jan 2025UK£160.4bUK£191.2bUK£5.4b15.7x29.6x0.8x
Sun, 08 Dec 2024UK£170.1bUK£190.0bUK£5.3b16.1x31.8x0.9x
Tue, 05 Nov 2024UK£168.5bUK£189.6bUK£6.0b16.3x28x0.9x
Thu, 03 Oct 2024UK£171.4bUK£188.9bUK£6.2b17x27.5x0.9x
Sat, 31 Aug 2024UK£169.0bUK£189.0bUK£6.4b16.4x26.6x0.9x
Mon, 29 Jul 2024UK£168.2bUK£191.5bUK£6.2b16.1x27.2x0.9x
Wed, 26 Jun 2024UK£159.3bUK£192.9bUK£6.4b15.4x25x0.8x
Fri, 24 May 2024UK£193.6bUK£202.7bUK£5.1b15.5x38.1x1x
Sun, 21 Apr 2024UK£185.7bUK£204.8bUK£5.3b15.4x34.8x0.9x
Tue, 19 Mar 2024UK£190.5bUK£205.1bUK£6.3b15.3x30.2x0.9x
Thu, 15 Feb 2024UK£191.0bUK£204.0bUK£6.3b14.2x30.2x0.9x
Sat, 13 Jan 2024UK£193.1bUK£224.0bUK£6.6b14x29.1x0.9x
Mon, 11 Dec 2023UK£192.8bUK£224.3bUK£6.1b13.5x31.6x0.9x
Wed, 08 Nov 2023UK£186.5bUK£223.7bUK£6.1b12.2x30.6x0.8x
Fri, 06 Oct 2023UK£184.0bUK£223.5bUK£5.8b12.1x31.7x0.8x
Sun, 03 Sep 2023UK£195.5bUK£222.5bUK£6.1b12.6x32.2x0.9x
Tue, 01 Aug 2023UK£204.5bUK£216.5bUK£6.6b12.7x31x0.9x
Thu, 29 Jun 2023UK£198.1bUK£214.6bUK£6.2b12.5x32.2x0.9x
Sat, 27 May 2023UK£201.6bUK£214.2bUK£6.3b13.3x31.9x0.9x
Mon, 24 Apr 2023UK£204.8bUK£207.6bUK£6.7b12.8x30.7x1x
Wed, 22 Mar 2023UK£179.4bUK£195.0bUK£6.5b11.7x27.8x0.9x
Fri, 17 Feb 2023UK£200.7bUK£207.1bUK£8.2b12.7x24.5x1x
Price to Earnings Ratio

24.5x


Total Market Cap: UK£200.7bTotal Earnings: UK£8.2bTotal Revenue: UK£207.1bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Consumer Discretionary Sector Price to Earnings3Y Average 30.7x202420252026
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 27.1x which is lower than its 3-year average PE of 30.7x.
  • The industry is trading close to its 3-year average PS ratio of 0.88x.
Past Earnings Growth
  • The earnings for companies in the Consumer Discretionary industry have declined 13% per year over the last three years,
  • Revenues have also declined 4.4% 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 Market0.53%
Consumer Discretionary-3.23%
Luxury4.89%
Retail Distributors1.83%
Online Retail and Ecommerce0%0
Leisure-1.85%
Specialty Stores-1.97%
Consumer Durables-2.27%
Auto-2.67%
Auto Components-2.82%
Hospitality-4.54%
General Merchandise and Department Stores-4.88%
Consumer Services-6.84%
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 44.4%, 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 73% 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
IHG InterContinental Hotels GroupUS$146.207.4%
+US$1.5b		10.4%PE29.4x
BRBY Burberry GroupUK£12.1613.3%
+UK£514.4m		4.4%PS1.8x
ENT EntainUK£6.287.0%
+UK£262.2m		-4.9%PS0.8x
KGF KingfisherUK£3.524.1%
+UK£221.2m		42.6%PE32.1x
PTEC PlaytechUK£3.5225.8%
+UK£210.4m		-52.5%PS1.5x

Latest News

BWY
UK£26.48
Bellway
7D
-3.3%
1Y
9.0%

BWY: Higher P/E Assumptions And Dividend Policy Will Support Future Returns

Analysts have nudged their fair value estimate for Bellway slightly lower to £31.78 from £31.88, citing small adjustments to the discount rate, revenue growth assumptions, profit margin outlook, and future P/E expectations. What's in the News Shareholders approved the adoption of new Articles of Association at the AGM held on 27 November 2025, updating Bellway's company bylaws and governance framework (AGM, 27 November 2025).
CURY
UK£1.47
Currys
7D
-2.2%
1Y
52.2%

The Returns At Currys (LON:CURY) Aren't Growing

Feb 09
The Returns At Currys (LON:CURY) Aren't Growing
CPG
UK£21.03
Compass Group
7D
-2.8%
1Y
-24.8%

CPG: Premium P/E And Dividend Framework Will Support Long Runway

Narrative Update The updated analyst price target for Compass Group shifts modestly to £28.19 from £28.33, as analysts balance mixed recent price target moves with slight adjustments to growth, margin, and P/E assumptions in their models. Analyst Commentary Recent research updates on Compass Group give you a mixed but useful read on how the Street is thinking about the shares, with one increase and one reduction in price targets feeding into the modest change in the overall average target.
PTEC
UK£3.52
Playtech
7D
25.8%
1Y
-52.5%

PTEC: Future Upside Will Hinge On U.S. Evolution Lawsuit Outcome

Analysts have lifted their fair value estimate for Playtech from £7.12 to £7.25 per share, reflecting updated views on the discount rate, revenue growth, profit margins and future P/E assumptions after recent mixed research that included both a small price target increase and a downgrade to Hold tied to legal uncertainties in the U.S. dispute with Evolution. Analyst Commentary Recent research on Playtech reflects a mix of caution around legal risks and continued interest in the equity story, with some price targets adjusted to reflect updated assumptions on valuation multiples and legal outcomes.
NXT
UK£127.65
NEXT
7D
-0.3%
1Y
28.4%

NXT: Future Cash Returns Will Rely On Execution And Earnings Resilience

Narrative update Analysts have inched their price targets for NEXT higher, with recent moves from £178.00 to £180.00 and from £123.00 to £139.00, reflecting updated views on the company’s outlook and valuation drivers. Analyst Commentary Recent research updates point to a generally constructive stance on NEXT, with higher price targets framed around the company’s ability to execute and sustain its current positioning.
BRBY
UK£12.16
Burberry Group
7D
13.3%
1Y
4.4%

BRBY: Future Returns Will Hinge On Fragile China Luxury Recovery Risks

Burberry Group’s analyst fair value estimate has moved from £7.96 to £9.40 as analysts factor in updated assumptions on revenue growth, profit margins and a higher future P/E following recent price target revisions from major banks. Analyst Commentary Recent Street research on Burberry Group points to a mixed set of views, with some firms lifting price targets while others have trimmed their expectations.
PSN
UK£14.33
Persimmon
7D
-1.0%
1Y
15.4%

PSN: Higher Future P/E Assumptions Will Support Share Price Resilience

Narrative Update on Persimmon Analysts have nudged their fair value estimate for Persimmon higher to £16.23 from £16.14, citing refreshed assumptions on discount rates, revenue growth, profit margins and future P/E that collectively support a slightly richer price target despite a recent downgrade and only a modest target increase of 2 GBp from Citi. Analyst Commentary Recent commentary on Persimmon has been mixed, with one downgrade offset by a small target lift.
KGF
UK£3.52
Kingfisher
7D
4.1%
1Y
42.6%

KGF: Higher Earnings Multiple Will Magnify Risks From Softer Profit Margins

Analysts have revised their Kingfisher price targets, reflecting slightly different assumptions for the discount rate, modestly adjusted expectations for revenue growth and profit margins, and an updated future P/E multiple now estimated at about 13.63x. Valuation Changes Fair Value: Modelled fair value remains unchanged at 2.4, indicating no adjustment to the core valuation output.
BTRW
UK£3.89
Barratt Redrow
7D
-1.3%
1Y
-11.0%

BTRW: Dividend And New Finance Leadership Will Support Future Upside Potential

Analysts have modestly raised their price expectations for Barratt Redrow, with the updated fair value estimate moving from £4.79 to £4.88. The change reflects slightly adjusted assumptions on discount rate, revenue growth, profit margins and future P/E.
JD.
UK£0.81
JD Sports Fashion
7D
-1.7%
1Y
-5.6%

JD.: Recent £100m Buyback Will Support Future Earnings Multiple

Analysts have trimmed their price targets on JD Sports Fashion, with Citi and Deutsche Bank each cutting their views by £0.01 and £0.10 respectively. They now see slightly higher fair value and P/E assumptions, while modestly adjusting their views on growth, margins and discount rates.
MAB
UK£2.82
Mitchells & Butlers
7D
6.8%
1Y
21.1%

Benign Growth For Mitchells & Butlers plc (LON:MAB) Underpins Its Share Price

Feb 05
Benign Growth For Mitchells & Butlers plc (LON:MAB) Underpins Its Share Price
WOSG
UK£4.95
Watches of Switzerland Group
7D
-3.9%
1Y
-11.3%
ENT
UK£6.28
Entain
7D
7.0%
1Y
-4.9%

ENT: Future Upside Will Depend On UK Gaming Tax Headwinds Easing

Analysts have reduced their fair value estimate for Entain from £8.59 to £8.00. This change reflects lower price targets across several firms and a slightly higher discount rate as they factor in UK gaming tax changes and more measured expectations for growth and margins.
DNLM
UK£9.60
Dunelm Group
7D
4.9%
1Y
-1.4%

Multichannel Expansion And Product Elevation Will Shape A Stronger Long Term Outcome

Catalysts About Dunelm Group Dunelm Group is a U.K. based homewares and furniture retailer with both physical stores and a growing digital offering. What are the underlying business or industry changes driving this perspective?
IHG
US$146.20
InterContinental Hotels Group
7D
7.4%
1Y
10.4%

IHG: Future Returns Will Depend On Buybacks And Resilient Fee-Based Model

Analysts have raised their price target for InterContinental Hotels Group from £140.44 to £148.86. The adjustment reflects updated views on discount rates, profit margin assumptions and a slightly higher future P/E multiple following recent research updates.
BKG
UK£42.72
Berkeley Group Holdings
7D
2.6%
1Y
14.6%

BKG: Ongoing Buybacks And Steady Margins Will Support Balanced Future Returns

Analysts have slightly reduced their price target for Berkeley Group Holdings to reflect a small decrease in fair value and future P/E assumptions, partly offset by a modestly improved profit margin outlook. What's in the News Completed a share repurchase of 208,696 shares, about 0.22% of share capital, for £7.85 million under the buyback announced on September 11, 2025 (Key Developments).