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U.K. (FTSE) Consumer Discretionary Sector Analysis

UpdatedFeb 22, 2026
DataAggregated Company Financials
Companies116
  • 7D2.6%
  • 3M-0.1%
  • 1Y-4.3%
  • YTD-1.0%

In the last week, the Consumer Discretionary industry is up 2.6%, with Compass Group up 7.5%. In contrast, the industry has lost 4.3% in the last 12 months. 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
Sun, 22 Feb 2026UK£149.6bUK£181.8bUK£5.4b14.6x27.9x0.8x
Tue, 20 Jan 2026UK£150.8bUK£185.8bUK£5.2b14.8x29x0.8x
Thu, 18 Dec 2025UK£152.7bUK£186.0bUK£5.2b15.1x29.3x0.8x
Sat, 15 Nov 2025UK£151.6bUK£184.8bUK£4.9b15.8x30.9x0.8x
Mon, 13 Oct 2025UK£153.3bUK£182.9bUK£5.0b15.5x30.8x0.8x
Wed, 10 Sep 2025UK£154.6bUK£182.4bUK£4.9b15.4x31.8x0.8x
Fri, 08 Aug 2025UK£159.6bUK£183.7bUK£4.7b15.9x34x0.9x
Sun, 06 Jul 2025UK£160.8bUK£183.9bUK£4.9b16.1x32.8x0.9x
Tue, 03 Jun 2025UK£163.0bUK£183.7bUK£4.9b17.5x33.2x0.9x
Thu, 01 May 2025UK£157.5bUK£182.3bUK£4.9b16x32.3x0.9x
Sat, 29 Mar 2025UK£152.6bUK£186.6bUK£4.9b16.3x31.3x0.8x
Mon, 24 Feb 2025UK£162.1bUK£189.7bUK£5.4b15.2x30.3x0.9x
Wed, 22 Jan 2025UK£161.1bUK£191.2bUK£5.4b15.5x29.6x0.8x
Fri, 20 Dec 2024UK£163.7bUK£190.5bUK£5.4b15.9x30.4x0.9x
Sun, 17 Nov 2024UK£165.0bUK£190.0bUK£5.6b16.4x29.4x0.9x
Tue, 15 Oct 2024UK£168.1bUK£189.7bUK£6.1b17.5x27.7x0.9x
Thu, 12 Sep 2024UK£170.5bUK£189.2bUK£6.3b16x27x0.9x
Sat, 10 Aug 2024UK£165.8bUK£192.1bUK£6.6b15.7x25.2x0.9x
Mon, 08 Jul 2024UK£160.7bUK£191.8bUK£6.3b16x25.4x0.8x
Wed, 05 Jun 2024UK£192.6bUK£202.4bUK£5.4b15.8x35.8x1x
Fri, 03 May 2024UK£187.5bUK£200.8bUK£5.2b16.3x36.4x0.9x
Sun, 31 Mar 2024UK£195.5bUK£205.0bUK£5.0b15.6x38.8x1x
Tue, 27 Feb 2024UK£192.0bUK£204.0bUK£6.3b15.1x30.4x0.9x
Thu, 25 Jan 2024UK£196.0bUK£223.5bUK£6.6b14x29.9x0.9x
Sat, 23 Dec 2023UK£200.4bUK£224.0bUK£6.6b14.1x30.2x0.9x
Mon, 20 Nov 2023UK£189.4bUK£224.0bUK£6.1b12.6x31.1x0.8x
Wed, 18 Oct 2023UK£185.0bUK£223.6bUK£5.8b12.1x31.9x0.8x
Fri, 15 Sep 2023UK£198.0bUK£222.3bUK£6.1b12.6x32.4x0.9x
Sun, 13 Aug 2023UK£198.8bUK£217.7bUK£6.1b12.2x32.7x0.9x
Tue, 11 Jul 2023UK£193.4bUK£214.0bUK£6.2b12.7x31x0.9x
Thu, 08 Jun 2023UK£201.4bUK£214.4bUK£6.2b13.9x32.6x0.9x
Sat, 06 May 2023UK£206.0bUK£207.9bUK£6.6b12.6x31.2x1x
Mon, 03 Apr 2023UK£197.5bUK£208.0bUK£7.1b12.2x28x0.9x
Wed, 01 Mar 2023UK£199.4bUK£207.2bUK£8.2b12.8x24.3x1x
Price to Earnings Ratio

24.3x


Total Market Cap: UK£199.4bTotal Earnings: UK£8.2bTotal Revenue: UK£207.2bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Consumer Discretionary Sector Price to Earnings3Y Average 30.7x202420252026
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 30.7x.
  • 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 4.3% 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 Market2.09%
Consumer Discretionary2.56%
Hospitality5.57%
Leisure5.18%
Retail Distributors4.50%
Auto Components3.58%
General Merchandise and Department Stores1.97%
Luxury0.99%
Consumer Services0.98%
Specialty Stores0.14%
Online Retail and Ecommerce0%0
Consumer Durables-0.81%
Auto-7.19%
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 44.5%, 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
CPG Compass GroupUK£22.137.5%
+UK£2.6b		-20.8%PE27.2x
GAW Games Workshop GroupUK£173.505.2%
+UK£284.2m		22.6%PE27.8x
NXT NEXTUK£129.801.9%
+UK£278.3m		29.6%PE18.9x
INCH InchcapeUK£8.855.2%
+UK£157.5m		30.1%PE11.3x
SSPG SSP GroupUK£2.016.9%
+UK£100.7m		15.4%PS0.4x

Latest News

IHG
US$142.10
InterContinental Hotels Group
7D
-2.9%
1Y
13.5%
BRBY
UK£12.14
Burberry Group
7D
1.5%
1Y
14.2%

BRBY: Future Returns Will Depend On Execution Risks In Brand Plan

Analysts have nudged their price targets for Burberry Group higher, with one recent report lifting its view by £0.20. The change reflects modestly adjusted assumptions around discount rates, revenue growth, profit margins and future P/E, and keeps the estimated fair value steady at £9.40.
KGF
UK£3.55
Kingfisher
7D
-2.1%
1Y
44.6%

KGF: Small Discount Rate Shift Will Sustain Bearish Fair Value View

Analysts have nudged their Kingfisher price target slightly higher to £3.11 from £3.09, citing updated assumptions for the discount rate, revenue growth, profit margin and future P/E that leave their fair value view broadly unchanged overall. Valuation Changes Fair Value: The price target fair value has edged up slightly to £3.11 from £3.09, reflecting small tweaks to the model rather than a major shift in view.
CURY
UK£1.56
Currys
7D
4.6%
1Y
57.4%

CURY: Wireless Strength And Buybacks Will Support Higher Future Share Returns

Analysts have nudged their fair value estimate for Currys higher from about £1.76 to roughly £1.78, reflecting updated views on discount rates, revenue growth, profit margins and P/E assumptions in line with recent Street research, including the £0.10 price target increase cited by Deutsche Bank. Analyst Commentary Analysts describing the higher fair value and price target moves are largely reacting to updated assumptions on discount rates, revenue growth, profit margins and P/E, rather than a single headline event.
BTRW
UK£3.78
Barratt Redrow
7D
-2.7%
1Y
-10.9%

BTRW: Dividend Resilience And Rebased Expectations Will Support Future Upside Potential

The analyst price target for Barratt Redrow has been reduced to £4.71 from £4.88, as analysts factor in updated assumptions on discount rate, revenue growth, profit margin and future P/E in light of recent price target cuts from £4.70 to £4.30 and from £4.55 to £4.30. Analyst Commentary Recent research updates point to a more cautious stance on Barratt Redrow, with price targets being reset closer to £4.30 and ratings trimmed as analysts reassess the risk and reward trade off.
JD.
UK£0.78
JD Sports Fashion
7D
-0.9%
1Y
-4.0%

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

Analysts have trimmed their price targets on JD Sports Fashion, with recent research indicating a small reduction driven by slightly higher discount rate assumptions and only marginal tweaks to long term growth and P/E inputs. This has led to modestly lower targets, such as the £0.01 and £0.10 cuts reported by major banks.
CPG
UK£22.13
Compass Group
7D
7.5%
1Y
-20.8%
INCH
UK£8.85
Inchcape
7D
5.2%
1Y
30.1%

INCH: Future EPS Guidance And Revised P/E Assumptions Will Shape Fair Value View

Analysts have nudged their Inchcape price target slightly higher, from £7.90 to £8.00, citing small adjustments to fair value assumptions, the discount rate, expected revenue growth, profit margins and the future P/E multiple. Valuation Changes Fair Value has been nudged from £7.90 to £8.00 per share, reflecting a small upward revision to the central estimate.
ENT
UK£5.81
Entain
7D
2.5%
1Y
-21.2%

ENT: Recent Tax Shift And Share Pullback Will Create Opportunity

We trim our Entain fair value estimate from £12.60 to £12.00, reflecting a higher discount rate, slightly lower revenue growth assumptions, and Street research in which several firms have reduced price targets and, in one case, downgraded the rating while still seeing potential value after the recent share price weakness. Analyst Commentary Street research on Entain has been mixed, but there are several clear pockets of optimism that help frame how some investors are thinking about the shares after the recent pullback and tax headlines.
VTY
UK£7.16
Vistry Group
7D
-1.8%
1Y
17.7%

Investors Holding Back On Vistry Group PLC (LON:VTY)

Feb 14
Investors Holding Back On Vistry Group PLC (LON:VTY)
GAW
UK£173.50
Games Workshop Group
7D
5.2%
1Y
22.6%
BKG
UK£43.54
Berkeley Group Holdings
7D
-1.8%
1Y
16.6%

BKG: JPMorgan Upgrade And Buybacks Will Support Stable Yet Balanced Future Returns

Analysts have nudged their price target for Berkeley Group Holdings slightly higher to about £42.95, citing updated views on discount rates, long run revenue trends, profit margins, and future P/E assumptions following recent research such as the JPMorgan upgrade. Analyst Commentary Bullish Takeaways Bullish analysts see the revised price target near £42.95 as consistent with their updated P/E assumptions, suggesting the current valuation lines up more closely with their view of the company’s earnings power.
TW.
UK£1.15
Taylor Wimpey
7D
-1.3%
1Y
0.5%

TW.: Outlet Stability And Maintained 2025 Guidance Will Support Upside Potential

Analysts have trimmed their price targets for Taylor Wimpey by £0.02, reflecting a slightly higher discount rate and slightly lower future P/E assumptions, even though their revenue growth and profit margin expectations remain modestly higher. Analyst Commentary Recent research suggests that, even with slightly lower price targets, some bullish analysts still see room for Taylor Wimpey to execute on its plans and justify valuations that reflect modestly higher expectations for revenue and margins.
NXT
UK£129.80
NEXT
7D
1.9%
1Y
29.6%

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.
SSPG
UK£2.01
SSP Group
7D
6.9%
1Y
15.4%

SSP Group (LON:SSPG) Might Have The Makings Of A Multi-Bagger

Feb 05
SSP Group (LON:SSPG) Might Have The Makings Of A Multi-Bagger
AML
UK£0.59
Aston Martin Lagonda Global Holdings
7D
-7.2%
1Y
-50.6%