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U.K. (FTSE) Consumer Discretionary Sector Analysis

UpdatedJun 09, 2026
DataAggregated Company Financials
Companies114
  • 7D1.7%
  • 3M1.0%
  • 1Y-12.1%
  • YTD-5.6%

The Consumer Discretionary industry is up 1.7% in the last week, with Compass Group up 4.5%. However, the industry is down 12% 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
Wed, 10 Jun 2026UK£157.3bUK£198.7bUK£6.1b13.9x25.6x0.8x
Fri, 08 May 2026UK£150.9bUK£195.6bUK£6.1b12.3x24.9x0.8x
Sun, 05 Apr 2026UK£147.1bUK£195.6bUK£6.0b11.7x24.4x0.8x
Tue, 03 Mar 2026UK£151.2bUK£181.9bUK£5.1b15.7x29.4x0.8x
Thu, 29 Jan 2026UK£149.6bUK£184.8bUK£5.2b14.1x28.9x0.8x
Sat, 27 Dec 2025UK£152.3bUK£185.6bUK£5.2b15x29.4x0.8x
Mon, 24 Nov 2025UK£151.1bUK£184.7bUK£4.9b15.6x30.7x0.8x
Wed, 22 Oct 2025UK£154.5bUK£183.0bUK£5.0b16.2x31x0.8x
Fri, 19 Sep 2025UK£154.0bUK£183.2bUK£4.9b15.3x31.7x0.8x
Sun, 17 Aug 2025UK£156.6bUK£183.7bUK£4.6b15.5x33.8x0.9x
Tue, 15 Jul 2025UK£160.6bUK£184.5bUK£4.9b15.8x32.7x0.9x
Thu, 12 Jun 2025UK£164.1bUK£183.7bUK£4.9b16.7x33.7x0.9x
Sat, 10 May 2025UK£160.8bUK£182.3bUK£4.9b16.4x33.1x0.9x
Mon, 07 Apr 2025UK£146.3bUK£186.9bUK£4.9b15.3x29.9x0.8x
Wed, 05 Mar 2025UK£158.6bUK£189.5bUK£5.3b14.4x30.1x0.8x
Fri, 31 Jan 2025UK£163.7bUK£190.8bUK£5.4b15.4x30.2x0.9x
Sun, 29 Dec 2024UK£163.2bUK£190.4bUK£5.4b15.9x30.3x0.9x
Tue, 26 Nov 2024UK£165.9bUK£190.0bUK£5.7b16x29.3x0.9x
Thu, 24 Oct 2024UK£170.5bUK£189.6bUK£5.9b17.1x28.8x0.9x
Sat, 21 Sep 2024UK£172.7bUK£188.6bUK£6.3b17.2x27.5x0.9x
Mon, 19 Aug 2024UK£169.9bUK£191.4bUK£6.5b16.1x26x0.9x
Wed, 17 Jul 2024UK£163.0bUK£191.4bUK£6.3b15.9x25.8x0.9x
Fri, 14 Jun 2024UK£190.4bUK£202.6bUK£5.4b15.5x34.9x0.9x
Sun, 12 May 2024UK£195.8bUK£200.6bUK£5.2b16.5x37.6x1x
Tue, 09 Apr 2024UK£191.1bUK£205.0bUK£5.1b15.2x37.8x0.9x
Thu, 07 Mar 2024UK£192.1bUK£205.0bUK£6.3b15.5x30.6x0.9x
Sat, 03 Feb 2024UK£196.3bUK£223.4bUK£6.7b14.1x29.4x0.9x
Mon, 01 Jan 2024UK£200.3bUK£224.0bUK£6.6b14.1x30.2x0.9x
Wed, 29 Nov 2023UK£188.3bUK£223.5bUK£6.2b12.3x30.2x0.8x
Fri, 27 Oct 2023UK£179.1bUK£223.7bUK£6.0b11.8x29.9x0.8x
Sun, 24 Sep 2023UK£194.5bUK£223.0bUK£5.8b12.5x33.3x0.9x
Tue, 22 Aug 2023UK£191.4bUK£222.2bUK£6.0b12x31.7x0.9x
Thu, 20 Jul 2023UK£204.7bUK£214.2bUK£6.3b12.7x32.7x1x
Sat, 17 Jun 2023UK£201.4bUK£214.2bUK£6.2b13.8x32.4x0.9x
Price to Earnings Ratio

32.4x


Total Market Cap: UK£201.4bTotal Earnings: UK£6.2bTotal Revenue: UK£214.2bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Consumer Discretionary Sector Price to Earnings3Y Average 30.4x202420252026
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 25.6x which is lower than its 3-year average PE of 30.4x.
  • 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-0.021%
Consumer Discretionary1.74%
General Merchandise and Department Stores6.65%
Hospitality3.26%
Consumer Services2.09%
Specialty Stores0.027%
Online Retail and Ecommerce0%0
Consumer Durables-0.79%
Auto Components-1.39%
Retail Distributors-2.07%
Luxury-3.59%
Leisure-3.96%
Auto-8.49%
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 82.1%, 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 82% 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$32.782.0%
+US$1.1b		-7.0%PE27.6x
NXT NEXTUK£137.654.6%
+UK£696.3m		10.2%PE17.7x
BME B&M European Value RetailUK£2.0318.9%
+UK£324.6m		-23.7%PE12.4x
IHG InterContinental Hotels GroupUS$160.201.3%
+US$298.3m		37.7%PE31.5x
PSON PearsonUK£11.552.7%
+UK£180.6m		6.5%PE20.8x

Latest News

BTRW
UK£2.54
Barratt Redrow
7D
-1.1%
1Y
-46.6%
Narrative Update • Jun 09

BTRW: Margin Discipline And Cost Control Will Underpin Future Upside Potential

The analyst price target for Barratt Redrow has been reduced to £2.60 from £4.82, as analysts factor in margin headwinds, softer pricing assumptions, and slightly lower estimates for fair value, revenue growth, profit margins, and future P/E. Analyst Commentary Bullish Takeaways Bullish analysts point to the upgraded rating earlier in the year as a sign that some see value support at current levels, even as sector sentiment has softened.
PSON
UK£11.55
Pearson
7D
2.7%
1Y
6.5%
Narrative Update • Jun 08

PSON: AI Partnerships And Steady Cash Returns Will Support Balanced Outlook

Analysts have lifted their Pearson price target by £0.10, citing updated assumptions around discount rates, revenue growth, profit margins and future P/E as the key drivers behind the change. What's in the News The Jordanian Ministry of Education extended its vocational education development contract with Pearson to 2031, covering support for 362 schools and BTEC Level 2 and 3 Arabic-language qualifications across 14 sectors.
WOSG
UK£6.94
Watches of Switzerland Group
7D
-4.2%
1Y
58.4%
Narrative Update • Jun 08

WOSG: Revised Outlook Suggests U.S. Expansion Will Drive Future Upside

Analysts have lifted the fair value estimate for Watches of Switzerland Group from £6.40 to £8.25 and referenced the recent increase in Street price targets to £6.50 as support, reflecting updated assumptions for revenue growth, profit margins and future P/E multiples under a slightly lower discount rate. What's in the News No recent company specific news items, periodical coverage, or key developments were provided for Watches of Switzerland Group in the supplied sources.
BME
UK£2.03
B&M European Value Retail
7D
18.9%
1Y
-23.7%
Narrative Update • Jun 07

BME: Value Format Execution And Refined Assumptions Will Support Future Upside

Narrative update on B&M European Value Retail The latest analyst price target for B&M European Value Retail has moved, with recent Street research clustered between £1.40 and £2.90 per share, as analysts weigh weaker UK consumer confidence and slower retail spending against differing views on the company’s valuation and growth profile. Analyst Commentary Street research on B&M European Value Retail currently spans a wide range of opinions, with price targets cited between £1.40 and £2.90 per share and ratings stretching from Sell to Buy.
DEBS
UK£0.23
boohoo group
7D
22.3%
1Y
10.8%
Narrative Update • Jun 07

DEBS: AI Commerce Partnership Will Drive Future Upside Potential

Analysts have adjusted their fair value price target for boohoo group to £0.29, reflecting updated assumptions for discount rate, revenue growth, profit margin and future P/E. This Narrative Update explains what has changed in that framework.
CPG
US$32.78
Compass Group
7D
2.0%
1Y
-7.0%
Narrative Update • Jun 05

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

Narrative Update on Compass Group Analysts have adjusted their price target on Compass Group to $38.28, supported by an updated view on the stock's discount rate and forward P/E assumptions in light of recent research upgrades such as the move by BNP Paribas. What's in the News Compass Group is participating in the Kiertis pilot in Espoo, Finland, which tests reusable, deposit based takeaway food containers and a related return system in grocery and food service settings.
PSN
UK£10.53
Persimmon
7D
-1.6%
1Y
-23.7%
Narrative Update • Jun 05

PSN: Forward Order Book And 2026 Completions Guidance Will Support Returns

Analysts have trimmed their price target on Persimmon to £1,390 from £1,610, reflecting slightly lower fair value, earnings, and margin assumptions in their updated models. Analyst Commentary Recent commentary on Persimmon points to a more balanced stance, with the latest target cut following an earlier upward adjustment to £1,610.
IHG
US$160.20
InterContinental Hotels Group
7D
1.3%
1Y
37.7%
Narrative Update • Jun 05

IHG: Future Returns Will Rely On Operational Efficiencies And Disciplined Capital Allocation

Analysts have raised their price target on InterContinental Hotels Group stock to $154 from $141. The updated fair value of $153.48 reflects views on slightly adjusted discount rate inputs, a modestly lower revenue growth outlook, a small uptick in profit margin expectations, and a higher assumed future P/E.
NXT
UK£137.65
NEXT
7D
4.6%
1Y
10.2%
Narrative Update • Jun 05

NXT: Future Cash Returns Will Reflect Mixed Rating Shifts And Execution Risks

Analysts have trimmed their fair value estimate for NEXT slightly to about £147 from roughly £148, reflecting modest changes in the discount rate, revenue growth, profit margin and future P/E assumptions following mixed recent research, including an upgrade with a £14,000 price target and a separate price target cut. Analyst Commentary Bullish Takeaways Bullish analysts see the recent upgrade and £14,000 price target as support for the view that NEXT can justify a premium valuation multiple relative to the fair value estimate, assuming the company executes consistently on revenue and margin plans.
INCH
UK£8.04
Inchcape
7D
-4.1%
1Y
16.5%
Narrative Update • Jun 04

INCH: Active Buybacks And Bolt On Deals Will Support Future Upside

Analysts now see Inchcape's fair value at £12.74, up from £11.20. This reflects updated assumptions for the discount rate, revenue growth, profit margins and future P/E, even as some have recently trimmed their separate published price targets, such as the £0.56 reduction cited by Citi.
VTY
UK£2.49
Vistry Group
7D
-5.0%
1Y
-61.9%
Narrative Update • Jun 04

VTY: Future Returns Will Be Pressured By Margin Risks From Open Market Sales

Analysts have sharply reduced their price targets on Vistry Group, with recent cuts from £6.50 to £5.00, £6.40 to £5.30 and £5.80 to £3.40. These changes reflect concerns about weaker margins, softer end markets and lower earnings estimates through FY27.
WTB
UK£23.39
Whitbread
7D
2.1%
1Y
-19.5%
Narrative Update • Jun 04

WTB: Activist Pressure And Execution Risks Will Restrain Future Share Upside

Whitbread’s analyst price target has been adjusted to £21.00 per share, with recent mixed Street research and updated views on growth, margins and P/E assumptions prompting this recalibration by analysts. Analyst Commentary Recent Street research around Whitbread reflects mixed sentiment, but the adjustment to a £21.00 price target comes against a backdrop of several cautious moves on valuation and growth assumptions.
ENT
UK£5.83
Entain
7D
3.8%
1Y
-22.6%
Narrative Update • Jun 01

ENT: Rumored Takeover Interest And Dividend Policy Will Drive Future Repricing

Analysts have trimmed their average price targets for Entain by a few pounds, with recent changes including cuts from £1,055 to £1,028 and from £1,150 to £1,100. These revisions reflect updated views on growth, margins and appropriate P/E levels, while still indicating potential upside in the stock.
GAW
UK£186.00
Games Workshop Group
7D
-5.1%
1Y
15.2%
Analysis Article • May 30

Is It Too Late To Consider Buying Games Workshop Group PLC (LON:GAW)?

Games Workshop Group PLC ( LON:GAW ), might not be a large cap stock, but it saw a double-digit share price rise of...
BRBY
UK£11.13
Burberry Group
7D
-4.9%
1Y
2.5%
Narrative Update • May 26

BRBY: Royal Heritage Capsule And Brand Repositioning Will Support Future Repricing

Burberry Group's analyst price target has been updated from about £13.36 to around £13.00, reflecting mixed recent research. Some analysts highlight an improved revenue mix and early progress in the brand repositioning, while others point to macro uncertainty and view the share pullback as a potential entry point.
AML
UK£0.41
Aston Martin Lagonda Global Holdings
7D
-9.6%
1Y
-52.8%