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U.K. (FTSE) Hospitality Industry Analysis

UpdatedSep 15, 2025
DataAggregated Company Financials
Companies32
  • 7D1.1%
  • 3M1.7%
  • 1Y0.8%
  • YTD-3.4%

The Hospitality industry is up 1.1% in the last week, with Compass Group up 2.0%. Overall in the last year, the industry is flat. As for the next few years, earnings are expected to grow by 28% per annum.

Industry Valuation and Performance

Has the U.K. Hospitality Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 15 Sep 2025UK£68.9bUK£58.3bUK£1.3b14.6x54.7x1.2x
Wed, 13 Aug 2025UK£69.1bUK£58.3bUK£1.4b19.5x50.2x1.2x
Fri, 11 Jul 2025UK£69.8bUK£58.0bUK£1.4b17.3x49.6x1.2x
Sun, 08 Jun 2025UK£68.6bUK£58.1bUK£1.4b18.1x48.9x1.2x
Tue, 06 May 2025UK£67.5bUK£57.1bUK£1.4b18x49.7x1.2x
Thu, 03 Apr 2025UK£65.8bUK£57.8bUK£1.4b17.8x48.2x1.1x
Sat, 01 Mar 2025UK£71.1bUK£59.3bUK£1.7b15.4x42.6x1.2x
Mon, 27 Jan 2025UK£70.5bUK£59.9bUK£1.7b18.3x42.4x1.2x
Wed, 25 Dec 2024UK£71.3bUK£59.7bUK£1.7b20.3x43.1x1.2x
Fri, 22 Nov 2024UK£70.4bUK£58.8bUK£1.8b20.3x39.8x1.2x
Sun, 20 Oct 2024UK£70.0bUK£57.6bUK£1.7b23.3x41.4x1.2x
Tue, 17 Sep 2024UK£69.2bUK£56.4bUK£1.7b23.9x40.7x1.2x
Thu, 15 Aug 2024UK£66.1bUK£58.1bUK£1.7b21.6x39.2x1.1x
Sat, 13 Jul 2024UK£63.2bUK£57.4bUK£1.2b22x52.6x1.1x
Mon, 10 Jun 2024UK£90.4bUK£67.7bUK£217.3m22x416.1x1.3x
Wed, 08 May 2024UK£93.7bUK£65.7bUK£166.7m22.9x561.8x1.4x
Fri, 05 Apr 2024UK£92.6bUK£65.7bUK£95.7m21.2x967x1.4x
Sun, 03 Mar 2024UK£94.1bUK£65.0bUK£1.1b22.8x85.6x1.4x
Tue, 30 Jan 2024UK£94.8bUK£66.2bUK£981.0m20.8x96.7x1.4x
Thu, 28 Dec 2023UK£91.3bUK£66.2bUK£984.7m23x92.7x1.4x
Sat, 25 Nov 2023UK£85.2bUK£65.7bUK£1.1b20.7x79x1.3x
Mon, 23 Oct 2023UK£84.0bUK£64.3bUK£1.0b19.9x80.1x1.3x
Wed, 20 Sep 2023UK£90.5bUK£63.9bUK£1.0b18.4x89.6x1.4x
Fri, 18 Aug 2023UK£88.0bUK£63.7bUK£989.9m23.8x88.9x1.4x
Sun, 16 Jul 2023UK£95.5bUK£61.8bUK£1.2b24.2x80.4x1.5x
Tue, 13 Jun 2023UK£96.3bUK£61.7bUK£1.2b22.8x80.1x1.6x
Thu, 11 May 2023UK£96.4bUK£61.0bUK£1.3b21.4x77.1x1.6x
Sat, 08 Apr 2023UK£90.9bUK£57.2bUK£1.2b19.2x73.5x1.6x
Mon, 06 Mar 2023UK£85.7bUK£54.8bUK£1.9b19.8x44.1x1.6x
Wed, 01 Feb 2023UK£84.9bUK£53.3bUK£1.8b18.8x47.4x1.6x
Fri, 30 Dec 2022UK£80.0bUK£53.3bUK£2.0b16.8x40.4x1.5x
Sun, 27 Nov 2022UK£80.0bUK£52.0bUK£1.8b11.9x43.9x1.5x
Tue, 25 Oct 2022UK£74.5bUK£46.8bUK£1.1b9.3x65.6x1.6x
Thu, 22 Sep 2022UK£75.8bUK£45.7bUK£1.3b12.9x60.6x1.7x
Price to Earnings Ratio

60.6x


Total Market Cap: UK£75.8bTotal Earnings: UK£1.3bTotal Revenue: UK£45.7bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Hospitality Industry Price to Earnings3Y Average 111x202320242025
Current Industry PE
  • Investors are pessimistic on the British Hospitality 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 54.7x which is lower than its 3-year average PE of 111x.
  • The 3-year average PS ratio of 1.4x is higher than the industry's current PS ratio of 1.2x.
Past Earnings Growth
  • The earnings for companies in the Hospitality industry have remained mostly flat over the last three years.
  • Meanwhile revenues for these companies have grown 8.4% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased and as a result, profits have held steady.

Industry Trends

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

GB Market0.46%
Consumer Discretionary-0.86%
Hospitality1.08%
Restaurants1.69%
Hotels, Resorts and Cruise Lines0.59%
Leisure Facilities0.31%
Casinos and Gaming-2.52%
Industry PE
  • Investors are most optimistic about the Restaurants industry, which is trading close to its 3-year average PE ratio of 35.6x.
    • Analysts are expecting annual earnings growth of 19.8%, which is lower than the prior year's growth of 22.0% per year.
Forecasted Growth
  • Analysts are most optimistic on the Casinos and Gaming industry, expecting annual earnings growth of 101% over the next 5 years.
  • However this is lower than its past earnings growth rate of 263% per year.
  • In contrast, the Hotels, Resorts and Cruise Lines industry is expected to see its earnings grow by 14% per year 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£25.992.0%
+UK£865.5m		5.7%PE40.9x
TRN TrainlineUK£2.9810.9%
+UK£116.5m		-9.6%PE20.6x
MAB Mitchells & ButlersUK£2.622.3%
+UK£35.6m		-12.0%PE9.2x
SSPG SSP GroupUK£1.562.9%
+UK£35.2m		-3.8%PS0.3x
RNK Rank GroupUK£1.371.6%
+UK£10.3m		69.6%PE14.4x

Latest News

OTB
UK£2.64
On the Beach Group
7D
-1.3%
1Y
82.8%
PTEC
UK£3.84
Playtech
7D
-4.6%
1Y
-49.1%
DPP
UK£0.086
DP Poland
7D
-6.8%
1Y
-15.9%
TRN
UK£2.98
Trainline
7D
10.9%
1Y
-9.6%
RNK
UK£1.37
Rank Group
7D
1.6%
1Y
69.6%
IHG
UK£88.88
InterContinental Hotels Group
7D
-3.0%
1Y
13.2%

Asian Expansion And Digital Bookings Will Transform Hospitality

Analysts have slightly reduced their price target for InterContinental Hotels Group to £89.37, primarily due to currency headwinds and continued U.S. RevPAR pressure, despite ongoing confidence in management's growth initiatives and the resilience of the operating model. Analyst Commentary Bullish analysts highlighted the resilience of InterContinental Hotels Group's operating model, as evidenced by solid Q2 results.
GRG
UK£15.79
Greggs
7D
-3.9%
1Y
-50.3%

Greggs (LON:GRG) Has A Pretty Healthy Balance Sheet

Sep 09
Greggs (LON:GRG) Has A Pretty Healthy Balance Sheet
WTB
UK£31.08
Whitbread
7D
-1.3%
1Y
1.5%

Whitbread plc (LON:WTB) Not Lagging Market On Growth Or Pricing

Sep 07
Whitbread plc (LON:WTB) Not Lagging Market On Growth Or Pricing
ENT
UK£8.54
Entain
7D
-2.6%
1Y
17.7%

Digitalization Will Expand iGaming And Online Betting

Analysts maintain a positive outlook on Entain due to improved operational performance, management execution, and favorable regulatory developments, resulting in no change to the consensus price target, which remains at £11.39. Analyst Commentary Bullish analysts highlight improved operational performance and execution driving positive momentum in core markets.
DOM
UK£2.05
Domino's Pizza Group
7D
-0.8%
1Y
-30.1%

Investors Aren't Buying Domino's Pizza Group plc's (LON:DOM) Earnings

Aug 31
Investors Aren't Buying Domino's Pizza Group plc's (LON:DOM) Earnings
JDW
UK£6.89
J D Wetherspoon
7D
1.0%
1Y
-3.1%

Benign Growth For J D Wetherspoon plc (LON:JDW) Underpins Its Share Price

Aug 30
Benign Growth For J D Wetherspoon plc (LON:JDW) Underpins Its Share Price
SSPG
UK£1.56
SSP Group
7D
2.9%
1Y
-3.8%

SSP Group plc's (LON:SSPG) Intrinsic Value Is Potentially 23% Below Its Share Price

Aug 30
SSP Group plc's (LON:SSPG) Intrinsic Value Is Potentially 23% Below Its Share Price
CPG
UK£25.99
Compass Group
7D
2.0%
1Y
5.7%

Acquisitions Of Dupont Restauration And 4Service Will Create Future Operational Synergies

Despite robust organic revenue growth, improved margins, solid cash flow, and ongoing geographic expansion supporting long-term prospects, Compass Group’s consensus analyst price target has marginally decreased from £27.94 to £27.44. Analyst Commentary Bullish analysts point to robust organic revenue growth, driven by strong contract wins and client retention.
EVOK
UK£0.59
Evoke
7D
3.1%
1Y
2.1%
MAB
UK£2.62
Mitchells & Butlers
7D
2.3%
1Y
-12.0%

The Returns At Mitchells & Butlers (LON:MAB) Aren't Growing

Jul 31
The Returns At Mitchells & Butlers (LON:MAB) Aren't Growing
MARS
UK£0.38
Marston's
7D
2.0%
1Y
1.7%