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U.K. (FTSE) Consumer Discretionary Sector Analysis

UpdatedMay 03, 2026
DataAggregated Company Financials
Companies114
  • 7D-2.9%
  • 3M-9.5%
  • 1Y-16.1%
  • YTD-11.2%

Over the last 7 days, the Consumer Discretionary industry has dropped 2.9%, driven by a pullback from Compass Group of 6.1%. However, the industry is down 16% over the past year. As for the next few years, earnings are expected to grow by 16% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 03 May 2026UK£147.0bUK£195.5bUK£6.1b12.1x24.2x0.8x
Tue, 31 Mar 2026UK£130.6bUK£184.4bUK£5.5b11.6x23.8x0.7x
Thu, 26 Feb 2026UK£149.7bUK£181.6bUK£5.4b14.2x27.9x0.8x
Sat, 24 Jan 2026UK£149.9bUK£185.3bUK£5.2b14.1x28.9x0.8x
Mon, 22 Dec 2025UK£153.5bUK£185.9bUK£5.2b15x29.6x0.8x
Wed, 19 Nov 2025UK£149.7bUK£184.8bUK£4.9b15.8x30.5x0.8x
Fri, 17 Oct 2025UK£154.9bUK£182.9bUK£5.0b16.3x31.1x0.8x
Sun, 14 Sep 2025UK£154.6bUK£182.2bUK£4.8b14.9x32.2x0.8x
Tue, 12 Aug 2025UK£156.8bUK£183.7bUK£4.7b15.9x33.1x0.9x
Thu, 10 Jul 2025UK£160.7bUK£184.1bUK£4.9b16.1x32.8x0.9x
Sat, 07 Jun 2025UK£162.1bUK£183.7bUK£4.9b16.9x33.2x0.9x
Mon, 05 May 2025UK£160.0bUK£182.4bUK£4.8b16.2x33.1x0.9x
Wed, 02 Apr 2025UK£151.5bUK£186.7bUK£4.9b16.7x31x0.8x
Fri, 28 Feb 2025UK£160.2bUK£189.7bUK£5.2b14.7x30.8x0.8x
Sun, 26 Jan 2025UK£160.9bUK£190.7bUK£5.4b15.5x29.6x0.8x
Tue, 24 Dec 2024UK£163.7bUK£190.5bUK£5.4b15.9x30.3x0.9x
Thu, 21 Nov 2024UK£162.1bUK£189.8bUK£5.6b16.4x28.7x0.9x
Sat, 19 Oct 2024UK£172.3bUK£189.3bUK£5.9b17.5x29.2x0.9x
Mon, 16 Sep 2024UK£173.0bUK£189.1bUK£6.3b16.1x27.4x0.9x
Wed, 14 Aug 2024UK£166.6bUK£191.8bUK£6.6b16x25.4x0.9x
Fri, 12 Jul 2024UK£162.4bUK£191.6bUK£6.3b16.2x25.7x0.8x
Sun, 09 Jun 2024UK£191.7bUK£202.8bUK£5.5b15.7x35.2x0.9x
Tue, 07 May 2024UK£190.6bUK£200.7bUK£5.3b16.4x36.2x0.9x
Thu, 04 Apr 2024UK£191.8bUK£205.0bUK£5.0b15.2x38x0.9x
Sat, 02 Mar 2024UK£193.0bUK£203.7bUK£6.1b15.3x31.4x0.9x
Mon, 29 Jan 2024UK£198.8bUK£223.5bUK£6.6b14.2x30.3x0.9x
Wed, 27 Dec 2023UK£200.2bUK£224.0bUK£6.6b14.1x30.2x0.9x
Fri, 24 Nov 2023UK£189.3bUK£225.1bUK£6.1b12.2x31.2x0.8x
Sun, 22 Oct 2023UK£179.0bUK£223.7bUK£6.0b11.9x29.9x0.8x
Tue, 19 Sep 2023UK£195.8bUK£222.4bUK£5.9b12.4x32.9x0.9x
Thu, 17 Aug 2023UK£196.1bUK£217.6bUK£6.1b12.5x32.2x0.9x
Sat, 15 Jul 2023UK£199.3bUK£214.1bUK£6.3b12.8x31.9x0.9x
Mon, 12 Jun 2023UK£199.7bUK£214.3bUK£6.2b13.6x32x0.9x
Wed, 10 May 2023UK£205.8bUK£207.9bUK£6.6b12.6x31.1x1x
Price to Earnings Ratio

31.1x


Total Market Cap: UK£205.8bTotal Earnings: UK£6.6bTotal Revenue: UK£207.9bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Consumer Discretionary Sector Price to Earnings3Y Average 30.6x202420252026
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 24.0x which is lower than its 3-year average PE of 30.6x.
  • The industry is trading close to its 3-year average PS ratio of 0.87x.
Past Earnings Growth
  • The earnings for companies in the Consumer Discretionary industry have declined 2.7% per year over the last three years,
  • Revenues have also declined 2.0% 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 Market-0.16%
Consumer Discretionary-2.88%
Retail Distributors3.81%
Consumer Services3.37%
Leisure3.11%
Luxury1.15%
Online Retail and Ecommerce0%0
Specialty Stores-2.10%
Consumer Durables-2.22%
General Merchandise and Department Stores-2.40%
Auto-3.86%
Auto Components-4.89%
Hospitality-5.87%
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 35.1%, which is higher than its past year's earnings decline of 18.6% per year.
Forecasted Growth
  • Analysts are most optimistic on the Auto Components industry, expecting annual earnings growth of 81% over the next 5 years.
  • This is better than its past earnings decline of 27% 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
PSON PearsonUK£11.154.1%
+UK£251.9m		-5.7%PE20.1x
GAW Games Workshop GroupUK£200.703.1%
+UK£201.6m		29.7%PE32.1x
INCH InchcapeUK£8.354.0%
+UK£112.7m		25.5%PE10.9x
BRBY Burberry GroupUK£11.752.4%
+UK£98.4m		61.7%PS1.8x
HFD Halfords GroupUK£1.4911.0%
+UK£32.2m		-5.7%PS0.2x

Latest News

IGR
UK£0.69
IG Design Group
7D
27.8%
1Y
13.9%
WTB
UK£22.96
Whitbread
7D
-6.6%
1Y
-15.1%
JD.
UK£0.67
JD Sports Fashion
7D
-3.8%
1Y
-15.9%

JD.: Buyback Programme And Higher Future P/E Assumptions Will Support Upside

Analysts have slightly trimmed their price targets on JD Sports Fashion, with recent cuts of £0.10 and £0.01 contributing to a modest reset of fair value assumptions and forward P/E expectations. Analyst Commentary Recent research points to a modest recalibration of fair value for JD Sports Fashion, with price targets adjusted by £0.10 and £0.01.
INCH
UK£8.35
Inchcape
7D
4.0%
1Y
25.5%
HFD
UK£1.49
Halfords Group
7D
11.0%
1Y
-5.7%
TW.
UK£0.79
Taylor Wimpey
7D
-5.4%
1Y
-34.5%
ENT
UK£5.68
Entain
7D
-5.3%
1Y
-15.5%

ENT: Future Returns Will Depend On Dividend Reliability And Execution Through Rebased Expectations

Entain's updated analyst price target has shifted from £7.09 to £6.28. Analysts point to a recalibrated fair value, a slightly higher discount rate, modestly adjusted growth and margin assumptions, and a lower future P/E multiple after a mix of recent downgrades and target changes across major banks.
CPG
US$28.25
Compass Group
7D
-6.1%
1Y
-16.7%

CPG: Margin Resilience And Premium P/E Will Support Future Upside

Analysts have made a small trim to Compass Group's fair value estimate, moving their price target from about $38.60 to roughly $38.50. This adjustment reflects updated views on discount rates, profit margins and P/E assumptions following recent research, including an upgrade and a separate target cut.
PSON
UK£11.15
Pearson
7D
4.1%
1Y
-5.7%

PSON: AI Partnership And Buybacks Will Support Steady Cash Flow Profile

The updated analyst price target for Pearson edges higher to about £11.70, with analysts pointing to modest tweaks in revenue growth, profit margin and P/E assumptions, as well as mixed recent Street targets that reflect both model refinements and shifts to peer group valuation multiples. Analyst Commentary Recent Street research on Pearson points to mixed but generally constructive views around valuation, execution and forecast assumptions, with small price target moves reflecting tweaks to models rather than wholesale shifts in conviction.
CRN
UK£1.89
Cairn Homes
7D
1.2%
1Y
10.3%

CRN: Housing Shortage And Policy Support Will Underpin Higher 2026 Earnings Guidance

Narrative update on Cairn Homes The analyst price target for Cairn Homes has been revised to £2.45 from £2.00, with analysts highlighting ongoing housing supply constraints and supportive government policy as key factors behind the change. Analyst Commentary Bullish analysts are lifting their targets for Cairn Homes, reflecting confidence in the company’s ability to execute in a tight housing market supported by government policy.
NXT
UK£130.05
NEXT
7D
-1.8%
1Y
5.1%

NXT: Future Cash Returns Will Depend On Recalibrated Margins And Discount Rate

Analysts have trimmed their price target on NEXT by £0.18 to reflect slightly softer assumptions on fair value, discount rate, revenue growth, profit margin and future P/E, following recent research updates. Analyst Commentary Bullish Takeaways Bullish analysts view the new price target as still implying scope for value creation, even after trimming assumptions on revenue growth, profit margins and future P/E.
CRST
UK£0.68
Crest Nicholson Holdings
7D
9.0%
1Y
-63.8%

CRST: Future Upside Will Depend On Resolving Going Concern Audit Warning

Analysts have cut their price target on Crest Nicholson Holdings from £1.80 to £1.32, reflecting updated assumptions of a higher 11.91% discount rate, lower 1.65% revenue growth, a 4.34% profit margin and a slightly reduced future P/E of 17.06x. What's in the News The annual report for the period ending Oct 31, 2025 was filed on Feb 17, 2026.
PSN
UK£10.57
Persimmon
7D
-4.9%
1Y
-21.7%

PSN: Forward Order Book And Higher Future P E Multiple Will Support Returns

Analysts have trimmed Persimmon's fair value estimate and lowered the average price target by £2.20 to reflect slightly softer assumptions on revenue growth and profit margins, even as recent Street research points to a modest uplift in target prices from £16.00 to £16.10 and from £14.80 to £15.14, along with a higher assumed future P/E multiple. Analyst Commentary Recent Street research on Persimmon offers a mix of cautious tweaks and incremental optimism around valuation, providing a more nuanced picture of how expectations are being reset.
BRBY
UK£11.75
Burberry Group
7D
2.4%
1Y
61.7%

BRBY: Future Returns Will Depend On Execution As Pessimism Outweighs Recent Upgrade

Burberry Group's updated analyst price target has shifted modestly, with a move of roughly £0.10, as analysts factor in adjusted assumptions for revenue growth, profit margins, and a slightly lower future P/E multiple, following a mix of recent target changes and a fresh upgrade on the stock. Analyst Commentary Recent research updates on Burberry Group show a mixed picture, with some cautious voices standing out even as others make more supportive adjustments.
GAW
UK£200.70
Games Workshop Group
7D
3.1%
1Y
29.7%
SSPG
UK£1.55
SSP Group
7D
-12.8%
1Y
-0.4%