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U.K. (FTSE) Energy Sector Analysis

UpdatedFeb 27, 2026
DataAggregated Company Financials
Companies69
  • 7D1.5%
  • 3M9.9%
  • 1Y16.2%
  • YTD11.5%

The Energy industry is up 1.5% in the last week, with Shell up 2.7%. In the last 12 months, the industry was up 16%. Looking forward, earnings are forecast to grow by 15% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 28 Feb 2026UK£263.8bUK£356.6bUK£11.6b9.3x22.7x0.7x
Mon, 26 Jan 2026UK£238.2bUK£353.5bUK£10.2b9.8x23.3x0.7x
Wed, 24 Dec 2025UK£235.3bUK£357.5bUK£10.4b9.1x22.7x0.7x
Fri, 21 Nov 2025UK£249.5bUK£369.8bUK£10.6b9.9x23.6x0.7x
Sun, 19 Oct 2025UK£234.2bUK£357.1bUK£10.0b13.2x23.3x0.7x
Tue, 16 Sep 2025UK£233.4bUK£352.4bUK£10.0b11.6x23.4x0.7x
Thu, 14 Aug 2025UK£237.0bUK£356.3bUK£11.0b11.5x21.5x0.7x
Sat, 12 Jul 2025UK£233.1bUK£361.6bUK£8.3b9.9x28x0.6x
Mon, 09 Jun 2025UK£220.2bUK£362.8bUK£8.3b8.7x26.4x0.6x
Wed, 07 May 2025UK£214.6bUK£366.7bUK£8.6b9x25.1x0.6x
Fri, 04 Apr 2025UK£239.2bUK£378.5bUK£12.0b8.6x20x0.6x
Sun, 02 Mar 2025UK£245.2bUK£391.3bUK£12.8b9.4x19.1x0.6x
Tue, 28 Jan 2025UK£243.8bUK£409.8bUK£14.5b8.1x16.9x0.6x
Thu, 26 Dec 2024UK£225.3bUK£407.6bUK£14.4b7.9x15.7x0.6x
Sat, 23 Nov 2024UK£238.7bUK£409.3bUK£14.8b7.8x16.1x0.6x
Mon, 21 Oct 2024UK£235.8bUK£401.3bUK£19.9b8.3x11.8x0.6x
Wed, 18 Sep 2024UK£241.6bUK£397.7bUK£19.8b8.6x12.2x0.6x
Fri, 16 Aug 2024UK£262.0bUK£407.7bUK£21.3b11.8x12.3x0.6x
Sun, 14 Jul 2024UK£265.3bUK£404.3bUK£21.6b9.9x12.3x0.7x
Tue, 11 Jun 2024UK£263.5bUK£412.5bUK£22.1b10.5x11.9x0.6x
Thu, 09 May 2024UK£280.3bUK£420.5bUK£22.6b9.6x12.4x0.7x
Sat, 06 Apr 2024UK£274.9bUK£433.6bUK£28.3b7x9.7x0.6x
Mon, 04 Mar 2024UK£252.1bUK£434.2bUK£26.4b5.7x9.6x0.6x
Wed, 31 Jan 2024UK£274.0bUK£620.8bUK£62.4b4.1x4.4x0.4x
Fri, 29 Dec 2023UK£279.9bUK£619.2bUK£62.3b4.1x4.5x0.5x
Sun, 26 Nov 2023UK£284.5bUK£624.0bUK£62.7b4.7x4.5x0.5x
Tue, 24 Oct 2023UK£304.7bUK£655.0bUK£57.8b5.3x5.3x0.5x
Thu, 21 Sep 2023UK£297.5bUK£649.3bUK£57.5b4.2x5.2x0.5x
Sat, 19 Aug 2023UK£272.4bUK£635.0bUK£57.6b4.6x4.7x0.4x
Mon, 17 Jul 2023UK£267.6bUK£658.2bUK£73.6b4.2x3.6x0.4x
Wed, 14 Jun 2023UK£268.8bUK£676.7bUK£75.7b4.8x3.6x0.4x
Fri, 12 May 2023UK£281.6bUK£681.7bUK£77.4b4.7x3.6x0.4x
Sun, 09 Apr 2023UK£297.7bUK£677.2bUK£53.7b4.6x5.5x0.4x
Tue, 07 Mar 2023UK£315.8bUK£688.7bUK£56.3b3.9x5.6x0.5x
Price to Earnings Ratio

5.6x


Total Market Cap: UK£315.8bTotal Earnings: UK£56.3bTotal Revenue: UK£688.7bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Energy Sector Price to Earnings3Y Average 15.4x202420252026
Current Industry PE
  • Investors are optimistic on the British Energy industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 22.7x which is higher than its 3-year average PE of 15.4x.
  • The industry is trading close to its 3-year average PS ratio of 0.62x.
Past Earnings Growth
  • The earnings for companies in the Energy industry have declined 41% per year over the last three years,
  • Revenues have also declined 20% 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. Energy sector?

GB Market1.92%
Energy1.47%
Oil and Gas1.48%
Energy Services-0.65%
Industry PE
  • Investors are most optimistic about the Oil and Gas industry which is trading above its 3-year average PE ratio of 14.7x.
    • Analysts are expecting annual earnings growth of 14.7%, which is higher than its past year's earnings decline of 1.3% per year.
Forecasted Growth
  • Analysts are most optimistic on the Energy Services industry, expecting annual earnings growth of 46% over the next 5 years.
  • This is better than its past earnings decline of 13% per year.
  • In contrast, the Oil and Gas industry is expected to see its earnings grow by 15% 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
SHEL ShellUK£30.744.5%
+UK£7.4b		16.6%PE13.1x
BP. BPUK£4.782.1%
+UK£1.5b		9.2%PE1832.2x
HBR Harbour EnergyUK£2.5312.0%
+UK£495.6m		11.7%PS0.6x
ITH Ithaca EnergyUK£2.229.9%
+UK£329.5m		55.2%PS1.7x
SQZ Serica EnergyUK£2.424.5%
+UK£41.0m		91.8%PS2.2x

Latest News

SEPL
UK£4.19
Seplat Energy
7D
-2.4%
1Y
120.3%
JSE
UK£0.22
Jadestone Energy
7D
-10.8%
1Y
-17.4%
ENOG
UK£8.93
Energean
7D
-1.6%
1Y
-12.0%

ENOG: Trimmed Outlook And Production Guidance Will Shape A More Balanced 2026 Narrative

Energean's analyst price targets have been trimmed slightly, with the average fair value moving from about £9.40 to roughly £9.32 as analysts factor in a marginally higher discount rate and slightly lower future P/E assumptions following recent rating and target cuts. Analyst Commentary Recent research has focused on fine tuning expectations rather than making wholesale changes, with both ratings and price targets adjusted to reflect updated views on Energean's risk and valuation profile.
ENQ
UK£0.17
EnQuest
7D
12.4%
1Y
42.2%
ITH
UK£2.22
Ithaca Energy
7D
9.9%
1Y
55.2%

ITH: Reset Expectations And Balanced Risk Reward Will Support Future Cash Generation

Ithaca Energy's analyst price target has been trimmed by £0.10 to £1.70 per share, as analysts now see a more balanced risk and reward profile after the recent share price underperformance and modest tweaks to fair value, revenue growth assumptions, profit margin expectations and future P/E. Analyst Commentary Recent Street research on Ithaca Energy points to a more balanced view, with some bullish analysts seeing the current share price as better aligned with their assessment of value.
KAP
US$82.00
National Atomic Company Kazatomprom JSC
7D
-1.0%
1Y
131.6%

KAP: Japanese Supply Deal And 2026 Guidance Will Support Stronger Outlook

Analysts have raised their price target for National Atomic Company Kazatomprom JSC from $77.15 to $98.37, citing updated forecasts that reflect adjusted expectations for revenue growth, a revised profit margin outlook, and a higher assumed future P/E multiple. What's in the News Kazatomprom has scheduled a special or extraordinary shareholders meeting for March 6, 2026, at its Astana headquarters.
SQZ
UK£2.42
Serica Energy
7D
4.5%
1Y
91.8%

SQZ: Future Returns Will Be Anchored By Higher 2026 Production Volumes

Analysts have trimmed their fair value estimate for Serica Energy from £3.16 to £3.11, citing updated assumptions around revenue growth, profit margins, and a slightly higher discount rate that also contribute to a lower future P/E expectation. What's in the News Reported fourth quarter 2025 production of 33,500 boepd, with full year 2025 average production of 27,600 boepd compared with 34,600 boepd a year earlier (company announcement of operating results).
HBR
UK£2.53
Harbour Energy
7D
12.0%
1Y
11.7%

HBR: Higher Output Guidance Will Support Cash Flows Despite Sector Caution

Analysts have nudged their Harbour Energy price targets higher to reflect an updated fair value estimate of £2.77 per share. This is supported by slightly softer assumed revenue declines and a modestly lower discount rate, even as expectations for profit margins have been trimmed and the future P/E left broadly unchanged.
TLW
UK£0.11
Tullow Oil
7D
7.6%
1Y
-29.6%

TLW: Jefferies Upgrade And Execution Progress Will Support Repriced Cash Flow Potential

Analysts have trimmed their fair value estimate for Tullow Oil from about £0.41 to £0.40, reflecting updated assumptions on discount rates, revenue trends, margins and future P/E multiples following recent research including the Jefferies upgrade. Analyst Commentary Recent research indicates that some bullish analysts see the latest fair value tweak as a fine tuning exercise rather than a major shift in the investment case.
SHEL
UK£30.74
Shell
7D
4.5%
1Y
16.6%
BP.
UK£4.78
BP
7D
2.1%
1Y
9.2%

BP.: Future Returns Will Reflect Portfolio Sales Refining Strength And CEO Transition

Analysts have trimmed their average price target on BP by £0.10, citing more cautious revenue growth assumptions, a slightly higher discount rate, and continued sector wide downgrades that have only been partially offset by firmer margin expectations. Analyst Commentary Recent Street research on BP points to a mixed backdrop, with several downgrades and price target cuts offset by a smaller group of more constructive voices focusing on balance sheet strength and refining exposure.
HE1
UK£0.0058
Helium One Global
7D
-16.9%
1Y
-36.3%
YCA
UK£6.36
Yellow Cake
7D
-2.5%
1Y
42.6%
GMS
UK£0.23
Gulf Marine Services
7D
-3.4%
1Y
28.3%

There's Been No Shortage Of Growth Recently For Gulf Marine Services' (LON:GMS) Returns On Capital

Jan 29
There's Been No Shortage Of Growth Recently For Gulf Marine Services' (LON:GMS) Returns On Capital
AET
UK£0.58
Afentra
7D
8.2%
1Y
34.6%

Afentra plc (LON:AET) Stock Catapults 28% Though Its Price And Business Still Lag The Market

Jan 29
Afentra plc (LON:AET) Stock Catapults 28% Though Its Price And Business Still Lag The Market
RKH
UK£0.70
Rockhopper Exploration
7D
-2.2%
1Y
89.8%