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U.K. (FTSE) Financials Sector Analysis

UpdatedAug 10, 2026
DataAggregated Company Financials
Companies198
  • 7D-1.0%
  • 3M14.6%
  • 1Y29.9%
  • YTD14.9%

The Financials is pretty flat in the last 7 days, but London Stock Exchange Group has stood out, gaining 6.2%. As for the the longer term, the industry is up 31% over the past 12 months. Earnings are forecast to grow by 11% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 10 Aug 2026UK£810.4bUK£348.8bUK£62.5b11.8x13x2.3x
Wed, 08 Jul 2026UK£770.9bUK£313.6bUK£60.4b11.7x12.8x2.5x
Fri, 05 Jun 2026UK£715.1bUK£312.5bUK£60.1b11.8x11.9x2.3x
Sun, 03 May 2026UK£715.9bUK£311.3bUK£62.0b11.6x11.6x2.3x
Tue, 31 Mar 2026UK£651.5bUK£314.0bUK£61.9b11.2x10.5x2.1x
Thu, 26 Feb 2026UK£733.5bUK£271.2bUK£56.2b13x13.1x2.7x
Sat, 24 Jan 2026UK£709.9bUK£268.0bUK£54.2b13.4x13.1x2.6x
Mon, 22 Dec 2025UK£691.5bUK£269.3bUK£54.4b12.2x12.7x2.6x
Wed, 19 Nov 2025UK£638.4bUK£270.3bUK£55.1b12.3x11.6x2.4x
Fri, 17 Oct 2025UK£630.5bUK£264.1bUK£54.3b12.3x11.6x2.4x
Sun, 14 Sep 2025UK£627.3bUK£263.4bUK£54.1b12x11.6x2.4x
Tue, 12 Aug 2025UK£627.0bUK£264.5bUK£52.5b12.4x11.9x2.4x
Thu, 10 Jul 2025UK£603.3bUK£271.9bUK£51.8b11.8x11.7x2.2x
Sat, 07 Jun 2025UK£603.8bUK£277.2bUK£52.1b12x11.6x2.2x
Mon, 05 May 2025UK£575.4bUK£278.3bUK£50.3b10.9x11.5x2.1x
Wed, 02 Apr 2025UK£576.1bUK£281.9bUK£52.8b10.9x10.9x2x
Fri, 28 Feb 2025UK£611.7bUK£299.7bUK£54.2b10.7x11.3x2x
Sun, 26 Jan 2025UK£570.3bUK£298.4bUK£53.9b10.6x10.6x1.9x
Tue, 24 Dec 2024UK£535.9bUK£297.9bUK£53.8b10.9x10x1.8x
Thu, 21 Nov 2024UK£521.4bUK£297.4bUK£53.8b10.8x9.7x1.8x
Sat, 19 Oct 2024UK£481.6bUK£269.6bUK£46.9b11.8x10.3x1.8x
Mon, 16 Sep 2024UK£469.3bUK£265.8bUK£47.3b11.2x9.9x1.8x
Wed, 14 Aug 2024UK£462.9bUK£265.4bUK£48.2b11.6x9.6x1.7x
Fri, 12 Jul 2024UK£456.5bUK£240.1bUK£46.8b12.1x9.8x1.9x
Sun, 09 Jun 2024UK£455.9bUK£241.0bUK£46.9b12.6x9.7x1.9x
Tue, 07 May 2024UK£453.7bUK£242.6bUK£48.2b12.8x9.4x1.9x
Thu, 04 Apr 2024UK£465.0bUK£265.4bUK£53.1b12.3x8.8x1.8x
Sat, 02 Mar 2024UK£421.1bUK£205.3bUK£50.6b12.6x8.3x2.1x
Mon, 29 Jan 2024UK£394.7bUK£188.3bUK£51.3b12.9x7.7x2.1x
Wed, 27 Dec 2023UK£403.9bUK£188.1bUK£51.4b13.3x7.9x2.1x
Fri, 24 Nov 2023UK£387.2bUK£188.8bUK£51.9b12.5x7.5x2.1x
Sun, 22 Oct 2023UK£379.5bUK£183.2bUK£48.4b11.8x7.8x2.1x
Tue, 19 Sep 2023UK£389.8bUK£181.6bUK£47.9b12.7x8.1x2.1x
Thu, 17 Aug 2023UK£380.4bUK£178.6bUK£47.3b12.7x8x2.1x
Price to Earnings Ratio

8x


Total Market Cap: UK£380.4bTotal Earnings: UK£47.3bTotal Revenue: UK£178.6bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Financials Sector Price to Earnings3Y Average 10.4x202420252026
Current Industry PE
  • Investors are optimistic on the British Financials industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 13.0x which is higher than its 3-year average PE of 10.4x.
  • The 3-year average PS ratio of 2.1x is lower than the industry's current PS ratio of 2.3x.
Past Earnings Growth
  • The earnings for companies in the Financials industry have grown 9.7% per year over the last three years.
  • Revenues for these companies have grown 25% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the U.K. Financials sector?

GB Market0.96%
Financials-1.00%
Capital Markets2.90%
Consumer Finance1.79%
Insurance0.035%
Mortgage Finance0%0
Diversified Financial-0.17%
Banks-2.34%
Industry PE
  • Investors are most optimistic about the Insurance industry even though it's trading below its 3-year average PE ratio of 23.6x.
    • Analysts are expecting annual earnings growth of 11.1%, which is lower than the prior year's growth of 21.2% per year.
  • Investors are most pessimistic about the Consumer Finance industry, which is trading below its 3-year average of 23.2x.
Forecasted Growth
  • Analysts are most optimistic on the Diversified Financial industry, expecting annual earnings growth of 18% over the next 5 years.
  • This is better than its past earnings growth rate of 8.1% per year.
  • In contrast, the Banks industry is expected to see its earnings grow by 11% 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
LSEG London Stock Exchange GroupUK£89.206.2%
+UK£2.5b		-10.5%PE30.7x
LGEN Legal & General GroupUK£3.164.1%
+UK£687.7m		21.9%PE26x
STJ St. James's PlaceUK£11.478.9%
+UK£472.8m		-11.4%PE10.3x
STAN Standard CharteredUK£22.190.8%
+UK£361.2m		59.1%PB1.2x
AV. AvivaUK£7.131.6%
+UK£329.0m		8.6%PE27.8x

Latest News

ADM
UK£38.86
Admiral Group
7D
2.2%
1Y
15.3%
Analysis Article • 22h

Admiral Group plc Just Missed Revenue By 10%: Here's What Analysts Think Will Happen Next

It's been a good week for Admiral Group plc ( LON:ADM ) shareholders, because the company has just released its latest...
TCAP
UK£3.25
TP ICAP Group
7D
-5.1%
1Y
14.2%
OSB
UK£5.21
OSB Group
7D
-8.4%
1Y
-7.8%
HSBA
UK£15.29
HSBC Holdings
7D
-4.3%
1Y
61.1%
PRU
UK£10.45
Prudential
7D
-5.8%
1Y
7.8%
Analysis Article • Aug 07

Is Now The Time To Put Prudential (LON:PRU) On Your Watchlist?

The excitement of investing in a company that can reverse its fortunes is a big draw for some speculators, so even...
LLOY
UK£1.15
Lloyds Banking Group
7D
-1.2%
1Y
39.7%
Narrative Update • Aug 07

LLOY: Accelerate 2030 AI And Cost Cuts Will Shape Balanced Future Returns

Analysts have modestly increased their price target for Lloyds Banking Group to £1.20 from £1.16, citing updated assumptions for revenue growth, profit margins, and a slightly lower future P/E multiple. What’s in the News for Lloyds Banking Group Lloyds Banking Group has outlined its Accelerate 2030 plan, which targets around £2b in gross cost reductions by 2030 alongside steady income growth and higher returns, supported by about £3b of annual investment in simplifying and connecting banking services.
NWG
UK£7.12
NatWest Group
7D
-1.4%
1Y
33.7%
Narrative Update • Aug 06

NWG: Structural Hedge Reinvestment And Capital Returns Will Shape Balanced Future Upside

NatWest Group's updated fair value estimate has moved higher to £7.78 per share from £7.61, reflecting analysts' upward revisions to price targets in the £7.35 to £8.60 range and support for the stock from recent rating upgrades and new Buy initiations. Analyst Commentary Recent research on NatWest Group shows a cluster of higher price targets and fresh Buy ratings that frame how analysts currently view the stock's valuation, earnings drivers and execution risks.
LGEN
UK£3.16
Legal & General Group
7D
4.1%
1Y
21.9%
Narrative Update • Aug 06

LGEN: Lower Discount Rate And Dividend Support Will Drive Future Upside

Analysts have adjusted the fair value estimate for Legal & General Group from £3.53 to £3.80, reflecting a mix of cautious price target moves and differing views on earnings pressure and demand for UK insurers. Analyst Commentary Recent research on Legal & General Group highlights a split in sentiment, with some analysts cautious on the broader UK insurance sector and others pointing to supportive factors for the stock.
STAN
UK£22.19
Standard Chartered
7D
0.8%
1Y
59.1%
IGG
UK£13.43
IG Group Holdings
7D
-2.0%
1Y
17.9%
LSEG
UK£89.20
London Stock Exchange Group
7D
6.2%
1Y
-10.5%
IIG
UK£2.40
Intuitive Investments Group
7D
-14.3%
1Y
101.7%
STJ
UK£11.47
St. James's Place
7D
8.9%
1Y
-11.4%
ICG
UK£20.42
ICG
7D
4.8%
1Y
-6.2%
Narrative Update • Jul 31

ICG: Rising Dividend Stream Will Support Premium Future Earnings Multiple

Analysts have nudged the ICG price target higher to £24.20 from £24.00, reflecting updated views on fair value, revenue growth assumptions, a slightly adjusted discount rate and future P/E outlook, even as profit margin expectations are moderated. Analyst Commentary Recent research on ICG shows a slight upward reset in price targets, which reflects how bullish analysts currently frame the risk and reward trade off for the stock.
AV.
UK£7.13
Aviva
7D
1.6%
1Y
8.6%
BGEO
UK£124.40
Lion Finance Group
7D
4.3%
1Y
55.4%
Narrative Update • Jul 28

BGEO: Higher Rating And Ongoing Capital Returns Will Support Future Upside

Analysts have lifted the Lion Finance Group price target by £800, from £13,100 to £13,900. This change reflects updated views on fair value, discount rate, revenue growth and profit margin assumptions in their models.