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U.K. (FTSE) Banks Industry Analysis

UpdatedNov 15, 2025
DataAggregated Company Financials
Companies13
  • 7D2.0%
  • 3M14.4%
  • 1Y56.6%
  • YTD48.3%

In the last week, the Banks industry is up 2.0%, with HSBC Holdings up 3.1%. This takes the industry's 12 month performance to a gain of 57%. As for the next few years, earnings are expected to grow by 11% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 16 Nov 2025UK£401.8bUK£126.4bUK£34.0b8.5x11.8x3.2x
Tue, 14 Oct 2025UK£363.8bUK£122.2bUK£34.6b8.6x10.5x3x
Thu, 11 Sep 2025UK£361.9bUK£121.6bUK£34.4b8.7x10.5x3x
Sat, 09 Aug 2025UK£351.3bUK£121.7bUK£34.4b8.7x10.2x2.9x
Mon, 07 Jul 2025UK£326.3bUK£120.5bUK£34.2b8.3x9.5x2.7x
Wed, 04 Jun 2025UK£326.7bUK£121.1bUK£34.4b8.3x9.5x2.7x
Fri, 02 May 2025UK£306.3bUK£121.2bUK£34.3b7.6x8.9x2.5x
Sun, 30 Mar 2025UK£321.4bUK£124.1bUK£37.0b7.9x8.7x2.6x
Tue, 25 Feb 2025UK£314.9bUK£125.8bUK£37.4b6.3x8.4x2.5x
Thu, 23 Jan 2025UK£294.4bUK£124.3bUK£37.4b5.1x7.9x2.4x
Sat, 21 Dec 2024UK£269.5bUK£122.9bUK£36.9b4.9x7.3x2.2x
Mon, 18 Nov 2024UK£263.7bUK£122.7bUK£36.8b4.9x7.2x2.1x
Wed, 16 Oct 2024UK£215.6bUK£96.1bUK£30.4b6.1x7.1x2.2x
Fri, 13 Sep 2024UK£212.6bUK£97.5bUK£30.7b5.8x6.9x2.2x
Sun, 11 Aug 2024UK£209.9bUK£99.0bUK£31.2b6.1x6.7x2.1x
Tue, 09 Jul 2024UK£217.5bUK£96.8bUK£31.3b6x6.9x2.2x
Thu, 06 Jun 2024UK£217.4bUK£97.0bUK£31.4b6.2x6.9x2.2x
Sat, 04 May 2024UK£222.6bUK£98.2bUK£31.6b5.7x7x2.3x
Mon, 01 Apr 2024UK£229.4bUK£121.4bUK£36.6b5.5x6.3x1.9x
Wed, 28 Feb 2024UK£217.0bUK£120.8bUK£36.4b6x6x1.8x
Fri, 26 Jan 2024UK£190.7bUK£109.4bUK£37.5b5.3x5.1x1.7x
Sun, 24 Dec 2023UK£200.9bUK£109.3bUK£37.4b5.2x5.4x1.8x
Tue, 21 Nov 2023UK£195.4bUK£110.1bUK£37.8b5.1x5.2x1.8x
Thu, 19 Oct 2023UK£208.8bUK£105.1bUK£34.9b5.1x6x2x
Sat, 16 Sep 2023UK£203.6bUK£103.9bUK£34.5b5.5x5.9x2x
Mon, 14 Aug 2023UK£205.3bUK£102.0bUK£33.8b5.5x6.1x2x
Wed, 12 Jul 2023UK£220.7bUK£119.4bUK£37.4b5.2x5.9x1.8x
Fri, 09 Jun 2023UK£226.7bUK£121.6bUK£38.0b5.7x6x1.9x
Sun, 07 May 2023UK£226.5bUK£123.2bUK£37.6b5.4x6x1.8x
Tue, 04 Apr 2023UK£217.7bUK£115.5bUK£30.4b6.3x7.2x1.9x
Thu, 02 Mar 2023UK£250.3bUK£117.4bUK£31.4b5.5x8x2.1x
Sat, 28 Jan 2023UK£216.6bUK£86.9bUK£21.5b7.2x10.1x2.5x
Mon, 26 Dec 2022UK£185.6bUK£88.3bUK£21.8b6.6x8.5x2.1x
Wed, 23 Nov 2022UK£179.4bUK£89.4bUK£22.1b6.3x8.1x2x
Price to Earnings Ratio

8.1x


Total Market Cap: UK£179.4bTotal Earnings: UK£22.1bTotal Revenue: UK£89.4bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Banks Industry Price to Earnings3Y Average 7.5x202320242025
Current Industry PE
  • Investors are optimistic on the British Banks industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 11.8x which is higher than its 3-year average PE of 7.5x.
  • The 3-year average PS ratio of 2.2x is lower than the industry's current PS ratio of 3.2x.
Past Earnings Growth
  • The earnings for companies in the Banks industry have grown 15% per year over the last three years.
  • Revenues for these companies have grown 12% 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 industry?

GB Market0.21%
Financials-0.69%
Banks2.04%
Diversified Banks2.08%
Regional Banks-3.88%
Industry PE
  • Investors are most optimistic about the Diversified Banks industry which is trading above its 3-year average PE ratio of 7.5x.
    • Analysts are expecting annual earnings growth of 11.4%, which is higher than its past year's earnings growth of 1.4% per year.
  • Investors are most pessimistic about the Regional Banks industry, which is trading below its 3-year average of 18.8x.
Forecasted Growth
  • Analysts are most optimistic on the Regional Banks industry, expecting annual earnings growth of 29% over the next 5 years.
  • This is better than its past earnings growth rate of 19% per year.
  • In contrast, the Diversified 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
HSBA HSBC HoldingsUK£11.043.1%
+UK£5.8b		54.1%PB1.3x
BARC BarclaysUK£4.142.2%
+UK£1.2b		59.4%PB0.7x
LLOY Lloyds Banking GroupUK£0.921.0%
+UK£493.8m		62.0%PB1.2x
STAN Standard CharteredUK£16.130.8%
+UK£258.6m		71.0%PB0.9x
NWG NatWest GroupUK£6.010.3%
+UK£158.2m		52.8%PB1.1x

Latest News

STAN
UK£16.13
Standard Chartered
7D
0.8%
1Y
71.0%
LLOY
UK£0.92
Lloyds Banking Group
7D
1.0%
1Y
62.0%
BGEO
UK£79.30
Lion Finance Group
7D
4.5%
1Y
61.3%
BARC
UK£4.14
Barclays
7D
2.2%
1Y
59.4%
HSBA
UK£11.04
HSBC Holdings
7D
3.1%
1Y
54.1%
TBCG
UK£37.60
TBC Bank Group
7D
-1.8%
1Y
17.9%

TBCG: Sustained Revenue Momentum And Rising Discount Rate To Drive Future Upside

Narrative Update: TBC Bank Group Analyst Price Target Revised Analysts have lowered their price target for TBC Bank Group from $59.88 to $58.18. This change reflects slightly reduced fair value estimates due to updated forecasts for profit margin and discount rate, despite continued optimism around revenue growth.
NWG
UK£6.01
NatWest Group
7D
0.3%
1Y
52.8%

NWG: Improved Profitability And Capital Returns Will Drive Shares Despite Revenue Pressure

NatWest Group's analyst price target has been upgraded from £6.05 to £6.37 per share. This reflects analysts' expectations for improved profitability and steady capital returns, despite slightly slower anticipated revenue growth.
MTRO
UK£1.07
Metro Bank Holdings
7D
-4.0%
1Y
20.2%

MTRO: Return On Tangible Equity Will Drive Outlook Amid Upgrades

Analysts have raised their price target for Metro Bank Holdings from £1.42 to £1.48 per share, citing expectations of stronger returns and improved future profitability. Analyst Commentary Recent updates from market watchers reflect a complex, evolving view of Metro Bank Holdings' outlook.
SHAW
UK£3.75
Shawbrook Group
7D
-3.8%
1Y
n/a
STB
UK£10.05
Secure Trust Bank
7D
2.6%
1Y
146.3%
CBG
UK£4.37
Close Brothers Group
7D
2.3%
1Y
97.8%
ARBB
UK£8.98
Arbuthnot Banking Group
7D
-0.8%
1Y
1.1%