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U.K. (FTSE) Banks Industry Analysis

UpdatedMar 18, 2026
DataAggregated Company Financials
Companies13
  • 7D-4.7%
  • 3M-1.2%
  • 1Y33.3%
  • YTD-5.1%

Over the last 7 days, the Banks industry has dropped 4.7%, driven by declines from every company within the industry. In the past year, the industry has gained 33%. As for the next few years, earnings are expected to grow by 9.5% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 18 Mar 2026UK£418.5bUK£132.0bUK£38.5b8.7x10.9x3.2x
Fri, 13 Feb 2026UK£446.7bUK£126.0bUK£34.6b9.4x12.9x3.5x
Sun, 11 Jan 2026UK£440.8bUK£125.4bUK£33.8b10x13x3.5x
Tue, 09 Dec 2025UK£403.7bUK£125.8bUK£33.9b9.2x11.9x3.2x
Thu, 06 Nov 2025UK£395.1bUK£126.8bUK£34.1b8.5x11.6x3.1x
Sat, 04 Oct 2025UK£378.4bUK£121.5bUK£34.4b9.1x11x3.1x
Mon, 01 Sep 2025UK£348.6bUK£121.6bUK£34.4b8.5x10.1x2.9x
Wed, 30 Jul 2025UK£355.6bUK£122.6bUK£35.2b9.6x10.1x2.9x
Fri, 27 Jun 2025UK£325.4bUK£120.2bUK£34.1b8.3x9.5x2.7x
Sun, 25 May 2025UK£326.8bUK£121.0bUK£34.4b8.2x9.5x2.7x
Tue, 22 Apr 2025UK£293.5bUK£122.9bUK£36.4b7.4x8.1x2.4x
Thu, 20 Mar 2025UK£325.5bUK£123.9bUK£36.7b8.2x8.9x2.6x
Sat, 15 Feb 2025UK£306.7bUK£123.7bUK£38.0b6.2x8.1x2.5x
Mon, 13 Jan 2025UK£274.5bUK£124.8bUK£37.6b4.7x7.3x2.2x
Wed, 11 Dec 2024UK£270.0bUK£122.2bUK£36.7b4.9x7.4x2.2x
Fri, 08 Nov 2024UK£262.0bUK£120.9bUK£36.1b4.9x7.2x2.2x
Sun, 06 Oct 2024UK£217.7bUK£95.9bUK£30.3b6x7.2x2.3x
Tue, 03 Sep 2024UK£216.9bUK£97.4bUK£30.6b6.2x7.1x2.2x
Thu, 01 Aug 2024UK£227.9bUK£97.1bUK£31.2b6.8x7.3x2.3x
Sat, 29 Jun 2024UK£215.5bUK£97.6bUK£31.6b6x6.8x2.2x
Mon, 27 May 2024UK£221.4bUK£97.3bUK£31.3b6.1x7.1x2.3x
Wed, 24 Apr 2024UK£240.6bUK£122.2bUK£36.9b5.5x6.5x2x
Fri, 22 Mar 2024UK£228.8bUK£121.2bUK£36.5b5.4x6.3x1.9x
Sun, 18 Feb 2024UK£194.4bUK£106.9bUK£36.8b5.3x5.3x1.8x
Tue, 16 Jan 2024UK£186.6bUK£109.3bUK£37.4b5.2x5x1.7x
Thu, 14 Dec 2023UK£194.0bUK£110.3bUK£37.8b5.4x5.1x1.8x
Sat, 11 Nov 2023UK£188.5bUK£111.5bUK£38.3b5.1x4.9x1.7x
Mon, 09 Oct 2023UK£207.5bUK£104.6bUK£34.7b5x6x2x
Wed, 06 Sep 2023UK£191.0bUK£103.0bUK£34.2b5.2x5.6x1.9x
Fri, 04 Aug 2023UK£207.7bUK£102.1bUK£33.8b5.2x6.1x2x
Sun, 02 Jul 2023UK£227.2bUK£120.2bUK£37.7b5.3x6x1.9x
Tue, 30 May 2023UK£229.2bUK£125.2bUK£38.1b5.6x6x1.8x
Thu, 27 Apr 2023UK£224.7bUK£115.1bUK£30.4b6.3x7.4x2x
Sat, 25 Mar 2023UK£210.1bUK£116.3bUK£30.6b6x6.9x1.8x
Price to Earnings Ratio

6.9x


Total Market Cap: UK£210.1bTotal Earnings: UK£30.6bTotal Revenue: UK£116.3bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Banks Industry Price to Earnings3Y Average 7.9x202420252026
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 10.9x which is higher than its 3-year average PE of 7.9x.
  • The 3-year average PS ratio of 2.4x 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 7.9% per year over the last three years.
  • Revenues for these companies have grown 4.3% 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 Market-0.46%
Financials-2.55%
Banks-4.75%
Diversified Banks-4.74%
Regional Banks-5.51%
Industry PE
  • Investors are most optimistic about the Regional Banks industry even though it's trading below its 3-year average PE ratio of 20.0x.
    • Analysts are expecting annual earnings growth of 22.8%, which is higher than its past year's earnings growth of 5.7% per year.
  • Investors are most pessimistic about the Diversified Banks industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 7.9x.
Forecasted Growth
  • Analysts are most optimistic on the Regional Banks industry, expecting annual earnings growth of 23% over the next 5 years.
  • This is better than its past earnings growth rate of 5.7% per year.
  • In contrast, the Diversified Banks industry is expected to see its earnings grow by 9.4% 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
HSBK Halyk Bank of KazakhstanUS$31.751.6%
+US$136.3m		49.4%PB1.3x
MTRO Metro Bank HoldingsUK£1.150.3%
+UK£2.7m		23.8%PB0.5x

Latest News

CBG
UK£3.51
Close Brothers Group
7D
-18.2%
1Y
23.2%
LLOY
UK£0.97
Lloyds Banking Group
7D
-1.9%
1Y
36.8%

LLOY: Buyback And Dividend Returns Will Still Not Justify Richer Multiple

Analysts have lifted their fair value estimate for Lloyds Banking Group from about £0.70 to around £0.76 per share. They point to updated assumptions for revenue growth, profit margins and a lower future P/E multiple as key drivers of the change.
HSBA
UK£12.09
HSBC Holdings
7D
-5.0%
1Y
35.0%
BARC
UK£3.99
Barclays
7D
-2.7%
1Y
30.9%
SHAW
UK£3.79
Shawbrook Group
7D
-7.8%
1Y
n/a
STAN
UK£16.31
Standard Chartered
7D
-1.8%
1Y
36.5%
HSBK
US$31.75
Halyk Bank of Kazakhstan
7D
1.6%
1Y
49.4%
NWG
UK£5.80
NatWest Group
7D
-1.4%
1Y
24.2%
BGEO
UK£98.70
Lion Finance Group
7D
-5.5%
1Y
72.3%
MTRO
UK£1.15
Metro Bank Holdings
7D
0.3%
1Y
23.8%