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U.K. (FTSE) Industrials Sector Analysis

UpdatedJul 11, 2026
DataAggregated Company Financials
Companies164
  • 7D-2.7%
  • 3M2.4%
  • 1Y3.6%
  • YTD3.4%

Over the last 7 days, the Industrials industry has dropped 2.5%, driven by Rolls-Royce Holdings declining 4.4%. Over the past 12 months, the industry was up 3.1%. Earnings are forecast to grow by 7.8% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 11 Jul 2026UK£405.4bUK£255.4bUK£19.6b17.1x20.7x1.6x
Mon, 08 Jun 2026UK£393.7bUK£255.9bUK£20.1b17.6x19.6x1.5x
Wed, 06 May 2026UK£395.7bUK£254.2bUK£19.6b17.1x20.2x1.6x
Fri, 03 Apr 2026UK£392.4bUK£254.7bUK£19.7b16.1x19.9x1.5x
Sun, 01 Mar 2026UK£443.5bUK£279.3bUK£21.2b19.1x21x1.6x
Tue, 27 Jan 2026UK£433.9bUK£275.5bUK£20.4b17.9x21.2x1.6x
Thu, 25 Dec 2025UK£419.4bUK£279.3bUK£20.6b16.8x20.4x1.5x
Sat, 22 Nov 2025UK£402.4bUK£275.5bUK£20.7b17.1x19.5x1.5x
Mon, 20 Oct 2025UK£422.0bUK£269.9bUK£20.3b17.5x20.8x1.6x
Wed, 17 Sep 2025UK£431.6bUK£271.1bUK£20.6b17.2x21x1.6x
Fri, 15 Aug 2025UK£425.6bUK£274.4bUK£19.8b17.2x21.5x1.6x
Sun, 13 Jul 2025UK£343.4bUK£258.0bUK£13.9b17.8x24.8x1.3x
Tue, 10 Jun 2025UK£333.4bUK£257.8bUK£13.8b17.2x24.2x1.3x
Thu, 08 May 2025UK£325.7bUK£267.3bUK£14.2b15.7x22.9x1.2x
Sat, 05 Apr 2025UK£297.1bUK£267.6bUK£14.9b14.5x20x1.1x
Mon, 03 Mar 2025UK£327.9bUK£267.8bUK£14.9b17x22.1x1.2x
Wed, 29 Jan 2025UK£329.2bUK£270.3bUK£15.1b17.6x21.7x1.2x
Fri, 27 Dec 2024UK£312.7bUK£270.0bUK£15.2b17x20.6x1.2x
Sun, 24 Nov 2024UK£328.0bUK£269.6bUK£15.4b16.9x21.3x1.2x
Tue, 22 Oct 2024UK£319.9bUK£261.3bUK£14.1b16.8x22.6x1.2x
Thu, 19 Sep 2024UK£318.6bUK£261.0bUK£14.1b17.9x22.6x1.2x
Sat, 17 Aug 2024UK£318.2bUK£262.1bUK£14.2b18.3x22.4x1.2x
Mon, 15 Jul 2024UK£327.4bUK£265.4bUK£14.7b17.8x22.2x1.2x
Wed, 12 Jun 2024UK£323.0bUK£265.7bUK£14.9b17.6x21.7x1.2x
Fri, 10 May 2024UK£322.9bUK£262.6bUK£13.8b17.2x23.5x1.2x
Sun, 07 Apr 2024UK£316.0bUK£263.7bUK£13.7b17.2x23x1.2x
Tue, 05 Mar 2024UK£312.2bUK£269.2bUK£14.2b15.3x22x1.2x
Thu, 01 Feb 2024UK£322.1bUK£285.0bUK£14.3b15.8x22.6x1.1x
Sat, 30 Dec 2023UK£320.4bUK£289.5bUK£14.5b15.8x22.1x1.1x
Mon, 27 Nov 2023UK£300.9bUK£287.7bUK£13.7b15.5x21.9x1x
Wed, 25 Oct 2023UK£284.2bUK£282.8bUK£13.2b14.1x21.5x1x
Fri, 22 Sep 2023UK£297.1bUK£282.3bUK£13.0b15.7x22.9x1.1x
Sun, 20 Aug 2023UK£286.3bUK£279.6bUK£12.6b14.8x22.8x1x
Tue, 18 Jul 2023UK£292.5bUK£272.0bUK£11.6b14.3x25.2x1.1x
Price to Earnings Ratio

25.2x


Total Market Cap: UK£292.5bTotal Earnings: UK£11.6bTotal Revenue: UK£272.0bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Industrials Sector Price to Earnings3Y Average 21.9x202420252026
Current Industry PE
  • Investors are relatively neutral on the British Industrials industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 21.9x.
  • The 3-year average PS ratio of 1.3x is lower than the industry's current PS ratio of 1.6x.
Past Earnings Growth
  • The earnings for companies in the Industrials industry have grown 19% per year over the last three years.
  • Meanwhile revenues for these companies have declined 2.1% per year.
  • This means that less sales are being generated overall, but since cost of doing business is lower, profits have been increasing.

Industry Trends

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

GB Market-1.66%
Industrials-2.67%
Airlines3.30%
Professional Services1.57%
Logistics0%0
Construction-0.049%
Infrastructure-1.37%
Commercial Services-1.91%
Transportation-2.51%
Marine and Shipping-2.77%
Trade Distributors-3.24%
Building-3.38%
Machinery-3.49%
Industrials-4.79%
Aerospace & Defense-5.02%
Electrical-5.84%
Industry PE
  • Investors are most optimistic about the Marine and Shipping industry even though it's trading below its 3-year average PE ratio of 73.2x.
    • Analysts are expecting annual earnings growth of 10.7%, which is higher than its past year's earnings growth of 1.2% per year.
Forecasted Growth
  • Analysts are most optimistic on the Infrastructure industry, expecting annual earnings growth of 46% over the next 5 years.
  • This is better than its past earnings decline of 63% per year.
  • In contrast, the Industrials industry is expected to see its earnings decline by 3.2% 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
REL RELXUK£24.173.6%
+UK£1.5b		-39.3%PE20.6x
EZJ easyJetUK£6.7220.4%
+UK£852.2m		29.2%PE12.1x
KLR Keller GroupUK£34.4225.6%
+UK£479.5m		145.5%PE16.5x
JET2 Jet2UK£15.1017.0%
+UK£418.1m		-10.1%PE7x
HAS HaysUK£0.4325.1%
+UK£137.8m		-35.5%PS0.1x

Latest News

AVG
UK£6.70
Avingtrans
7D
6.3%
1Y
59.5%
EZJ
UK£6.72
easyJet
7D
20.4%
1Y
29.2%
HAS
UK£0.43
Hays
7D
25.1%
1Y
-35.5%
PAGE
UK£1.29
PageGroup
7D
11.1%
1Y
-52.5%
BA.
UK£18.51
BAE Systems
7D
-6.6%
1Y
-2.6%
Narrative Update • Jul 09

BA.: Growing NATO And U.S. Exposure Should Support Future Earnings Repricing

Analysts have trimmed the blended fair value estimate for BAE Systems from £26.62 to £26.00, reflecting slightly lower future P/E expectations alongside mixed research views that weigh strong NATO demand and U.S. and Middle East exposure against comparatively softer profit and EPS growth relative to some defense peers. Analyst Commentary Recent research on BAE Systems highlights a split in opinion, but bullish analysts continue to see upside potential tied to defense spending, a valuation reset after the recent de rating, and the company’s exposure to key end markets such as NATO, the U.S., and the Middle East.
JET2
UK£15.10
Jet2
7D
17.0%
1Y
-10.1%
RR.
UK£14.38
Rolls-Royce Holdings
7D
-4.4%
1Y
45.6%
Narrative Update • Jul 09

RR.: Defence Upside And Buybacks Will Shape Balanced Future Re Rating Potential

The updated analyst price target for Rolls-Royce Holdings has increased by about £0.54 per share. Analysts cite refreshed fair value assumptions, along with expectations for revenue growth and future P/E, as key drivers of this change.
KLR
UK£34.42
Keller Group
7D
25.6%
1Y
145.5%
Narrative Update • Jul 08

KLR: Fair Outlook Balances Strong North America Update With Execution Risks

Analysts have lifted the fair value estimate for Keller Group from £22.50 to £34.00 after recent price target increases to about £31.00 per share. They cited updated earnings expectations and revised assumptions for revenue growth, profit margins and future P/E multiples.
IAG
UK£4.71
International Consolidated Airlines Group
7D
-1.4%
1Y
27.5%
Narrative Update • Jul 07

IAG: Dividend Restart And Updated Earnings Assumptions Will Shape Future Returns

The analyst price target for International Consolidated Airlines Group has been raised by approximately £0.23. Analysts point to updated assumptions on fair value, discount rate, revenue growth, profit margin and future P/E, alongside recent target increases from several brokers, as the main drivers of the change.
REL
UK£24.17
RELX
7D
3.6%
1Y
-39.3%
Narrative Update • Jul 06

REL: AI Data Moat And Workflow Integration Will Support Future Upside

Analysts have trimmed their fair value estimate for RELX to about £47 from roughly £52, reflecting a slightly higher discount rate, while also highlighting resilient revenue growth expectations, stable profit margins and growing confidence in the company’s AI products following recent Street research. Analyst Commentary Recent Street research on RELX points to a split in opinion, but bullish analysts are leaning into the idea that the company is being miscategorized as an AI risk rather than an AI beneficiary.
WEIR
UK£23.96
Weir Group
7D
-4.5%
1Y
-7.8%
Narrative Update • Jul 06

WEIR: Mixed Broker Views And CEO Transition Will Shape Future Risk Profile

Analysts have trimmed the fair value estimate for Weir Group from £25.90 to £25.00, reflecting slightly lower revenue growth assumptions, a modestly softer profit margin outlook and a higher discount rate, even as Street price targets have broadly moved higher in recent weeks. Analyst Commentary Recent Street research on Weir Group presents a mixed picture, with some higher price targets sitting alongside more cautious revisions.
DPLM
UK£68.00
Diploma
7D
-5.6%
1Y
39.1%
SMIN
UK£25.08
Smiths Group
7D
-4.8%
1Y
8.9%
MRO
UK£4.76
Melrose Industries
7D
-5.3%
1Y
-10.9%
Narrative Update • Jul 01

MRO: Incident Uncertainty And Cash Returns Will Shape Future P/E Assumptions

The consensus analyst price target for Melrose Industries has decreased from about £5.70 to roughly £4.70, with analysts citing increased uncertainty following the recent factory incident as a key reason for the reassessment. Analyst Commentary Recent commentary on Melrose Industries reflects a more cautious tone, with bearish analysts highlighting the factory incident as a central source of uncertainty for both valuation and future execution.
IMI
UK£28.18
IMI
7D
-4.1%
1Y
31.9%
Narrative Update • Jun 19

IMI: Buybacks And Dividends Will Support Future Returns And Capital Deployment

Analysts have slightly adjusted their fair value estimate for IMI, with the price target moving from about £30.73 to about £30.61. This reflects updated assumptions on discount rate, revenue growth, profit margin and future P/E multiples.
WIL
UK£2.90
Wilmington
7D
10.3%
1Y
-11.3%