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U.K. (FTSE) Aerospace & Defense Industry Analysis

UpdatedFeb 27, 2026
DataAggregated Company Financials
Companies13
  • 7D0.2%
  • 3M25.6%
  • 1Y66.3%
  • YTD14.8%

Over the last 7 days, the Aerospace & Defense industry has remained flat. As for the the longer term, the industry is up 66% over the past 12 months. In the next few years earnings are forecast to be pretty stable.

Industry Valuation and Performance

Has the U.K. Aerospace & Defense Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 27 Feb 2026UK£197.2bUK£60.3bUK£8.4b26.9x23.6x3.3x
Sun, 25 Jan 2026UK£186.9bUK£59.4bUK£8.3b26x22.6x3.1x
Tue, 23 Dec 2025UK£167.0bUK£59.4bUK£8.3b23.1x20.2x2.8x
Thu, 20 Nov 2025UK£159.5bUK£59.3bUK£8.2b23.9x19.4x2.7x
Sat, 18 Oct 2025UK£166.8bUK£59.3bUK£8.3b24x20.2x2.8x
Mon, 15 Sep 2025UK£173.9bUK£59.3bUK£8.3b24.4x21x2.9x
Wed, 13 Aug 2025UK£162.1bUK£59.3bUK£8.3b25x19.6x2.7x
Fri, 11 Jul 2025UK£74.8bUK£38.6bUK£2.1b29x35.9x1.9x
Sun, 08 Jun 2025UK£71.2bUK£38.4bUK£2.0b30.2x35.2x1.9x
Tue, 06 May 2025UK£68.6bUK£38.4bUK£2.3b26.2x29.3x1.8x
Thu, 03 Apr 2025UK£61.8bUK£38.5bUK£2.3b24.1x26.4x1.6x
Sat, 01 Mar 2025UK£57.8bUK£38.5bUK£2.4b21.7x24.6x1.5x
Mon, 27 Jan 2025UK£51.9bUK£36.7bUK£2.2b20.4x23.2x1.4x
Wed, 25 Dec 2024UK£49.2bUK£36.7bUK£2.2b20.1x22x1.3x
Fri, 22 Nov 2024UK£53.8bUK£36.7bUK£2.2b20.4x24.2x1.5x
Sun, 20 Oct 2024UK£53.0bUK£36.3bUK£2.2b19x24.3x1.5x
Tue, 17 Sep 2024UK£53.6bUK£36.3bUK£2.2b21.4x24.6x1.5x
Thu, 15 Aug 2024UK£55.3bUK£36.3bUK£2.2b22.1x25.4x1.5x
Sat, 13 Jul 2024UK£53.9bUK£34.8bUK£2.1b23.3x25.6x1.5x
Mon, 10 Jun 2024UK£58.2bUK£34.8bUK£2.1b24.4x27.8x1.7x
Wed, 08 May 2024UK£56.4bUK£34.6bUK£2.1b23.6x27.2x1.6x
Fri, 05 Apr 2024UK£55.6bUK£34.6bUK£2.1b22.4x26.8x1.6x
Sun, 03 Mar 2024UK£53.0bUK£39.1bUK£2.0b20.3x26x1.4x
Tue, 30 Jan 2024UK£59.0bUK£41.0bUK£2.2b25.6x26.9x1.4x
Thu, 28 Dec 2023UK£55.7bUK£41.0bUK£2.2b25.9x25.4x1.4x
Sat, 25 Nov 2023UK£54.1bUK£40.9bUK£2.2b30.2x24.7x1.3x
Mon, 23 Oct 2023UK£53.0bUK£40.7bUK£2.2b29.1x24.3x1.3x
Wed, 20 Sep 2023UK£53.4bUK£40.7bUK£2.2b27.9x24.5x1.3x
Fri, 18 Aug 2023UK£50.4bUK£40.4bUK£2.0b24.6x25.5x1.2x
Sun, 16 Jul 2023UK£48.9bUK£38.7bUK£1.8b21.2x27.1x1.3x
Tue, 13 Jun 2023UK£50.6bUK£38.7bUK£1.8b19.7x28x1.3x
Thu, 11 May 2023UK£50.8bUK£38.6bUK£1.8b18.2x27.7x1.3x
Sat, 08 Apr 2023UK£45.1bUK£31.0bUK£2.1b17.1x21.8x1.5x
Mon, 06 Mar 2023UK£33.1bUK£31.0bUK£2.1b17.2x16x1.1x
Price to Earnings Ratio

16x


Total Market Cap: UK£33.1bTotal Earnings: UK£2.1bTotal Revenue: UK£31.0bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Aerospace & Defense Industry Price to Earnings3Y Average 25.2x202420252026
Current Industry PE
  • Investors are relatively neutral on the British Aerospace & Defense 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 25.2x.
  • The 3-year average PS ratio of 1.7x is lower than the industry's current PS ratio of 3.3x.
Past Earnings Growth
  • The earnings for companies in the Aerospace & Defense industry have grown 59% 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. Industrials industry?

GB Market1.92%
Industrials2.10%
Aerospace & Defense0.23%
Aerospace and Defense0.23%
Industry PEThere are no additional sub-industries under this industry.
Forecasted GrowthThere are no additional sub-industries under this industry.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
RR. Rolls-Royce HoldingsUK£13.532.2%
+UK£2.4b		84.9%PE19.5x
CHRT CohortUK£12.363.2%
+UK£17.4m		14.4%PE31x
AVON Avon TechnologiesUK£18.462.8%
+UK£15.1m		28.4%PE73.2x
CHG Chemring GroupUK£5.260.8%
+UK£10.9m		39.9%PE26.9x
SNR SeniorUK£2.580.2%
+UK£2.0m		56.3%PE33.7x

Latest News

MRO
UK£6.40
Melrose Industries
7D
-3.8%
1Y
2.9%
RR.
UK£13.53
Rolls-Royce Holdings
7D
2.2%
1Y
84.9%
RCFX
UK£0.094
RC Fornax
7D
-18.5%
1Y
-71.6%
SNR
UK£2.58
Senior
7D
0.2%
1Y
56.3%

SNR: Aerostructures Exit And Airbus Contract Will Reframe Future Earnings Profile

Analysts have raised their price targets on Senior to around £2.30 per share, up from about £1.85, citing better than expected recent trading and the expected completion of the Aerostructures disposal as key reasons for the change. Analyst Commentary Bullish analysts are pointing to recent research as a sign that sentiment around Senior is turning more constructive, with higher price targets reflecting growing confidence in the company’s execution and simplified business profile once the Aerostructures disposal is completed.
AVON
UK£18.46
Avon Technologies
7D
2.8%
1Y
28.4%

AVON: NATO Order And Sector M&A Sentiment Will Support Long Term Upside

Analysts have slightly adjusted their fair value assumptions for Avon Technologies, trimming the price target by a fraction to £21.28 as they weigh updated discount rate and P/E inputs alongside recent sector deal commentary from the Street. Analyst Commentary Recent Street research on adjacent sector deals, including the Mission Produce acquisition of Calavo Growers, is feeding into how analysts think about Avon Technologies' risk and reward profile at the updated £21.28 fair value mark.
CHG
UK£5.26
Chemring Group
7D
0.8%
1Y
39.9%
BA.
UK£21.18
BAE Systems
7D
-2.1%
1Y
52.2%

BA.: Defence Order Momentum And 2026 Visibility Will Support Earnings Repricing

The updated analyst price target for BAE Systems edges up from £25.51 to £26.00. This change reflects analysts' mixed but generally constructive research in recent weeks, including higher price targets after slightly ahead of expectation fiscal 2025 results and revised outlooks into 2026.
QQ.
UK£5.00
QinetiQ Group
7D
-3.6%
1Y
23.8%

QQ.: Raised EPS Guidance And Order Execution Will Support Repriced Shares

QinetiQ Group’s updated analyst price targets, now clustering around £4.90 to £5.65 per share, reflect a mix of higher fair value assumptions and revised discount rates as analysts weigh stronger revenue and margin expectations against more moderate future P/E multiples. Analyst Commentary Recent Street research leans constructive on QinetiQ Group, with several bullish analysts lifting price targets into the £5.20 to £5.65 range and framing the current set up as supported by both execution and valuation arguments.
BAB
UK£13.56
Babcock International Group
7D
-2.9%
1Y
105.0%

BAB: Higher P/E And Mixed Ratings Will Test Execution And Cash Delivery

Narrative Update: Babcock International Group Analyst Target Shift The analyst fair value estimate for Babcock International Group has moved from £11.15 to £12.80. This reflects updated assumptions on revenue growth, profit margins and future P/E multiples, in line with recent target changes from several banks that have raised their price objectives, while others have turned more cautious on the shares.
PEN
UK£0.22
Pennant International Group
7D
4.8%
1Y
-24.1%
CHRT
UK£12.36
Cohort
7D
3.2%
1Y
14.4%

Return Trends At Cohort (LON:CHRT) Aren't Appealing

Feb 05
Return Trends At Cohort (LON:CHRT) Aren't Appealing
VEL
UK£0.15
Velocity Composites
7D
-1.6%
1Y
-44.5%
MSI
UK£12.25
MS INTERNATIONAL
7D
-5.0%
1Y
29.6%