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U.K. (FTSE) Construction and Engineering Industry Analysis

UpdatedMay 09, 2026
DataAggregated Company Financials
Companies14
  • 7D4.5%
  • 3M7.0%
  • 1Y48.2%
  • YTDn/a

The Construction and Engineering industry is up 4.5% in the last week, with Balfour Beatty up 5.9%. This takes the industry's 12 month performance to a gain of 48%. Looking forward, earnings are forecast to grow by 7.8% annually.

Industry Valuation and Performance

Has the U.K. Construction and Engineering Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 10 May 2026UK£11.0bUK£26.6bUK£753.8m15.2x14.6x0.4x
Tue, 07 Apr 2026UK£9.9bUK£26.6bUK£758.5m12.9x13.1x0.4x
Thu, 05 Mar 2026UK£10.3bUK£26.1bUK£669.7m14.6x15.4x0.4x
Sat, 31 Jan 2026UK£10.0bUK£25.6bUK£638.3m15.1x15.7x0.4x
Mon, 29 Dec 2025UK£9.7bUK£25.6bUK£638.5m13.9x15.2x0.4x
Wed, 26 Nov 2025UK£9.3bUK£25.6bUK£641.9m14.1x14.6x0.4x
Fri, 24 Oct 2025UK£9.5bUK£25.6bUK£638.4m15.7x14.9x0.4x
Sun, 21 Sep 2025UK£8.8bUK£25.6bUK£640.6m14.1x13.7x0.3x
Tue, 19 Aug 2025UK£8.6bUK£25.7bUK£642.0m14.2x13.4x0.3x
Thu, 17 Jul 2025UK£8.4bUK£25.0bUK£637.8m14.4x13.2x0.3x
Sat, 14 Jun 2025UK£7.8bUK£25.0bUK£638.8m13.6x12.2x0.3x
Mon, 12 May 2025UK£7.6bUK£24.9bUK£636.3m13.3x11.9x0.3x
Wed, 09 Apr 2025UK£6.4bUK£24.9bUK£638.4m11x10.1x0.3x
Fri, 07 Mar 2025UK£6.8bUK£24.8bUK£687.4m11x10x0.3x
Sun, 02 Feb 2025UK£7.3bUK£24.5bUK£658.9m11.8x11.1x0.3x
Tue, 31 Dec 2024UK£7.6bUK£24.5bUK£651.0m11.7x11.6x0.3x
Thu, 28 Nov 2024UK£7.7bUK£24.5bUK£655.5m11.5x11.7x0.3x
Sat, 26 Oct 2024UK£7.9bUK£24.4bUK£666.6m11.7x11.8x0.3x
Mon, 23 Sep 2024UK£7.3bUK£24.2bUK£645.0m11.9x11.4x0.3x
Wed, 21 Aug 2024UK£7.2bUK£24.0bUK£627.3m15.8x11.5x0.3x
Fri, 19 Jul 2024UK£7.1bUK£23.7bUK£551.0m15.8x12.8x0.3x
Sun, 16 Jun 2024UK£6.3bUK£24.2bUK£563.0m12.4x11.2x0.3x
Tue, 14 May 2024UK£6.4bUK£24.1bUK£562.8m11.9x11.4x0.3x
Thu, 11 Apr 2024UK£5.9bUK£24.1bUK£549.9m9.9x10.8x0.2x
Sat, 09 Mar 2024UK£5.8bUK£23.9bUK£606.1m9x9.6x0.2x
Mon, 05 Feb 2024UK£5.6bUK£23.3bUK£600.3m11x9.3x0.2x
Wed, 03 Jan 2024UK£5.5bUK£23.3bUK£601.4m9.7x9.1x0.2x
Fri, 01 Dec 2023UK£5.3bUK£23.3bUK£598.0m9.2x8.8x0.2x
Sun, 29 Oct 2023UK£4.8bUK£23.3bUK£595.5m8.9x8.1x0.2x
Tue, 26 Sep 2023UK£5.3bUK£23.3bUK£595.6m9.5x8.9x0.2x
Thu, 24 Aug 2023UK£5.0bUK£23.0bUK£579.6m10.1x8.6x0.2x
Sat, 22 Jul 2023UK£5.3bUK£22.4bUK£604.7m13.5x8.8x0.2x
Mon, 19 Jun 2023UK£5.1bUK£22.4bUK£605.4m12.2x8.4x0.2x
Wed, 17 May 2023UK£5.3bUK£22.3bUK£501.6m13.7x10.6x0.2x
Price to Earnings Ratio

10.6x


Total Market Cap: UK£5.3bTotal Earnings: UK£501.6mTotal Revenue: UK£22.3bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Construction and Engineering Industry Price to Earnings3Y Average 11.6x202420252026
Current Industry PE
  • Investors are optimistic on the British Construction and Engineering industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 14.6x which is higher than its 3-year average PE of 11.6x.
  • The industry is trading close to its 3-year average PS ratio of 0.30x.
Past Earnings Growth
  • The earnings for companies in the Construction and Engineering industry have grown 15% per year over the last three years.
  • Revenues for these companies have grown 6.1% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Comparison

How does U.K. Construction and Engineering compare with similar industries?

GB Market-0.81%
Industrials-1.23%
Construction4.55%
Construction and Engineering4.55%
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
BBY Balfour BeattyUK£8.615.9%
+UK£230.8m		77.9%PE15.7x
KLR Keller GroupUK£24.027.5%
+UK£115.8m		61.0%PE11.6x
MGNS Morgan Sindall GroupUK£47.361.8%
+UK£40.1m		28.9%PE12.6x
KIE Kier GroupUK£2.124.3%
+UK£38.7m		33.2%PE15.3x
GFRD Galliford Try HoldingsUK£5.424.2%
+UK£21.4m		31.4%PE14.5x

Latest News

BBY
UK£8.61
Balfour Beatty
7D
5.9%
1Y
77.9%
MGNS
UK£47.36
Morgan Sindall Group
7D
1.8%
1Y
28.9%
KIE
UK£2.12
Kier Group
7D
4.3%
1Y
33.2%
Narrative Update • May 03

KIE: Neutral Outlook Will Balance Fusion Project Delivery And Cash Generation Risks

Analysts have kept their Kier Group price target broadly steady at £2.15, citing neutral initiation coverage from BNP Paribas and RBC Capital. This reflects relatively unchanged assumptions for fair value, discount rate, modest revenue growth, profit margins and future P/E.
COST
UK£1.94
Costain Group
7D
4.0%
1Y
61.6%
Narrative Update • May 03

COST: Infrastructure Pipeline And Buybacks Will Support Stronger Long Term Earnings Profile

Costain Group's updated fair value estimate has moved slightly lower to £2.96, even as analysts lift price targets to £1.80 and £2.40, citing refined assumptions for discount rates, revenue growth and future P/E multiples. Analyst Commentary Recent research updates point to a more constructive tone around Costain Group, with several bullish analysts lifting price targets even as the internal fair value estimate edges lower to £2.96.
KLR
UK£24.02
Keller Group
7D
7.5%
1Y
61.0%
Narrative Update • Apr 30

KLR: Buybacks And Higher Dividends Will Support A Fairly Valued Profile

Analysts have nudged the fair value estimate for Keller Group slightly higher to £24.32 per share, supported by recent price target increases to £22.00 from Deutsche Bank and a £2.20 uplift at RBC Capital. They broadly view the shares as fairly valued at current levels.
NEXS
UK£1.11
Nexus Infrastructure
7D
-1.3%
1Y
-29.5%
SFR
UK£0.25
Severfield
7D
-3.8%
1Y
-22.0%
BILN
UK£4.10
Billington Holdings
7D
1.2%
1Y
7.2%
GFRD
UK£5.42
Galliford Try Holdings
7D
4.2%
1Y
31.4%
Narrative Update • Apr 24

GFRD: Affordable Housing And Education Framework Wins Will Support Future Rerating

Analysts have left their £6.52 price target for Galliford Try Holdings unchanged, noting only minimal tweaks in the discount rate, revenue growth, profit margin and future P/E assumptions that do not materially alter their overall view on the shares. What's in the News Appointed to a new £750 million affordable homes framework by Sovereign Network Group, covering mid and high value bands across London and East, South and high value in the West, supporting Sovereign's target of more than 2,000 homes per year across southern England (Key Developments).
RNWH
UK£9.18
Renew Holdings
7D
1.9%
1Y
16.6%