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U.K. (FTSE) Construction Industry Analysis

UpdatedJun 03, 2026
DataAggregated Company Financials
Companies14
  • 7D-1.2%
  • 3M1.5%
  • 1Y35.9%
  • YTD8.6%

Over the last 7 days, the Construction industry has dropped 1.2%, driven by a pullback from Morgan Sindall Group of 2.5%. In the past year, the industry has gained 36%. As for the next few years, earnings are expected to grow by 7.9% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 03 Jun 2026UK£10.4bUK£26.7bUK£754.5m14.6x13.8x0.4x
Fri, 01 May 2026UK£10.6bUK£26.6bUK£753.8m14.9x14x0.4x
Sun, 29 Mar 2026UK£9.6bUK£26.6bUK£758.5m13.1x12.7x0.4x
Tue, 24 Feb 2026UK£10.8bUK£25.6bUK£638.3m16.1x16.9x0.4x
Thu, 22 Jan 2026UK£9.8bUK£25.6bUK£638.5m14.3x15.4x0.4x
Sat, 20 Dec 2025UK£9.8bUK£25.6bUK£638.5m14x15.3x0.4x
Mon, 17 Nov 2025UK£9.1bUK£25.6bUK£638.4m14.6x14.3x0.4x
Wed, 15 Oct 2025UK£9.6bUK£25.6bUK£638.4m15.4x15.1x0.4x
Fri, 12 Sep 2025UK£8.5bUK£25.6bUK£642.7m13.6x13.2x0.3x
Sun, 10 Aug 2025UK£8.6bUK£25.0bUK£637.0m14.5x13.5x0.3x
Tue, 08 Jul 2025UK£8.3bUK£25.0bUK£637.8m14.4x13x0.3x
Thu, 05 Jun 2025UK£7.8bUK£25.0bUK£639.1m13.7x12.2x0.3x
Sat, 03 May 2025UK£7.3bUK£24.9bUK£636.3m12.8x11.5x0.3x
Mon, 31 Mar 2025UK£6.9bUK£24.9bUK£638.4m11.7x10.8x0.3x
Wed, 26 Feb 2025UK£7.2bUK£24.5bUK£658.9m11.8x11x0.3x
Fri, 24 Jan 2025UK£7.5bUK£24.5bUK£652.0m11.9x11.5x0.3x
Sun, 22 Dec 2024UK£7.6bUK£24.6bUK£651.0m11.8x11.7x0.3x
Tue, 19 Nov 2024UK£7.8bUK£24.4bUK£666.6m12x11.6x0.3x
Thu, 17 Oct 2024UK£7.7bUK£24.4bUK£666.6m11.2x11.5x0.3x
Sat, 14 Sep 2024UK£7.2bUK£24.2bUK£646.5m12.4x11.1x0.3x
Mon, 12 Aug 2024UK£7.1bUK£24.0bUK£594.3m15.7x12x0.3x
Wed, 10 Jul 2024UK£6.7bUK£23.7bUK£551.0m14.8x12.1x0.3x
Fri, 07 Jun 2024UK£6.5bUK£24.2bUK£562.9m12.7x11.6x0.3x
Sun, 05 May 2024UK£6.2bUK£24.1bUK£562.8m11.9x11.1x0.3x
Tue, 02 Apr 2024UK£6.1bUK£24.1bUK£549.9m10.2x11x0.3x
Thu, 29 Feb 2024UK£5.6bUK£23.6bUK£653.8m9.7x8.6x0.2x
Sat, 27 Jan 2024UK£5.7bUK£23.3bUK£600.3m11.1x9.5x0.2x
Mon, 25 Dec 2023UK£5.5bUK£23.3bUK£601.5m9.7x9.2x0.2x
Wed, 22 Nov 2023UK£5.2bUK£23.3bUK£594.2m9.6x8.8x0.2x
Fri, 20 Oct 2023UK£4.9bUK£23.3bUK£595.5m9.2x8.2x0.2x
Sun, 17 Sep 2023UK£5.2bUK£23.2bUK£597.6m9.6x8.7x0.2x
Tue, 15 Aug 2023UK£5.2bUK£22.8bUK£619.6m10x8.4x0.2x
Thu, 13 Jul 2023UK£5.1bUK£22.4bUK£605.5m12.4x8.4x0.2x
Sat, 10 Jun 2023UK£5.2bUK£22.4bUK£597.0m11.9x8.7x0.2x
Price to Earnings Ratio

8.7x


Total Market Cap: UK£5.2bTotal Earnings: UK£597.0mTotal Revenue: UK£22.4bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Construction Industry Price to Earnings3Y Average 11.7x202420252026
Current Industry PE
  • Investors are optimistic on the British Construction industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 13.8x which is higher than its 3-year average PE of 11.7x.
  • 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 industry have grown 8.1% per year over the last three years.
  • Revenues for these companies have grown 6.0% 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 Market-0.85%
Industrials-0.30%
Construction-1.17%
Construction and Engineering-1.17%
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
KLR Keller GroupUK£24.001.4%
+UK£23.4m		56.9%PE11.6x
SFR SeverfieldUK£0.273.3%
+UK£2.5m		-22.8%PS0.2x
VANL Van Elle HoldingsUK£0.522.0%
+UK£1.1m		30.4%PE18.5x

Latest News

MGNS
UK£44.46
Morgan Sindall Group
7D
-2.5%
1Y
17.9%
Narrative Update • May 30

MGNS: Higher Final Dividend Will Support Stronger Future Shareholder Returns

Analysts have maintained their fair value estimate for Morgan Sindall Group at £55.07 per share, while modestly adjusting assumptions such as the discount rate and future P/E to reflect updated risk and earnings expectations. What's in the News Shareholders approved a final dividend of 108 pence per ordinary share for the year ended 31 December 2025 at the Annual General Meeting held on 7 May 2026 (Key Developments).
RNWH
UK£8.78
Renew Holdings
7D
-2.7%
1Y
6.8%
HERC
UK£0.29
Hercules
7D
-13.4%
1Y
-38.9%
KIE
UK£2.04
Kier Group
7D
-1.4%
1Y
18.6%
Analysis Article • May 27

Does Kier Group (LON:KIE) Deserve A Spot On Your Watchlist?

The excitement of investing in a company that can reverse its fortunes is a big draw for some speculators, so even...
KLR
UK£24.00
Keller Group
7D
1.4%
1Y
56.9%
Narrative Update • May 26

KLR: Higher Capital Returns And Revised P E Assumptions Will Support Fair Value

Analysts have raised Keller Group's price target to £22.00 from £16.60, citing updated fair value and P/E assumptions that they believe are more closely aligned with the stock's current valuation. Analyst Commentary Recent research highlights a mix of optimism and caution around Keller Group, with updated price targets reflecting revised fair value and P/E assumptions rather than a clear consensus in one direction.
BBY
UK£7.91
Balfour Beatty
7D
-1.0%
1Y
58.1%
Narrative Update • May 22

BBY: Raised Fair Value And 2026 Guidance Will Support Measured Future Upside

The analyst price target for Balfour Beatty has been raised to £8.70 per share from £8.00, as analysts incorporate updated fair value assumptions, revised discount rates and refreshed earnings expectations that are reflected in recent target changes from several research houses. Analyst Commentary Recent Street research on Balfour Beatty points to a more constructive tone, with several bullish analysts revisiting their valuation work and adjusting price targets to reflect updated assumptions on fair value and earnings power.
GFRD
UK£5.07
Galliford Try Holdings
7D
-2.5%
1Y
24.4%
Narrative Update • May 22

GFRD: Affordable Housing Framework Wins Will Support Future Rerating

Analysts have kept their £6.52 price target for Galliford Try Holdings unchanged, with only small adjustments to assumptions such as the discount rate, revenue growth, profit margin and future P/E contributing to their refreshed view. What's in the News Galliford Try Holdings completed a share buyback program announced on 17 September 2025, repurchasing a total of 1,957,703 shares, representing 1.97% of the company, for £10 million across tranches running from 17 September 2025 to 31 December 2025 and from 1 January 2026 to 22 April 2026 (Key Developments).
DIAL
UK£0.28
Diales Group
7D
-8.2%
1Y
16.7%
COST
UK£1.93
Costain Group
7D
-1.7%
1Y
59.2%
Narrative Update • May 19

COST: Higher P/E And New Indices Will Test Contract Delivery And Buybacks

Narrative Update on Costain Group Analysts have lifted their blended price target for Costain Group toward the £1.80 to £2.40 range. This reflects updated assumptions for fair value, a revised discount rate, slightly adjusted profit margin expectations and a higher forward P/E multiple.
SFR
UK£0.27
Severfield
7D
3.3%
1Y
-22.8%
VANL
UK£0.52
Van Elle Holdings
7D
2.0%
1Y
30.4%
Narrative Update • Apr 25

VANL: Cash Offer And Steady Assumptions Will Guide Future Returns

Analysts have kept their fair value estimate for Van Elle Holdings steady at £0.47 per share, with only minor tweaks to inputs such as the discount rate and assumed future P/E. This leaves their overall price target view effectively unchanged.