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U.K. (FTSE) Real Estate Sector Analysis

UpdatedNov 28, 2022
DataAggregated Company Financials
Companies90
  • 7D-1.0%
  • 3M-11.7%
  • 1Y-28.2%
  • YTD-30.3%

Over the last 7 days, the Real Estate industry has remained flat, although notably Home Reit declined by 21%. As for the longer term, the industry has declined 28% in the last year. Earnings are forecast to grow by 7.7% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 28 Nov 2022UK£67.5bUK£14.4bUK£12.4b7.4x5.4x4.7x
Wed, 26 Oct 2022UK£64.1bUK£14.3bUK£14.4b6.2x4.4x4.5x
Fri, 23 Sep 2022UK£67.3bUK£14.3bUK£14.3b7x4.7x4.7x
Sun, 21 Aug 2022UK£80.2bUK£14.4bUK£14.1b7.8x5.7x5.6x
Tue, 19 Jul 2022UK£79.5bUK£12.4bUK£12.9b8.4x6.1x6.4x
Thu, 16 Jun 2022UK£80.4bUK£13.7bUK£12.7b9.2x6.3x5.9x
Sat, 14 May 2022UK£83.7bUK£13.5bUK£8.8b10.3x9.5x6.2x
Mon, 11 Apr 2022UK£92.0bUK£13.2bUK£8.5b10.6x10.8x7x
Wed, 09 Mar 2022UK£84.7bUK£12.5bUK£7.7b11.9x11x6.8x
Fri, 04 Feb 2022UK£92.9bUK£12.8bUK£4.5b12.6x20.8x7.2x
Sun, 02 Jan 2022UK£95.6bUK£12.7bUK£4.3b13.4x22.1x7.5x
Tue, 30 Nov 2021UK£92.1bUK£12.7bUK£3.6b12.8x25.3x7.2x
Thu, 28 Oct 2021UK£90.4bUK£12.7bUK£202.4m13.5x446.6x7.1x
Sat, 25 Sep 2021UK£88.5bUK£12.6b-UK£327,399,086.0015.7x-270.4x7.1x
Mon, 23 Aug 2021UK£87.4bUK£10.3bUK£97.0m17.1x900.7x8.5x
Sat, 10 Jul 2021UK£79.4bUK£10.3bUK£97.0m16x818.1x7.7x
Fri, 02 Apr 2021UK£74.1bUK£10.1b-UK£1,612,774,561.0514.2x-46x7.3x
Mon, 04 Jan 2021UK£71.7bUK£10.1b-UK£3,807,867,293.1413x-18.8x7.1x
Thu, 08 Oct 2020UK£62.0bUK£10.2b-UK£4,624,116,727.9616.2x-13.4x6.1x
Wed, 01 Jul 2020UK£65.4bUK£13.0b-UK£4,008,923,283.1115.7x-16.3x5x
Sat, 04 Apr 2020UK£61.2bUK£13.2b-UK£1,631,175,454.2114.2x-37.5x4.6x
Tue, 07 Jan 2020UK£86.6bUK£13.8bUK£567.1m16.7x152.7x6.3x
Price to Earnings Ratio

44.3x


Total Market Cap: UK£82.6bTotal Earnings: UK£1.9bTotal Revenue: UK£13.6bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Real Estate Sector Price to Earnings3Y Average 97.6x202020212022
Current Industry PE
  • Investors are pessimistic on the British Real Estate industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 5.4x which is lower than its 3-year average PE of 97.6x.
  • The 3-year average PS ratio of 6.6x is higher than the industry's current PS ratio of 4.7x.
Past Earnings Growth
  • The earnings for companies in the Real Estate industry have grown 88% per year over the last three years, while revenues have remained mostly flat.
  • This means that companies overall are more efficiently conducting business since profits are increasing while sales have been flat.

Industry Trends

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

GB Market1.33%
Real Estate-0.96%
Real Estate-0.004%
REITS-1.13%
Industry PE
  • Investors are most optimistic about the Real Estate industry even though it's trading below its 3-year average PE ratio of 32.3x.
    • Analysts are expecting annual earnings growth of 8.9%, which is lower than the prior year's growth of 21.7% per year.
  • Investors are most pessimistic about the REITS industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average.
Forecasted Growth
  • Analysts are most optimistic on the Real Estate industry, expecting annual earnings growth of 8.9% over the next 5 years.
  • However this is lower than its past earnings growth rate of 22% per year.
  • In contrast, the REITS industry is expected to see its earnings grow by 7.5% 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
DLN Derwent LondonUK£24.702.5%
+UK£67.4m
-28.1%PB0.6x
LAND Land Securities GroupUK£6.321.2%
+UK£53.4m
-14.8%PB0.6x
BCPT Balanced Commercial Property TrustUK£0.928.8%
+UK£52.6m
-8.2%PB0.6x
CLI CLS HoldingsUK£1.634.6%
+UK£28.6m
-20.2%PB0.5x
GWI Globalworth Real Estate Investments€4.553.3%
+€32.1m
-23.7%PB0.6x
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Latest News

MTVW

UK£120.00

Mountview Estates

7D

4.3%

1Y

-14.9%

LXI

UK£1.21

LXI REIT

7D

-4.0%

1Y

-19.8%

LMP

UK£1.83

LondonMetric Property

7D

-4.4%

1Y

-32.5%

AGR

UK£0.57

Assura

7D

1.6%

1Y

-18.2%

BYG

UK£11.19

Big Yellow Group

7D

-3.9%

1Y

-30.9%

GRI

UK£2.45

Grainger

7D

1.5%

1Y

-21.1%

SHB

UK£3.68

Shaftesbury

7D

-6.0%

1Y

-42.1%

LAND

UK£6.32

Land Securities Group

7D

1.2%

1Y

-14.8%

GWI

€4.55

Globalworth Real Estate Investments

7D

3.3%

1Y

-23.7%

DLN

UK£24.70

Derwent London

7D

2.5%

1Y

-28.1%

CLI

UK£1.63

CLS Holdings

7D

4.6%

1Y

-20.2%

CAPC

UK£1.06

Capital & Counties Properties

7D

-5.0%

1Y

-35.6%

BCPT

UK£0.92

Balanced Commercial Property Trust

7D

8.8%

1Y

-8.2%

BBOX

UK£1.49

Tritax Big Box REIT

7D

-2.6%

1Y

-37.6%

SGRO

UK£8.28

SEGRO

7D

-0.9%

1Y

-40.8%

HOME

UK£0.60

Home Reit

7D

-21.0%

1Y

-49.0%