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U.K. (FTSE) Tech Sector Analysis

UpdatedFeb 19, 2025
DataAggregated Company Financials
Companies125
  • 7D-0.4%
  • 3M7.8%
  • 1Y2.8%
  • YTD4.8%

The Tech industry has been flat over the last week, but Renishaw has lost 15%. In line with that, the industry has also been flat over the past 12 months. Earnings are forecast to grow by 14% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 20 Feb 2025UK£52.6bUK£22.6bUK£1.2b25.8x42.3x2.3x
Sat, 18 Jan 2025UK£51.4bUK£22.6bUK£1.2b27.3x41.6x2.3x
Mon, 16 Dec 2024UK£51.0bUK£22.6bUK£1.3b29.1x40.6x2.3x
Wed, 13 Nov 2024UK£47.9bUK£22.4bUK£1.1b28.1x42.2x2.1x
Fri, 11 Oct 2024UK£48.8bUK£23.0bUK£1.1b26.6x44.1x2.1x
Sun, 08 Sep 2024UK£53.6bUK£23.9bUK£1.3b26.3x41.7x2.2x
Tue, 06 Aug 2024UK£54.3bUK£24.1bUK£1.3b26.4x42.6x2.3x
Thu, 04 Jul 2024UK£58.3bUK£24.3bUK£1.2b28x49.8x2.4x
Sat, 01 Jun 2024UK£54.3bUK£23.9bUK£1.1b29x51.3x2.3x
Mon, 29 Apr 2024UK£52.7bUK£23.9bUK£960.8m27.7x54.8x2.2x
Wed, 27 Mar 2024UK£53.6bUK£24.1bUK£875.8m28.2x61.2x2.2x
Fri, 23 Feb 2024UK£53.5bUK£24.4bUK£908.5m30.6x58.8x2.2x
Sun, 21 Jan 2024UK£72.4bUK£31.4bUK£946.2m27.1x76.6x2.3x
Tue, 19 Dec 2023UK£73.0bUK£31.4bUK£952.3m27.3x76.7x2.3x
Thu, 16 Nov 2023UK£68.7bUK£31.9bUK£1.0b27.5x67.9x2.2x
Sat, 14 Oct 2023UK£68.6bUK£31.9bUK£990.5m26.7x69.3x2.1x
Mon, 11 Sep 2023UK£72.6bUK£30.9bUK£1.1b28x68.5x2.3x
Wed, 09 Aug 2023UK£71.3bUK£30.8bUK£1.0b29x69.1x2.3x
Fri, 07 Jul 2023UK£72.4bUK£31.2bUK£1.1b28.5x68x2.3x
Sun, 04 Jun 2023UK£74.8bUK£30.9bUK£955.3m31.2x78.3x2.4x
Tue, 02 May 2023UK£73.5bUK£31.0bUK£1.1b30.9x67.7x2.4x
Thu, 30 Mar 2023UK£71.9bUK£31.5bUK£1.3b28.8x55.4x2.3x
Sat, 25 Feb 2023UK£97.9bUK£39.9bUK£2.7b29x35.9x2.5x
Mon, 23 Jan 2023UK£96.1bUK£39.7bUK£2.8b29.7x34.6x2.4x
Wed, 21 Dec 2022UK£95.0bUK£39.6bUK£2.7b28.2x34.7x2.4x
Fri, 18 Nov 2022UK£98.2bUK£39.5bUK£2.8b29.2x34.7x2.5x
Sun, 16 Oct 2022UK£90.9bUK£39.3bUK£2.7b28.4x33.5x2.3x
Tue, 13 Sep 2022UK£94.5bUK£38.5bUK£2.7b32.4x35.3x2.5x
Thu, 11 Aug 2022UK£91.7bUK£37.0bUK£2.6b32.1x36x2.5x
Sat, 09 Jul 2022UK£73.6bUK£34.9bUK£2.0b29.9x37.1x2.1x
Mon, 06 Jun 2022UK£75.7bUK£34.1bUK£1.9b30.4x40.2x2.2x
Wed, 04 May 2022UK£79.2bUK£34.0bUK£1.9b32x42.5x2.3x
Fri, 01 Apr 2022UK£86.6bUK£33.7bUK£1.8b31.9x48.1x2.6x
Sun, 27 Feb 2022UK£87.2bUK£32.8bUK£1.7b32.5x50.5x2.7x
Price to Earnings Ratio

50.5x


Total Market Cap: UK£87.2bTotal Earnings: UK£1.7bTotal Revenue: UK£32.8bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Tech Sector Price to Earnings3Y Average 55.5x202320242025
Current Industry PE
  • Investors are pessimistic on the British Information Technology 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 42.3x which is lower than its 3-year average PE of 55.5x.
  • The 3-year average PS ratio of 2.6x is higher than the industry's current PS ratio of 2.3x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have declined 7.4% per year over the last three years,
  • Revenues have also declined 12% per year.
  • This means overall sales from these companies are declining and profits are subsequently falling as well.

Industry Trends

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

GB Market-0.17%
Tech-0.44%
Semiconductors1.65%
IT0.15%
Software0.13%
Communications-0.27%
Electronic Equipment and Components-0.91%
Tech Hardware-6.84%
Industry PE
  • Investors are most optimistic about the Tech Hardware industry which is trading above its 3-year average PE ratio of 49.4x.
    • Analysts are expecting annual earnings growth of 10.4%, which is lower than the prior year's growth of 124.5% per year.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 89% over the next 5 years.
  • This is better than its past earnings decline of 71% per year.
  • In contrast, the Electronic Equipment and Components industry is expected to see its earnings grow by 6.9% 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
HLMA HalmaUK£29.411.1%
+UK£120.9m		27.3%PE38.8x
AWE Alphawave IP GroupUK£1.476.4%
+UK£66.1m		-6.5%PS6.1x
DOTD dotdigital GroupUK£0.939.2%
+UK£23.9m		-3.4%PE25.8x
OXIG Oxford InstrumentsUK£20.151.5%
+UK£16.8m		-3.8%PE22.3x
KNOS Kainos GroupUK£7.911.7%
+UK£16.2m		-25.3%PE19x
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Latest News

HLMA

UK£29.41

Halma

7D

1.1%

1Y

27.3%

Halma plc's (LON:HLMA) Shares May Have Run Too Fast Too Soon

Feb 18
Halma plc's (LON:HLMA) Shares May Have Run Too Fast Too Soon

OXIG

UK£20.15

Oxford Instruments

7D

1.5%

1Y

-3.8%

RSW

UK£30.35

Renishaw

7D

-15.2%

1Y

-27.3%

Renishaw (LON:RSW) Has Announced A Dividend Of £0.168

Feb 16
Renishaw (LON:RSW) Has Announced A Dividend Of £0.168

TRCS

UK£4.30

Tracsis

7D

11.0%

1Y

-53.5%

KNOS

UK£7.91

Kainos Group

7D

1.7%

1Y

-25.3%

NCC

UK£1.36

NCC Group

7D

-4.4%

1Y

9.7%

FTC

UK£1.01

Filtronic

7D

-9.8%

1Y

162.3%

RPI

UK£6.51

Raspberry Pi Holdings

7D

-5.7%

1Y

n/a

SRT

UK£0.47

SRT Marine Systems

7D

-19.1%

1Y

43.1%

KBT

UK£1.10

K3 Business Technology Group

7D

31.7%

1Y

-2.2%

SCT

UK£16.05

Softcat

7D

-1.0%

1Y

10.6%

DOTD

UK£0.93

dotdigital Group

7D

9.2%

1Y

-3.4%

CER

UK£16.35

Cerillion

7D

-3.8%

1Y

4.1%

AWE

UK£1.47

Alphawave IP Group

7D

6.4%

1Y

-6.5%

SPT

UK£1.87

Spirent Communications

7D

1.2%

1Y

67.4%

SXS

UK£29.52

Spectris

7D

-2.6%

1Y

-19.3%