Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

U.K. (FTSE) Tech Sector Analysis

UpdatedAug 02, 2026
DataAggregated Company Financials
Companies111
  • 7D0.3%
  • 3M-1.2%
  • 1Y8.0%
  • YTD10.6%

Over the last 7 days, the Tech industry has remained flat, although notably Sage Group gained 13%. As for the the longer term, the industry is up 8.0% over the past 12 months. As for the next few years, earnings are expected to grow by 18% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 03 Aug 2026UK£48.7bUK£24.2bUK£997.1m26.6x48.8x2x
Wed, 01 Jul 2026UK£48.3bUK£24.2bUK£1.1b25.5x45.1x2x
Fri, 29 May 2026UK£52.0bUK£24.1bUK£1.1b25.4x48.8x2.2x
Sun, 26 Apr 2026UK£49.0bUK£24.0bUK£1.0b31x47.5x2x
Tue, 24 Mar 2026UK£41.9bUK£24.0bUK£973.0m28.1x43.1x1.7x
Thu, 19 Feb 2026UK£44.5bUK£22.3bUK£1.0b32.5x44.3x2x
Sat, 17 Jan 2026UK£46.7bUK£22.3bUK£1.0b30.1x46.4x2.1x
Mon, 15 Dec 2025UK£46.5bUK£22.5bUK£868.7m29.7x53.5x2.1x
Wed, 12 Nov 2025UK£50.9bUK£23.6bUK£889.9m30.4x57.2x2.2x
Fri, 10 Oct 2025UK£53.3bUK£23.5bUK£889.4m30.5x59.9x2.3x
Sun, 07 Sep 2025UK£50.8bUK£22.7bUK£1.1b29.7x48.2x2.2x
Tue, 05 Aug 2025UK£51.2bUK£22.6bUK£1.2b29.9x41.8x2.3x
Thu, 03 Jul 2025UK£51.9bUK£23.0bUK£1.2b31.8x42x2.3x
Sat, 31 May 2025UK£49.9bUK£23.0bUK£1.2b29.4x40.2x2.2x
Mon, 28 Apr 2025UK£46.4bUK£23.0bUK£1.3b23.8x36.8x2x
Wed, 26 Mar 2025UK£48.0bUK£23.0bUK£1.2b23.6x38.6x2.1x
Fri, 21 Feb 2025UK£51.9bUK£22.6bUK£1.2b25.8x41.7x2.3x
Sun, 19 Jan 2025UK£51.4bUK£22.6bUK£1.2b27.3x41.6x2.3x
Tue, 17 Dec 2024UK£51.0bUK£22.6bUK£1.3b28.9x40.6x2.3x
Thu, 14 Nov 2024UK£47.7bUK£22.4bUK£1.1b27.6x41.8x2.1x
Sat, 12 Oct 2024UK£49.0bUK£23.0bUK£1.1b26.4x44.1x2.1x
Mon, 09 Sep 2024UK£53.5bUK£23.9bUK£1.3b26.3x41.7x2.2x
Wed, 07 Aug 2024UK£54.6bUK£24.1bUK£1.3b26.6x42.8x2.3x
Fri, 05 Jul 2024UK£58.2bUK£24.3bUK£1.2b27.9x49.7x2.4x
Sun, 02 Jun 2024UK£54.3bUK£23.9bUK£1.1b29x51.3x2.3x
Tue, 30 Apr 2024UK£53.0bUK£23.9bUK£960.9m27.9x55.2x2.2x
Thu, 28 Mar 2024UK£53.4bUK£24.1bUK£875.8m28.1x60.9x2.2x
Sat, 24 Feb 2024UK£53.5bUK£24.4bUK£908.5m30.2x58.9x2.2x
Mon, 22 Jan 2024UK£72.4bUK£31.4bUK£946.2m27.1x76.6x2.3x
Wed, 20 Dec 2023UK£73.8bUK£31.4bUK£952.3m26.9x77.5x2.3x
Fri, 17 Nov 2023UK£68.7bUK£31.9bUK£1.0b27.6x67.9x2.2x
Sun, 15 Oct 2023UK£68.6bUK£32.0bUK£987.0m26.7x69.5x2.1x
Tue, 12 Sep 2023UK£72.4bUK£31.7bUK£1.1b28.6x67.7x2.3x
Thu, 10 Aug 2023UK£71.5bUK£30.8bUK£1.0b28.8x69.3x2.3x
Price to Earnings Ratio

69.3x


Total Market Cap: UK£71.5bTotal Earnings: UK£1.0bTotal Revenue: UK£30.8bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Tech Sector Price to Earnings3Y Average 51.2x202420252026
Current Industry PE
  • Investors are relatively neutral on the British Information Technology 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 51.2x.
  • The industry is trading close to its 3-year average PS ratio of 2.2x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have remained mostly flat over the last three years.
  • Meanwhile revenues for these companies have declined 7.7% per year.
  • This means that the cost of doing business could be reducing since sales have declined but profits have remained steady.

Industry Trends

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

GB Market1.17%
Tech0.30%
Software9.36%
IT-0.81%
Electronic Equipment and Components-3.07%
Communications-5.54%
Tech Hardware-6.18%
Semiconductors-15.15%
Industry PE
  • Investors are most optimistic about the Communications industry which is trading above its 3-year average PE ratio.
    • Analysts are expecting annual earnings growth of 30.8%, which is higher than its past year's earnings growth of 17.6% per year.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 50% over the next 5 years.
  • In contrast, the Tech Hardware industry is expected to see its earnings grow by 14% 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
SGE Sage GroupUK£9.7313.4%
+UK£1.0b		-19.1%PE22.7x
PINE Pinewood Technologies GroupUK£4.3036.5%
+UK£132.4m		-10.6%PE9.8x
KNOS Kainos GroupUK£8.817.4%
+UK£77.3m		22.7%PE24.1x
SCT SoftcatUK£19.302.0%
+UK£72.6m		21.1%PE26.9x
GBG GB GroupUK£2.216.8%
+UK£32.0m		-2.6%PS1.8x

Latest News

IQE
UK£0.39
IQE
7D
-20.0%
1Y
303.1%
RPI
UK£6.57
Raspberry Pi Holdings
7D
-7.2%
1Y
60.9%
Narrative Update • Jul 30

RPI: New CFO Appointment And Higher P/E Expectations Will Support Upside

Raspberry Pi Holdings' narrative update reflects analysts lifting their price target from £5.50 to £6.50 per share, citing revised fair value assumptions and updated P/E expectations as key drivers of the change. What's in the News for Raspberry Pi Holdings Raspberry Pi Holdings plc announced the appointment of Tim Powell as Chief Financial Officer of the Board, effective 16 October 2026.
SGE
UK£9.73
Sage Group
7D
13.4%
1Y
-19.1%
KNOS
UK£8.81
Kainos Group
7D
7.4%
1Y
22.7%
HLMA
UK£35.30
Halma
7D
-2.3%
1Y
9.8%
DOTD
UK£0.52
dotdigital Group
7D
9.7%
1Y
-27.9%
PINE
UK£4.30
Pinewood Technologies Group
7D
36.5%
1Y
-10.6%
Narrative Update • Jul 27

PINE: Possible Takeover Offer Will Drive Future Re Rating Potential

Analysts have adjusted their fair value estimate for Pinewood Technologies Group from £5.85 to £6.70, reflecting updated assumptions around discount rates, profit margins and future P/E expectations. What's in the News for Pinewood Technologies Group Ridgeview Partners LLC has made a non binding proposal to acquire Pinewood Technologies Group PLC for approximately £520 million, offering £4.48 in cash per share and valuing the entire issued and to be issued share capital at about £545 million.
RSW
UK£49.48
Renishaw
7D
-4.9%
1Y
70.3%
Narrative Update • Jul 24

RSW: Raised 2026 Guidance And Segment Strength Are Expected To Support P/E Re-Rating

Analysts have lifted their fair value estimate for Renishaw from £60.00 to £63.00, citing recent target increases and updated assumptions on revenue growth, profit margins and P/E multiples. What’s in the News for Renishaw Renishaw issued earnings guidance for fiscal 2026, with expected revenue of approximately £815 million and all three segments reported as delivering growth, with particularly strong progress in Specialised Technologies and Position Measurement.
MIDW
UK£1.46
Midwich Group
7D
7.3%
1Y
-34.3%
CCC
UK£45.98
Computacenter
7D
-4.0%
1Y
104.7%
BYIT
UK£4.01
Bytes Technology Group
7D
-3.7%
1Y
10.9%
OXIG
UK£27.32
Oxford Instruments
7D
-8.7%
1Y
52.8%
Narrative Update • Jul 13

OXIG: Richer P/E Expectations Will Drive Future Downside Risk

The analyst fair value estimate for Oxford Instruments has been raised from £23.00 to £25.90, reflecting higher Street price targets around £3,000 to £3,500 and analyst views that the company’s growth profile can support a richer P/E multiple, despite some mixed opinions on valuation after the recent rally. Analyst Commentary Recent research on Oxford Instruments points to generally supportive sentiment around the growth profile and earnings visibility, but there are also some clear pockets of caution.
SCT
UK£19.30
Softcat
7D
2.0%
1Y
21.1%
Narrative Update • Jul 10

SCT: Higher P/E And Lower Margins Will Continue To Mask Weakening Earnings Quality

Analysts have raised their Softcat price target from £13.50 to £15.00, citing updated assumptions on revenue growth, profit margins and future P/E that together support a higher fair value estimate despite a slightly higher discount rate. What’s in the News for Softcat No recent Softcat specific news items were provided in the primary news feed.
GBG
UK£2.21
GB Group
7D
6.8%
1Y
-2.6%
Narrative Update • Jul 08

GBG: US Partnership Expansion Will Support Confidence Despite Recent Price Pressure

Analysts have trimmed their price target on GB Group to £2.70 from £3.20, citing the near term impact of a £6m growth investment on the company’s valuation, while highlighting progress with key customers as support for the longer term growth case. What’s in the News for GB Group GB Group and Equifax are expanding their partnership into the United States, aiming to strengthen identity and fraud protection offerings for business customers.
TTG
UK£1.27
TT Electronics
7D
7.5%
1Y
34.6%
Narrative Update • Jun 26

TTG: Revised P/E And Margin Assumptions Will Shape Future Share Performance

Analysts have raised their price target on TT Electronics to £1.10 from £0.95, citing recent upgrades and revised P/E and margin assumptions as key drivers of the updated view. Analyst Commentary on TT Electronics Recent research around TT Electronics has focused heavily on reassessing valuation, with price targets and ratings framed around how much conviction analysts have in the company meeting their updated P/E and margin assumptions.
FTC
UK£2.38
Filtronic
7D
-8.1%
1Y
66.4%