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U.K. (FTSE) Tech Sector Analysis

UpdatedApr 27, 2024
DataAggregated Company Financials
Companies131
  • 7D4.0%
  • 3M2.7%
  • 1Y6.9%
  • YTD3.5%

In the last week, the Tech industry is up 4.0%, with Darktrace up 26%. This means that the industry has gained 6.9% over the past year. Earnings are forecast to grow by 19% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 27 Apr 2024UK£52.7bUK£23.9bUK£960.8m27.7x54.8x2.2x
Mon, 25 Mar 2024UK£53.4bUK£24.1bUK£872.9m29.3x61.1x2.2x
Wed, 21 Feb 2024UK£52.8bUK£24.4bUK£908.3m31.1x58.1x2.2x
Fri, 19 Jan 2024UK£72.7bUK£31.4bUK£946.2m26.2x76.9x2.3x
Sun, 17 Dec 2023UK£73.0bUK£31.4bUK£952.2m27.4x76.7x2.3x
Tue, 14 Nov 2023UK£67.9bUK£31.9bUK£1.0b26.8x67.3x2.1x
Thu, 12 Oct 2023UK£69.4bUK£31.9bUK£990.4m26.7x70x2.2x
Sat, 09 Sep 2023UK£72.6bUK£30.9bUK£1.1b28x68.5x2.3x
Mon, 07 Aug 2023UK£71.5bUK£30.7bUK£1.0b29.1x69.3x2.3x
Wed, 05 Jul 2023UK£73.6bUK£31.2bUK£1.1b29x68.3x2.4x
Fri, 02 Jun 2023UK£74.3bUK£30.9bUK£953.3m30.7x77.9x2.4x
Sun, 30 Apr 2023UK£73.5bUK£31.0bUK£1.1b30.9x67.7x2.4x
Tue, 28 Mar 2023UK£71.5bUK£31.5bUK£1.3b29.4x54.7x2.3x
Thu, 23 Feb 2023UK£98.0bUK£39.8bUK£2.8b28.7x34.9x2.5x
Sat, 21 Jan 2023UK£96.1bUK£39.7bUK£2.8b29.7x34.6x2.4x
Mon, 19 Dec 2022UK£95.7bUK£39.5bUK£2.8b28.4x34.7x2.4x
Wed, 16 Nov 2022UK£98.5bUK£39.3bUK£2.9b28.6x34.6x2.5x
Fri, 14 Oct 2022UK£475.5bUK£39.2bUK£2.7b29.5x175.7x12.1x
Sun, 11 Sep 2022UK£93.5bUK£38.6bUK£2.7b31.5x34.9x2.4x
Tue, 09 Aug 2022UK£90.9bUK£37.1bUK£2.6b32x34.8x2.4x
Thu, 07 Jul 2022UK£72.7bUK£34.7bUK£2.0b29.6x36.9x2.1x
Sat, 04 Jun 2022UK£75.8bUK£34.1bUK£1.9b30.4x40.2x2.2x
Mon, 02 May 2022UK£80.6bUK£33.8bUK£1.9b33.4x43.2x2.4x
Wed, 30 Mar 2022UK£87.8bUK£33.6bUK£1.8b32.2x48.7x2.6x
Fri, 25 Feb 2022UK£85.2bUK£32.8bUK£1.6b32.5x54.5x2.6x
Sun, 23 Jan 2022UK£94.9bUK£31.0bUK£283.7m38.5x334.4x3.1x
Tue, 21 Dec 2021UK£99.6bUK£31.1bUK£247.9m40x402x3.2x
Thu, 18 Nov 2021UK£105.2bUK£30.7bUK£101.4m44.7x1037.3x3.4x
Sat, 16 Oct 2021UK£107.3bUK£30.4bUK£113.7m49.5x943.6x3.5x
Mon, 13 Sep 2021UK£109.1bUK£28.7bUK£112.1m49.1x973.2x3.8x
Wed, 11 Aug 2021UK£101.9bUK£28.5bUK£170.6m47.3x597.4x3.6x
Sun, 06 Jun 2021UK£84.0bUK£27.6b-UK£201,800,711.9045.3x-416.5x3x
Price to Earnings Ratio

-394.9x


Total Market Cap: UK£83.5bTotal Earnings: -UK£211,504,728.35Total Revenue: UK£27.5bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Tech Sector Price to Earnings3Y Average 152.8x202220232024
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 54.8x which is lower than its 3-year average PE of 153x.
  • The 3-year average PS ratio of 2.9x is higher than the industry's current PS ratio of 2.2x.
Past Earnings Growth
  • Total earnings for the Information Technology industry have gone up over the last three years and the industry is now profitable.
  • Revenues have declined 4.6% per year.
  • This means that less sales are being generated overall, but since the cost of doing business is lower, profits have been increasing.

Industry Trends

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

GB Market2.84%
Tech3.96%
Software6.64%
Tech Hardware2.56%
Electronic Equipment and Components2.38%
IT1.99%
Communications1.23%
Semiconductors0.13%
Industry PE
  • Investors are most optimistic about the Software industry which is trading above its 3-year average PE ratio of 210x.
    • Analysts expect its future annual earnings growth (21.0%) to be largely in line with prior year's earnings growth.
Forecasted Growth
  • Analysts are most optimistic on the Tech Hardware industry, expecting annual earnings growth of 69% over the next 5 years.
  • This is better than its past earnings decline of 15% per year.
  • In contrast, the Electronic Equipment and Components industry is expected to see its earnings grow by 12% 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
DARK DarktraceUK£6.0226.4%
+UK£810.1m		114.9%PE43.7x
SGE Sage GroupUK£11.732.8%
+UK£325.1m		43.3%PE55.6x
HLMA HalmaUK£22.191.6%
+UK£135.8m		-3.9%PE35.2x
RSW RenishawUK£41.954.0%
+UK£116.4m		16.4%PE31.4x
SXS SpectrisUK£32.743.0%
+UK£96.3m		-12.9%PE22.6x
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Latest News

DARK

UK£6.02

Darktrace

7D

26.4%

1Y

114.9%

TRCS

UK£8.30

Tracsis

7D

-2.4%

1Y

-12.2%

MIDW

UK£4.23

Midwich Group

7D

-2.1%

1Y

-8.8%

Midwich Group (LON:MIDW) Will Pay A Larger Dividend Than Last Year At £0.11

Apr 26
Midwich Group (LON:MIDW) Will Pay A Larger Dividend Than Last Year At £0.11

SXS

UK£32.74

Spectris

7D

3.0%

1Y

-12.9%

Spectris (LON:SXS) Is Increasing Its Dividend To £0.539

Apr 25
Spectris (LON:SXS) Is Increasing Its Dividend To £0.539

GBG

UK£2.88

GB Group

7D

13.8%

1Y

-11.5%

AFRN

UK£0.074

Aferian

7D

-41.0%

1Y

-80.6%

KWS

UK£11.39

Keywords Studios

7D

-2.5%

1Y

-57.8%

SGE

UK£11.73

Sage Group

7D

2.8%

1Y

43.3%

IQE

UK£0.28

IQE

7D

-1.8%

1Y

13.4%

IOM

UK£1.29

iomart Group

7D

-3.7%

1Y

-15.9%

A Look At The Fair Value Of iomart Group plc (LON:IOM)

Apr 15
A Look At The Fair Value Of iomart Group plc (LON:IOM)

CCC

UK£25.72

Computacenter

7D

3.0%

1Y

12.0%

SCT

UK£15.76

Softcat

7D

1.7%

1Y

17.9%

Softcat's (LON:SCT) Dividend Will Be £0.085

Mar 29
Softcat's (LON:SCT) Dividend Will Be £0.085

DOTD

UK£0.93

dotdigital Group

7D

-3.2%

1Y

4.5%

RSW

UK£41.95

Renishaw

7D

4.0%

1Y

16.4%

Renishaw (LON:RSW) Will Be Hoping To Turn Its Returns On Capital Around

Mar 24
Renishaw (LON:RSW) Will Be Hoping To Turn Its Returns On Capital Around

HLMA

UK£22.19

Halma

7D

1.6%

1Y

-3.9%

Some Shareholders Feeling Restless Over Halma plc's (LON:HLMA) P/E Ratio

Mar 12
Some Shareholders Feeling Restless Over Halma plc's (LON:HLMA) P/E Ratio

SRT

UK£0.23

SRT Marine Systems

7D

-22.0%

1Y

-45.2%

SRT Marine Systems plc's (LON:SRT) P/S Still Appears To Be Reasonable

Jan 26
SRT Marine Systems plc's (LON:SRT) P/S Still Appears To Be Reasonable