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U.K. (FTSE) Tech Sector Analysis

UpdatedMay 04, 2026
DataAggregated Company Financials
Companies114
  • 7D1.3%
  • 3M9.1%
  • 1Y14.2%
  • YTD11.5%

The Tech industry is up 1.3% in the last week, with Halma up 2.2%. In the last 12 months, the industry was up 14%. Looking forward, earnings are forecast to grow by 17% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 04 May 2026UK£49.5bUK£24.0bUK£1.0b30.4x48.1x2.1x
Wed, 01 Apr 2026UK£42.4bUK£24.0bUK£1.0b27.7x42x1.8x
Fri, 27 Feb 2026UK£45.7bUK£22.3bUK£1.0b31.9x45.5x2x
Sun, 25 Jan 2026UK£46.3bUK£22.3bUK£1.0b30.7x45.7x2.1x
Tue, 23 Dec 2025UK£45.6bUK£22.2bUK£998.4m29.8x45.7x2.1x
Thu, 20 Nov 2025UK£49.7bUK£23.6bUK£870.8m29.4x57x2.1x
Sat, 18 Oct 2025UK£50.9bUK£23.1bUK£884.2m29.4x57.6x2.2x
Mon, 15 Sep 2025UK£51.1bUK£23.5bUK£1.0b29.3x49x2.2x
Wed, 13 Aug 2025UK£50.3bUK£22.7bUK£1.0b29.6x48.1x2.2x
Fri, 11 Jul 2025UK£52.5bUK£22.7bUK£1.2b31.6x42.5x2.3x
Sun, 08 Jun 2025UK£50.7bUK£22.9bUK£1.2b28.7x40.6x2.2x
Tue, 06 May 2025UK£48.8bUK£23.0bUK£1.3b25.6x38.8x2.1x
Thu, 03 Apr 2025UK£47.7bUK£23.0bUK£1.2b22.7x38.5x2.1x
Sat, 01 Mar 2025UK£49.9bUK£22.5bUK£1.2b24.3x41.5x2.2x
Mon, 27 Jan 2025UK£52.5bUK£22.6bUK£1.2b27.3x42.5x2.3x
Wed, 25 Dec 2024UK£50.6bUK£22.6bUK£1.2b28.2x40.9x2.2x
Fri, 22 Nov 2024UK£49.8bUK£22.5bUK£1.2b29.3x40.1x2.2x
Sun, 20 Oct 2024UK£49.4bUK£23.0bUK£1.1b26x44.3x2.1x
Tue, 17 Sep 2024UK£54.0bUK£23.4bUK£1.3b26.2x42.6x2.3x
Thu, 15 Aug 2024UK£55.4bUK£24.0bUK£1.3b27.4x43.8x2.3x
Sat, 13 Jul 2024UK£57.7bUK£24.2bUK£1.2b27.9x49.1x2.4x
Mon, 10 Jun 2024UK£55.0bUK£24.0bUK£1.0b29.5x54.7x2.3x
Wed, 08 May 2024UK£54.4bUK£24.0bUK£998.4m28.1x54.4x2.3x
Fri, 05 Apr 2024UK£53.3bUK£24.1bUK£893.6m28.4x59.6x2.2x
Sun, 03 Mar 2024UK£53.2bUK£24.4bUK£917.8m29x58x2.2x
Tue, 30 Jan 2024UK£73.6bUK£31.4bUK£936.3m28.5x78.6x2.3x
Thu, 28 Dec 2023UK£74.4bUK£31.4bUK£949.6m28.1x78.4x2.4x
Sat, 25 Nov 2023UK£70.7bUK£32.0bUK£1.0b28.2x69.2x2.2x
Mon, 23 Oct 2023UK£66.8bUK£32.0bUK£1.0b26.2x66.7x2.1x
Wed, 20 Sep 2023UK£71.7bUK£31.7bUK£1.0b28x69.3x2.3x
Fri, 18 Aug 2023UK£70.3bUK£30.7bUK£1.0b28.3x67.8x2.3x
Sun, 16 Jul 2023UK£73.6bUK£31.1bUK£1.1b28x70.1x2.4x
Tue, 13 Jun 2023UK£74.8bUK£30.9bUK£1.2b30.9x64x2.4x
Thu, 11 May 2023UK£73.5bUK£31.0bUK£1.1b31.3x67.8x2.4x
Price to Earnings Ratio

67.8x


Total Market Cap: UK£73.5bTotal Earnings: UK£1.1bTotal Revenue: UK£31.0bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Tech Sector Price to Earnings3Y Average 52.9x202420252026
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 48.1x which is lower than its 3-year average PE of 52.9x.
  • 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 8.2% 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 Market-0.13%
Tech1.26%
Tech Hardware8.35%
Electronic Equipment and Components2.97%
IT-0.18%
Software-0.88%
Communications-1.60%
Semiconductors-7.86%
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 28.5%, which is higher than its past year's earnings decline of 4.1% per year.
Forecasted Growth
  • Analysts are most optimistic on the Communications industry, expecting annual earnings growth of 28% over the next 5 years.
  • This is better than its past earnings decline of 4.1% per year.
  • In contrast, the IT industry is expected to see its earnings grow by 13% 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£45.272.2%
+UK£373.8m		59.5%PE49.3x
RSW RenishawUK£47.566.8%
+UK£221.2m		108.1%PE46.7x
RPI Raspberry Pi HoldingsUK£6.529.5%
+UK£109.4m		37.7%PE78.9x
OXIG Oxford InstrumentsUK£28.963.7%
+UK£57.5m		66.6%PE102x
SEE Seeing MachinesUK£0.04226.5%
+UK£41.6m		120.7%PS4.5x

Latest News

CCC
UK£37.70
Computacenter
7D
-1.5%
1Y
50.8%
RSW
UK£47.56
Renishaw
7D
6.8%
1Y
108.1%

RSW: Updated Earnings Guidance And P/E Assumptions Will Shape Longer Term Multiple

Analysts have lifted their fair value estimate for Renishaw from £47.50 to £50.00, citing updated assumptions on revenue growth, profit margins, and a slightly adjusted P/E multiple, consistent with recent Street research that includes a £2.10 increase in the bank price target. Analyst Commentary Recent Street research points to a more constructive tone around Renishaw, with bullish analysts reflecting this in higher valuation markers and refreshed assumptions in their models.
ALFA
UK£1.51
Alfa Financial Software Holdings
7D
-3.8%
1Y
-34.7%

Recurring Contract Volumes And New Markets Will Drive A Stronger Future Earnings Profile

Catalysts About Alfa Financial Software Holdings Alfa Financial Software Holdings supplies mission critical software for asset and automotive finance providers, delivered primarily through a single tenant, volume based SaaS model. What are the underlying business or industry changes driving this perspective?
PINE
UK£2.65
Pinewood Technologies Group
7D
8.2%
1Y
-31.8%

PINE: Resumed Coverage Will Highlight AI Execution As Key Re Rating Catalyst

Analysts have trimmed their fair value estimate for Pinewood Technologies Group from £6.54 to £5.85, reflecting a lower comparator-based P/E multiple, even as they still see material upside following the recent £5.50 target cited in Street research. Analyst Commentary Bullish Takeaways Bullish analysts point to the recent 33% share price move after the Apax deal was dropped as creating what they see as a more attractive entry level relative to their £5.50 price target.
SEE
UK£0.042
Seeing Machines
7D
26.5%
1Y
120.7%
NCC
UK£1.29
NCC Group
7D
9.5%
1Y
-12.4%
SGE
UK£8.92
Sage Group
7D
-1.2%
1Y
-30.1%

SGE: Mixed Views On AI Rollout And Buyback Will Shape Future Upside

Analysts have trimmed Sage Group's fair value estimate to £8.50 from £9.00, reflecting recent reductions in Street price targets to around £11.50 and updated assumptions on discount rate, revenue growth, profit margin and future P/E. Analyst Commentary Recent Street research has tilted more cautious on Sage Group, with several Bearish analysts cutting price targets and reassessing the risk and reward trade off.
IQE
UK£0.41
IQE
7D
-13.6%
1Y
359.3%
CER
UK£13.60
Cerillion
7D
4.6%
1Y
-20.5%
BYIT
UK£3.03
Bytes Technology Group
7D
-2.6%
1Y
-42.3%

BYIT: Flat 2027 Profit Guidance And Cost Reset Will Underpin Extended Recovery Timeline

Analysts have trimmed their price target on Bytes Technology Group, cutting fair value by roughly £0.78 per share as they reset assumptions around discount rates, long term revenue growth, profit margins and future P/E multiples following the latest research updates. Analyst Commentary Bullish Takeaways Bullish analysts still see scope for value creation if Bytes Technology Group can deliver consistent execution against revised growth and margin assumptions that now feed into a lower fair value range.
BGO
UK£0.65
Bango
7D
-16.1%
1Y
-33.3%
HLMA
UK£45.27
Halma
7D
2.2%
1Y
59.5%

HLMA: Higher Assumptions And Neutral Stance Will Support Premium Future P/E

Halma's analyst price target has been adjusted from £40.00 to £41.50. Analysts link this shift to updated assumptions for fair value, discount rate, revenue growth, profit margin and future P/E.
FTC
UK£2.87
Filtronic
7D
-3.0%
1Y
200.2%
OXIG
UK£28.96
Oxford Instruments
7D
3.7%
1Y
66.6%

OXIG: Rebased P/E Assumptions And Margin Outlook Will Guide Future Repricing

Analysts have lifted their price target on Oxford Instruments by £2.20 to reflect updated assumptions around slightly higher profit margins, a modestly adjusted discount rate, and a lower forward P/E multiple, informed by recent Jefferies and JPMorgan research. Analyst Commentary Recent Street research on Oxford Instruments points to supportive sentiment around the shares, with bullish analysts revisiting their valuation work and adjusting price targets higher.
RPI
UK£6.52
Raspberry Pi Holdings
7D
9.5%
1Y
37.7%

RPI: Equity Offering And Margin Pressure Will Limit Future Share Upside

Analysts have trimmed their fair value estimate for Raspberry Pi Holdings slightly to £4.59 from £4.60, reflecting updated assumptions around revenue growth, profit margins, the discount rate, and future P/E expectations. What's in the News Raspberry Pi Holdings completed a follow on equity offering of £60.0 million, issuing 10,909,090 ordinary shares at £5.50 under Regulation S and Rule 144A (Key Developments).
BIG
UK£1.01
Big Technologies
7D
-4.3%
1Y
27.8%