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U.K. (FTSE) IT Industry Analysis

UpdatedMar 25, 2026
DataAggregated Company Financials
Companies21
  • 7D-2.2%
  • 3M-12.8%
  • 1Y-12.9%
  • YTD-11.6%

Over the last 7 days, the IT industry has remained flat, although notably Computacenter declined by 4.0%. As for the longer term, the industry has declined 11% in the last year. Earnings are forecast to grow by 16% annually.

Industry Valuation and Performance

Has the U.K. IT Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 25 Mar 2026UK£7.3bUK£12.4bUK£269.4m27.1x27.1x0.6x
Fri, 20 Feb 2026UK£7.5bUK£10.7bUK£267.3m23.8x28.2x0.7x
Sun, 18 Jan 2026UK£8.7bUK£10.7bUK£267.3m22.6x32.5x0.8x
Tue, 16 Dec 2025UK£8.6bUK£10.7bUK£267.5m23.3x32.2x0.8x
Thu, 13 Nov 2025UK£8.3bUK£10.8bUK£269.0m24.6x31x0.8x
Sat, 11 Oct 2025UK£8.4bUK£10.4bUK£266.3m27.8x31.5x0.8x
Mon, 08 Sep 2025UK£7.9bUK£9.5bUK£272.7m25.4x29.1x0.8x
Wed, 06 Aug 2025UK£7.7bUK£9.5bUK£272.7m24.1x28.2x0.8x
Fri, 04 Jul 2025UK£7.9bUK£9.5bUK£328.4m25.2x24.2x0.8x
Sun, 01 Jun 2025UK£8.6bUK£9.5bUK£311.1m25x27.7x0.9x
Tue, 29 Apr 2025UK£8.0bUK£9.6bUK£330.6m17.6x24.1x0.8x
Thu, 27 Mar 2025UK£8.3bUK£9.6bUK£330.5m20.5x25x0.9x
Sat, 22 Feb 2025UK£7.8bUK£9.0bUK£333.3m22.9x23.6x0.9x
Mon, 20 Jan 2025UK£7.9bUK£9.0bUK£335.5m24.6x23.5x0.9x
Wed, 18 Dec 2024UK£8.1bUK£9.0bUK£337.7m27.3x23.8x0.9x
Fri, 15 Nov 2024UK£8.6bUK£9.0bUK£327.4m27.7x26.2x1x
Sun, 13 Oct 2024UK£10.5bUK£9.7bUK£294.1m23.5x35.6x1.1x
Tue, 10 Sep 2024UK£10.6bUK£9.7bUK£333.5m26x31.7x1.1x
Thu, 08 Aug 2024UK£11.1bUK£10.2bUK£359.5m26.9x31x1.1x
Sat, 06 Jul 2024UK£11.8bUK£10.2bUK£383.0m26.6x30.8x1.2x
Mon, 03 Jun 2024UK£11.6bUK£10.2bUK£380.6m28.7x30.5x1.1x
Wed, 01 May 2024UK£9.9bUK£10.2bUK£374.7m27.6x26.5x1x
Fri, 29 Mar 2024UK£10.4bUK£10.4bUK£353.9m27.9x29.3x1x
Sun, 25 Feb 2024UK£11.0bUK£10.8bUK£359.4m25.5x30.5x1x
Tue, 23 Jan 2024UK£10.9bUK£12.8bUK£376.3m25.7x28.9x0.9x
Thu, 21 Dec 2023UK£10.8bUK£12.8bUK£379.7m24x28.6x0.8x
Sat, 18 Nov 2023UK£10.6bUK£13.4bUK£384.2m24.6x27.6x0.8x
Mon, 16 Oct 2023UK£10.7bUK£13.4bUK£371.6m25.8x28.7x0.8x
Wed, 13 Sep 2023UK£11.1bUK£13.3bUK£401.0m27.4x27.6x0.8x
Fri, 11 Aug 2023UK£10.8bUK£12.5bUK£404.7m26.7x26.8x0.9x
Sun, 09 Jul 2023UK£10.8bUK£12.5bUK£412.1m26x26.2x0.9x
Tue, 06 Jun 2023UK£11.2bUK£12.5bUK£424.1m26.6x26.4x0.9x
Thu, 04 May 2023UK£11.7bUK£12.4bUK£423.0m26.8x27.6x0.9x
Sat, 01 Apr 2023UK£11.7bUK£13.1bUK£420.2m27.8x27.8x0.9x
Price to Earnings Ratio

27.8x


Total Market Cap: UK£11.7bTotal Earnings: UK£420.2mTotal Revenue: UK£13.1bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. IT Industry Price to Earnings3Y Average 28.3x202420252026
Current Industry PE
  • Investors are relatively neutral on the British IT 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 28.3x.
  • The industry is trading close to its 3-year average PS ratio of 0.90x.
Past Earnings Growth
  • The earnings for companies in the IT industry have declined 14% per year over the last three years.
  • Meanwhile revenues have remained mostly flat.
  • This means that although sales have remained flat, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Industry Trends

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

GB Market-4.25%
Tech-3.43%
IT-2.17%
Data Processing Services0%0
Internet Services and Infrastructure-0.26%
IT Consulting-2.27%
Industry PE
  • Investors are most optimistic about the IT Consulting industry even though it's trading below its 3-year average PE ratio of 25.6x.
    • Analysts are expecting annual earnings growth of 16.6%, which is higher than its past year's earnings decline of 10.0% per year.
Forecasted Growth
  • Analysts are most optimistic on the IT Consulting industry, expecting annual earnings growth of 17% over the next 5 years.
  • This is better than its past earnings decline of 10% per year.
  • In contrast, the Internet Services and Infrastructure industry is expected to see its earnings grow by 8.6% 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
SCT SoftcatUK£11.832.9%
+UK£64.8m		-28.9%PE16.5x
RCN RedcentricUK£1.203.0%
+UK£5.6m		-3.6%PE68.2x
NARF Narf IndustriesUK£0.0053.1%
+UK£254.6k		42.9%PS2.9x

Latest News

SWC
UK£0.31
Smarter Web
7D
-7.3%
1Y
n/a
SCT
UK£11.83
Softcat
7D
2.9%
1Y
-28.9%

SCT: Buybacks And Rising Dividends Will Support Strong Future Returns

Analysts have slightly adjusted their view on Softcat, trimming the indicative fair value from £17.43 to £17.18 as they update assumptions around revenue growth, profit margins, discount rate and future P/E expectations. What's in the News Softcat recommended an interim ordinary dividend of 9.9 pence per share for H1 FY2026, aligned with its policy of paying one third of the previous year's total ordinary dividend as the interim dividend (Key Developments).
FDM
UK£1.07
FDM Group (Holdings)
7D
-12.9%
1Y
-58.8%
CLBS
UK£1.03
Celebrus Technologies
7D
-14.9%
1Y
-51.5%
CCC
UK£28.28
Computacenter
7D
-4.0%
1Y
9.8%
BKS
UK£1.69
Beeks Financial Cloud Group
7D
-2.6%
1Y
-25.2%
NCC
UK£1.15
NCC Group
7D
-3.4%
1Y
-18.5%
KNOS
UK£7.07
Kainos Group
7D
-5.7%
1Y
-1.8%
MTEC
UK£0.35
Made Tech Group
7D
-5.4%
1Y
35.0%
NARF
UK£0.005
Narf Industries
7D
3.1%
1Y
42.9%
RCN
UK£1.20
Redcentric
7D
3.0%
1Y
-3.6%