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U.K. (FTSE) IT Industry Analysis

UpdatedMar 31, 2026
DataAggregated Company Financials
Companies21
  • 7D-2.2%
  • 3M-13.6%
  • 1Y-7.8%
  • YTD-11.4%

Over the last 7 days, the IT industry has dropped 2.2%, driven by a pullback from Softcat of 3.1%. In contrast, iomart Group has gained 6.4%. The industry has fallen 7.8% in the last year. As for the next few years, earnings are expected to grow by 17% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 01 Apr 2026UK£7.3bUK£12.3bUK£259.5m26.2x28.2x0.6x
Fri, 27 Feb 2026UK£7.8bUK£10.7bUK£268.9m28.5x29.1x0.7x
Sun, 25 Jan 2026UK£8.7bUK£10.7bUK£267.3m23.9x32.6x0.8x
Tue, 23 Dec 2025UK£8.4bUK£10.7bUK£267.3m23x31.5x0.8x
Thu, 20 Nov 2025UK£8.2bUK£10.8bUK£267.3m24.2x30.8x0.8x
Sat, 18 Oct 2025UK£8.2bUK£10.4bUK£266.2m27.1x31x0.8x
Mon, 15 Sep 2025UK£8.0bUK£10.4bUK£260.3m25.5x30.6x0.8x
Wed, 13 Aug 2025UK£7.6bUK£9.5bUK£272.7m23.4x28x0.8x
Fri, 11 Jul 2025UK£8.0bUK£9.5bUK£328.4m24.6x24.2x0.8x
Sun, 08 Jun 2025UK£8.7bUK£9.5bUK£311.1m25.5x27.9x0.9x
Tue, 06 May 2025UK£8.4bUK£9.6bUK£330.5m19.2x25.3x0.9x
Thu, 03 Apr 2025UK£8.0bUK£9.6bUK£330.5m19.1x24.3x0.8x
Sat, 01 Mar 2025UK£7.7bUK£9.0bUK£333.3m23.8x23x0.9x
Mon, 27 Jan 2025UK£7.9bUK£9.0bUK£332.1m24.2x23.6x0.9x
Wed, 25 Dec 2024UK£8.1bUK£9.0bUK£337.2m25.9x24x0.9x
Fri, 22 Nov 2024UK£8.4bUK£9.0bUK£331.5m28.2x25.3x0.9x
Sun, 20 Oct 2024UK£10.6bUK£9.7bUK£294.5m24.3x36x1.1x
Tue, 17 Sep 2024UK£10.6bUK£9.7bUK£333.5m26x31.9x1.1x
Thu, 15 Aug 2024UK£11.3bUK£10.1bUK£361.1m27.4x31.2x1.1x
Sat, 13 Jul 2024UK£11.6bUK£10.2bUK£385.5m27.3x30.2x1.1x
Mon, 10 Jun 2024UK£11.6bUK£10.2bUK£380.5m29.1x30.5x1.1x
Wed, 08 May 2024UK£10.1bUK£10.2bUK£374.7m28.7x27x1x
Fri, 05 Apr 2024UK£10.4bUK£10.4bUK£355.2m28.4x29.3x1x
Sun, 03 Mar 2024UK£10.8bUK£10.8bUK£359.5m25.7x30x1x
Tue, 30 Jan 2024UK£11.1bUK£12.8bUK£367.1m25.5x30.1x0.9x
Thu, 28 Dec 2023UK£11.0bUK£12.8bUK£376.7m24.3x29.1x0.9x
Sat, 25 Nov 2023UK£10.4bUK£13.4bUK£388.8m26.7x26.9x0.8x
Mon, 23 Oct 2023UK£10.6bUK£13.4bUK£371.7m25.9x28.5x0.8x
Wed, 20 Sep 2023UK£11.1bUK£13.4bUK£389.1m27.1x28.4x0.8x
Fri, 18 Aug 2023UK£10.6bUK£12.5bUK£407.0m26.4x26.2x0.8x
Sun, 16 Jul 2023UK£11.1bUK£12.5bUK£400.3m26.9x27.8x0.9x
Tue, 13 Jun 2023UK£11.4bUK£12.5bUK£424.2m26.3x26.9x0.9x
Thu, 11 May 2023UK£11.5bUK£12.4bUK£421.9m26.7x27.2x0.9x
Sat, 08 Apr 2023UK£11.5bUK£12.4bUK£422.4m27x27.2x0.9x
Price to Earnings Ratio

27.2x


Total Market Cap: UK£11.5bTotal Earnings: UK£422.4mTotal Revenue: UK£12.4bTotal 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 15% 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 Market2.04%
Tech-1.01%
IT-2.19%
Data Processing Services0%0
IT Consulting-2.07%
Internet Services and Infrastructure-4.66%
Industry PE
  • Investors are most optimistic about the IT Consulting industry even though it's trading below its 3-year average PE ratio of 25.5x.
    • Analysts are expecting annual earnings growth of 17.3%, 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 7.6% 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
CCC ComputacenterUK£29.905.7%
+UK£169.9m		20.5%PE20.4x
SCT SoftcatUK£12.152.7%
+UK£62.8m		-24.8%PE16.9x
KNOS Kainos GroupUK£7.303.3%
+UK£25.1m		9.1%PE27.8x
NCC NCC GroupUK£1.160.3%
+UK£1.5m		-17.5%PS1.4x
TPX TPXimpact HoldingsUK£0.323.2%
+UK£935.0k		48.8%PS0.4x

Latest News

TIA
UK£0.32
Tialis Essential IT
7D
-19.2%
1Y
-44.2%
GST
UK£0.0022
GSTechnologies
7D
-37.7%
1Y
-85.1%
SCT
UK£12.15
Softcat
7D
2.7%
1Y
-24.8%

We Think Softcat's (LON:SCT) Solid Earnings Are Understated

Mar 26
We Think Softcat's (LON:SCT) Solid Earnings Are Understated
CLBS
UK£0.91
Celebrus Technologies
7D
-11.7%
1Y
-54.3%
SWC
UK£0.27
Smarter Web
7D
-12.1%
1Y
n/a
FDM
UK£1.00
FDM Group (Holdings)
7D
-6.9%
1Y
-60.7%
CCC
UK£29.90
Computacenter
7D
5.7%
1Y
20.5%
BKS
UK£1.55
Beeks Financial Cloud Group
7D
-8.6%
1Y
-27.8%
NCC
UK£1.16
NCC Group
7D
0.3%
1Y
-17.5%
KNOS
UK£7.30
Kainos Group
7D
3.3%
1Y
9.1%
CLCO
UK£0.0021
CloudCoCo Group
7D
17.1%
1Y
115.8%
TPX
UK£0.32
TPXimpact Holdings
7D
3.2%
1Y
48.8%
ING
UK£0.89
Ingenta
7D
4.7%
1Y
74.5%
NARF
UK£0.0043
Narf Industries
7D
-15.0%
1Y
30.8%
RCN
UK£1.14
Redcentric
7D
-4.6%
1Y
-8.2%
SPA
UK£0.72
1Spatial
7D
0.7%
1Y
32.1%

SPA: Upcoming Acquisition Deal Will Likely Unlock Stronger Margin Expansion Potential

Analysts have raised their price target on 1Spatial from £0.75 to £0.95, citing expectations of stronger profit margins and a more attractive future earnings multiple, despite slightly slower projected revenue growth. What's in the News VertiGIS Ltd.