Header cover image

U.K. (FTSE) IT Industry Analysis

UpdatedJun 10, 2024
DataAggregated Company Financials
Companies24
  • 7D-0.7%
  • 3M9.1%
  • 1Y9.1%
  • YTD13.8%

Over the last 7 days, the IT industry has remained flat, although notably Computacenter declined by 3.0%. As for the the longer term, the industry is up 9.1% over the past 12 months. Earnings are forecast to grow by 19% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
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
Mon, 06 Mar 2023UK£36.8bUK£22.3bUK£2.1b28.4x17.5x1.6x
Wed, 01 Feb 2023UK£36.6bUK£21.9bUK£1.8b27.8x20.3x1.7x
Fri, 30 Dec 2022UK£35.9bUK£21.8bUK£1.8b27.3x20.2x1.6x
Sun, 27 Nov 2022UK£38.8bUK£21.7bUK£1.8b30.5x21.9x1.8x
Tue, 25 Oct 2022UK£34.2bUK£21.7bUK£1.7b27.2x20.6x1.6x
Thu, 22 Sep 2022UK£34.0bUK£21.5bUK£1.6b28.7x20.6x1.6x
Sat, 20 Aug 2022UK£33.0bUK£20.6bUK£1.6b28.7x20.2x1.6x
Mon, 18 Jul 2022UK£27.6bUK£20.4bUK£1.8b28.7x15.4x1.3x
Wed, 15 Jun 2022UK£19.0bUK£18.1bUK£809.8m35.2x23.4x1x
Fri, 13 May 2022UK£19.5bUK£18.0bUK£789.6m32.7x24.7x1.1x
Sun, 10 Apr 2022UK£25.8bUK£17.9bUK£782.8m35.6x32.9x1.4x
Tue, 08 Mar 2022UK£24.2bUK£17.3bUK£772.9m32.8x31.3x1.4x
Thu, 03 Feb 2022UK£27.7bUK£17.2bUK£770.3m36.8x35.9x1.6x
Sat, 01 Jan 2022UK£30.2bUK£15.5bUK£773.0m41.7x39.1x2x
Mon, 29 Nov 2021UK£29.6bUK£15.4bUK£744.1m42.6x39.7x1.9x
Wed, 27 Oct 2021UK£30.6bUK£15.1bUK£722.2m44.4x42.3x2x
Fri, 24 Sep 2021UK£31.6bUK£13.9bUK£703.0m48.3x45x2.3x
Sun, 22 Aug 2021UK£31.4bUK£13.9bUK£661.1m46.7x47.4x2.3x
Fri, 09 Jul 2021UK£19.0bUK£13.5bUK£630.2m40.4x30.2x1.4x
Price to Earnings Ratio

30.2x


Total Market Cap: UK£19.0bTotal Earnings: UK£630.2mTotal Revenue: UK£13.5bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. IT Industry Price to Earnings3Y Average 37.2x202220232024
Current Industry PE
  • Investors are pessimistic on the British IT 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 30.5x which is lower than its 3-year average PE of 37.2x.
  • The 3-year average PS ratio of 1.8x is higher than the industry's current PS ratio of 1.1x.
Past Earnings Growth
  • The earnings for companies in the IT industry have declined 15% per year over the last three years,
  • Revenues have also declined 8.8% per year.
  • This means overall sales from these companies are declining and profits are subsequently falling as well.

Industry Trends

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

GB Market-0.47%
Tech0.70%
IT-0.72%
IT Consulting-0.63%
Internet Services and Infrastructure-2.44%
Data Processing Services-3.21%
Industry PE
  • Investors are most optimistic about the Internet Services and Infrastructure industry which is trading above its 3-year average PE ratio of 109x.
    • Analysts are expecting annual earnings growth of 103.7%, which is higher than its past year's earnings decline of 10.0% per year.
Forecasted Growth
  • Analysts are most optimistic on the Internet Services and Infrastructure industry, expecting annual earnings growth of 104% over the next 5 years.
  • This is better than its past earnings decline of 10.0% per year.
  • In contrast, the IT Consulting industry is expected to see its earnings grow by 16% 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£17.021.6%
+UK£53.8m		20.4%PE29.9x
KNOS Kainos GroupUK£11.961.7%
+UK£25.2m		-12.1%PE30.9x
NCC NCC GroupUK£1.453.4%
+UK£15.0m		61.9%PS1.4x
GRC GRC International GroupUK£0.07556.3%
+UK£2.9m		-44.4%PS0.5x
NARF Narf IndustriesUK£0.01511.3%
+UK£2.5m		n/aPS6.4x
Simply Wall St™
Simply Wall Street Pty Ltd
Level 7, 320 Pitt Street, Sydney
Download on the App StoreGet it on Google Play
Popular Markets
USAUUKINCAZA
About UsCareersPlansLogin
Help CenterLatest CoveragePodcastsAffiliate ProgramBusiness & Enterprise
Financial Services GuideTerms and ConditionsPrivacy Policy
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.

Latest News

RCN

UK£1.42

Redcentric

7D

-4.2%

1Y

11.2%

ELEG

UK£0.015

Electric Guitar

7D

-18.4%

1Y

-26.2%

CCC

UK£27.42

Computacenter

7D

-3.0%

1Y

17.3%

Is Computacenter plc (LON:CCC) Trading At A 36% Discount?

Jun 08
Is Computacenter plc (LON:CCC) Trading At A 36% Discount?

GRC

UK£0.075

GRC International Group

7D

56.3%

1Y

-44.4%

Market Might Still Lack Some Conviction On GRC International Group plc (LON:GRC) Even After 61% Share Price Boost

Jun 07
Market Might Still Lack Some Conviction On GRC International Group plc (LON:GRC) Even After 61% Share Price Boost

SCT

UK£17.02

Softcat

7D

1.6%

1Y

20.4%

Risks To Shareholder Returns Are Elevated At These Prices For Softcat plc (LON:SCT)

Jun 04
Risks To Shareholder Returns Are Elevated At These Prices For Softcat plc (LON:SCT)

ECK

UK£0.37

Eckoh

7D

1.4%

1Y

-2.6%

FDM

UK£4.05

FDM Group (Holdings)

7D

-9.0%

1Y

-42.1%

KNOS

UK£11.96

Kainos Group

7D

1.7%

1Y

-12.1%

Statutory Profit Doesn't Reflect How Good Kainos Group's (LON:KNOS) Earnings Are

May 27
Statutory Profit Doesn't Reflect How Good Kainos Group's (LON:KNOS) Earnings Are

KWS

UK£21.98

Keywords Studios

7D

-1.7%

1Y

15.0%

SPA

UK£0.71

1Spatial

7D

-0.7%

1Y

46.4%

1Spatial (LON:SPA) Posted Healthy Earnings But There Are Some Other Factors To Be Aware Of

May 02
1Spatial (LON:SPA) Posted Healthy Earnings But There Are Some Other Factors To Be Aware Of

KCT

UK£1.30

Kin and Carta

7D

0.2%

1Y

62.0%

NCC

UK£1.45

NCC Group

7D

3.4%

1Y

61.9%

TRD

UK£2.90

Triad Group

7D

2.8%

1Y

96.6%

There's Reason For Concern Over Triad Group plc's (LON:TRD) Massive 27% Price Jump

Mar 23
There's Reason For Concern Over Triad Group plc's (LON:TRD) Massive 27% Price Jump

BKS

UK£1.72

Beeks Financial Cloud Group

7D

-2.3%

1Y

57.1%

NARF

UK£0.015

Narf Industries

7D

11.3%

1Y

n/a

GST

UK£0.008

GSTechnologies

7D

-5.3%

1Y

-28.4%