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U.K. (FTSE) Software Industry Analysis

UpdatedFeb 09, 2026
DataAggregated Company Financials
Companies50
  • 7D-10.2%
  • 3M-18.2%
  • 1Y-29.1%
  • YTD-12.3%

Over the last 7 days, the Software industry has dropped 10%, driven by a pullback from Sage Group of 12%. On the other hand ZOO Digital Group is actually up 68%. The industry has fallen 29% in the last year. Looking forward, earnings are forecast to grow by 17% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 09 Feb 2026UK£13.3bUK£4.5bUK£429.8m31.8x30.9x3x
Wed, 07 Jan 2026UK£15.5bUK£4.5bUK£433.5m32.8x35.7x3.5x
Fri, 05 Dec 2025UK£15.5bUK£4.5bUK£421.6m33.3x36.9x3.5x
Sun, 02 Nov 2025UK£16.6bUK£4.4bUK£435.5m31.1x38x3.8x
Tue, 30 Sep 2025UK£16.0bUK£4.4bUK£440.7m30.7x36.3x3.7x
Thu, 28 Aug 2025UK£16.1bUK£4.4bUK£437.4m37.3x36.7x3.7x
Sat, 26 Jul 2025UK£17.7bUK£4.4bUK£424.4m35.1x41.8x4x
Mon, 23 Jun 2025UK£18.8bUK£4.7bUK£401.5m36.5x46.7x4x
Wed, 21 May 2025UK£18.7bUK£4.9bUK£400.5m33.3x46.6x3.9x
Fri, 18 Apr 2025UK£17.4bUK£4.8bUK£373.2m26.9x46.5x3.6x
Sun, 16 Mar 2025UK£17.9bUK£4.8bUK£312.9m30.1x57.3x3.8x
Tue, 11 Feb 2025UK£19.8bUK£4.8bUK£306.2m32.6x64.8x4.1x
Thu, 09 Jan 2025UK£19.7bUK£4.8bUK£304.9m31.3x64.7x4.1x
Sat, 07 Dec 2024UK£20.1bUK£4.8bUK£320.5m36x62.8x4.2x
Mon, 04 Nov 2024UK£16.7bUK£4.7bUK£207.3m35.6x80.6x3.6x
Wed, 02 Oct 2024UK£16.6bUK£4.7bUK£202.2m32.2x82.2x3.6x
Fri, 30 Aug 2024UK£21.1bUK£5.2bUK£267.4m38.4x78.8x4.1x
Sun, 28 Jul 2024UK£21.8bUK£5.3bUK£256.0m40.6x85.2x4.2x
Tue, 25 Jun 2024UK£21.8bUK£5.3bUK£266.9m40.3x81.8x4.1x
Thu, 23 May 2024UK£21.9bUK£5.3bUK£161.9m38.2x135.5x4.2x
Sat, 20 Apr 2024UK£20.7bUK£5.2bUK£91.3m37.9x226.7x4x
Mon, 18 Mar 2024UK£21.7bUK£5.2bUK£69.4m35.9x313.4x4.2x
Wed, 14 Feb 2024UK£20.8bUK£5.2bUK£65.8m37.1x316.6x4x
Fri, 12 Jan 2024UK£42.3bUK£10.1bUK£71.1m37x594x4.2x
Sun, 10 Dec 2023UK£42.1bUK£10.2bUK£72.1m33.1x584.2x4.1x
Tue, 07 Nov 2023UK£39.4bUK£10.1bUK£125.9m32.7x313.3x3.9x
Thu, 05 Oct 2023UK£40.2bUK£10.1bUK£128.6m33.7x313.1x4x
Sat, 02 Sep 2023UK£40.1bUK£10.0bUK£102.2m34x392.8x4x
Mon, 31 Jul 2023UK£40.7bUK£10.6bUK£124.7m34.3x326.7x3.9x
Wed, 28 Jun 2023UK£40.8bUK£10.6bUK£126.7m36x321.8x3.9x
Fri, 26 May 2023UK£40.2bUK£10.6bUK£50.0m35.2x803.6x3.8x
Sun, 23 Apr 2023UK£39.8bUK£10.6bUK£292.8m37.6x135.9x3.8x
Tue, 21 Mar 2023UK£39.0bUK£10.4bUK£299.7m31.6x130x3.7x
Thu, 16 Feb 2023UK£39.5bUK£10.3bUK£296.7m34.7x133.3x3.8x
Price to Earnings Ratio

133.3x


Total Market Cap: UK£39.5bTotal Earnings: UK£296.7mTotal Revenue: UK£10.3bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Software Industry Price to Earnings3Y Average 179.4x202420252026
Current Industry PE
  • Investors are pessimistic on the British Software 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 30.9x which is lower than its 3-year average PE of 179x.
  • The 3-year average PS ratio of 3.9x is higher than the industry's current PS ratio of 3.0x.
Past Earnings Growth
  • The earnings for companies in the Software industry have grown 13% per year over the last three years.
  • Meanwhile revenues for these companies have declined 24% per year.
  • This means that less sales are being generated overall, but since cost of doing business is lower, profits have been increasing.

Industry Trends

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

GB Market0.18%
Tech-6.06%
Software-10.19%
Systems Software1.31%
Application Software-10.27%
Industry PE
  • Investors are most optimistic about the Application Software industry even though it's trading below its 3-year average PE ratio of 97.7x.
    • Analysts are expecting annual earnings growth of 16.9%, which is higher than its past year's earnings growth of 7.7% per year.
Forecasted Growth
  • Analysts are most optimistic on the Systems Software industry, expecting annual earnings growth of 62% over the next 5 years.
  • In contrast, the Application Software industry is expected to see its earnings grow by 17% 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
ZOO ZOO Digital GroupUK£0.1549.4%
+UK£5.0m		-44.6%PS0.5x
IGP Intercede GroupUK£1.223.8%
+UK£2.7m		-33.2%PE20.2x
CNS Corero Network SecurityUK£0.134.0%
+UK£2.6m		-24.6%PS3.9x
OMG Oxford MetricsUK£0.593.5%
+UK£2.3m		10.5%PS1.5x
SYME Supply@ME CapitalUK£0.00005127.3%
+UK£2.0m		177.8%PS20.3x

Latest News

DSG
UK£0.10
Dillistone Group
7D
20.6%
1Y
32.3%
OMG
UK£0.59
Oxford Metrics
7D
3.5%
1Y
10.5%
TAP
UK£0.017
Tap Global Group
7D
10.0%
1Y
-50.0%
SGE
UK£8.44
Sage Group
7D
-12.6%
1Y
-36.1%
PINE
UK£4.47
Pinewood Technologies Group
7D
-6.3%
1Y
35.5%
ZOO
UK£0.15
ZOO Digital Group
7D
49.4%
1Y
-44.6%
CNS
UK£0.13
Corero Network Security
7D
4.0%
1Y
-24.6%
ALFA
UK£1.96
Alfa Financial Software Holdings
7D
-9.8%
1Y
-15.8%
CER
UK£16.00
Cerillion
7D
-6.4%
1Y
-6.7%

Cerillion Plc's (LON:CER) 26% Share Price Surge Not Quite Adding Up

Jan 20
Cerillion Plc's (LON:CER) 26% Share Price Surge Not Quite Adding Up
ADVT
UK£1.65
AdvancedAdvT
7D
-9.6%
1Y
10.0%
IGP
UK£1.22
Intercede Group
7D
3.8%
1Y
-33.2%
DOTD
UK£0.66
dotdigital Group
7D
-10.6%
1Y
-21.9%
GBG
UK£2.18
GB Group
7D
-9.5%
1Y
-39.8%
IDOX
UK£0.71
IDOX
7D
0.3%
1Y
16.8%
SYME
UK£0.00005
Supply@ME Capital
7D
127.3%
1Y
177.8%
BYIT
UK£2.96
Bytes Technology Group
7D
-12.7%
1Y
-37.4%