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U.K. (FTSE) Telecom Sector Analysis

UpdatedFeb 15, 2026
DataAggregated Company Financials
Companies59
  • 7D0.6%
  • 3M7.6%
  • 1Y20.4%
  • YTD3.9%

Last week, the Telecom industry hasn't moved much but Vodafone Group is up 3.2% in that time. As for the the longer term, the industry is up 20% over the past 12 months. Looking forward, earnings are forecast to grow by 30% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 16 Feb 2026UK£106.0bUK£97.0b-UK£1,358,668,789.8516x-78x1.1x
Wed, 14 Jan 2026UK£103.6bUK£96.7b-UK£1,373,390,781.5116.3x-75.5x1.1x
Fri, 12 Dec 2025UK£99.7bUK£97.2b-UK£1,417,974,934.5617x-70.3x1x
Sun, 09 Nov 2025UK£99.1bUK£95.8b-UK£1,462,700,155.2317.2x-67.7x1x
Tue, 07 Oct 2025UK£100.2bUK£95.3b-UK£1,454,655,131.4516.3x-68.8x1.1x
Thu, 04 Sep 2025UK£100.4bUK£95.3b-UK£1,400,806,402.9116.2x-71.7x1.1x
Sat, 02 Aug 2025UK£99.4bUK£96.3b-UK£1,245,535,942.7416.5x-79.8x1x
Mon, 30 Jun 2025UK£95.0bUK£93.0b-UK£619,126,265.9316.4x-153.5x1x
Wed, 28 May 2025UK£94.1bUK£92.5b-UK£566,757,164.7516x-166x1x
Fri, 25 Apr 2025UK£87.8bUK£92.9bUK£4.6b16.7x19.3x0.9x
Sun, 23 Mar 2025UK£90.6bUK£92.5bUK£4.8b14.3x19x1x
Tue, 18 Feb 2025UK£91.2bUK£87.3bUK£4.6b19.2x19.8x1x
Thu, 16 Jan 2025UK£86.5bUK£87.9bUK£4.5b16.8x19.2x1x
Sat, 14 Dec 2024UK£87.9bUK£87.3bUK£4.4b19.3x19.8x1x
Mon, 11 Nov 2024UK£85.2bUK£86.8bUK£3.5b18x24.6x1x
Wed, 09 Oct 2024UK£88.5bUK£87.2bUK£3.7b20.6x23.9x1x
Fri, 06 Sep 2024UK£90.7bUK£87.4bUK£3.6b20.2x25.2x1x
Sun, 04 Aug 2024UK£87.5bUK£87.8bUK£3.5b22.2x25x1x
Tue, 02 Jul 2024UK£86.3bUK£87.8bUK£3.2b18.7x27.2x1x
Thu, 30 May 2024UK£87.0bUK£87.7bUK£3.1b21x27.8x1x
Sat, 27 Apr 2024UK£81.5bUK£95.0bUK£12.4b19.2x6.6x0.9x
Mon, 25 Mar 2024UK£82.3bUK£95.1bUK£12.4b20.9x6.6x0.9x
Wed, 21 Feb 2024UK£80.8bUK£95.1bUK£12.7b20.4x6.4x0.9x
Fri, 19 Jan 2024UK£83.1bUK£97.1bUK£12.8b17.2x6.5x0.9x
Sun, 17 Dec 2023UK£84.0bUK£97.3bUK£12.9b17.2x6.5x0.9x
Tue, 14 Nov 2023UK£83.3bUK£98.3bUK£14.2b17.9x5.9x0.8x
Thu, 12 Oct 2023UK£84.5bUK£97.8bUK£14.1b17.4x6x0.9x
Sat, 09 Sep 2023UK£82.1bUK£97.3bUK£14.0b17.9x5.9x0.8x
Mon, 07 Aug 2023UK£84.5bUK£97.2bUK£13.7b19.9x6.2x0.9x
Wed, 05 Jul 2023UK£84.3bUK£95.9bUK£13.9b21.2x6.1x0.9x
Fri, 02 Jun 2023UK£87.9bUK£96.1bUK£13.9b20.8x6.3x0.9x
Sun, 30 Apr 2023UK£97.3bUK£97.2bUK£5.4b22.2x18.1x1x
Tue, 28 Mar 2023UK£91.5bUK£97.0bUK£5.4b19.5x16.9x0.9x
Thu, 23 Feb 2023UK£97.8bUK£96.4bUK£5.6b16.9x17.5x1x
Price to Earnings Ratio

17.5x


Total Market Cap: UK£97.8bTotal Earnings: UK£5.6bTotal Revenue: UK£96.4bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Telecom Sector Price to Earnings3Y Average -11.3x202420252026
Current Industry PE
  • Investors are optimistic on the British Communication Services industry, and appear confident in long term growth rates.
  • The 3-year average PS ratio of 0.96x is lower than the industry's current PS ratio of 1.1x.
Past Earnings Growth
  • Total earnings for the Communication Services industry have declined over the last three years, with the industry now making a loss overall.
  • 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. Telecom sector?

GB Market0.93%
Telecom0.55%
Wireless Telecom2.39%
Telecom Services and Carriers1.88%
Entertainment-1.09%
Media-1.57%
Interactive Media and Services-5.57%
Industry PE
  • Investors are most optimistic about the Media industry which is trading above its 3-year average PE ratio of 31.9x.
    • Analysts are expecting annual earnings growth of 26.6%, which is higher than its past year's earnings decline of 13.7% per year.
Forecasted Growth
  • Analysts are most optimistic on the Wireless Telecom industry, expecting annual earnings growth of 41% over the next 5 years.
  • In contrast, the Interactive Media and Services industry is expected to see its earnings grow by 11% 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
BT.A BT GroupUK£2.104.4%
+UK£871.4m		38.8%PE21.7x
VOD Vodafone GroupUK£1.140.7%
+UK£107.0m		74.5%PS0.8x
HTWS Helios TowersUK£1.915.0%
+UK£94.6m		103.8%PE32.1x
AAF Airtel AfricaUK£3.300.6%
+UK£71.6m		126.4%PE30.6x
WPP WPPUK£2.731.7%
+UK£49.4m		-64.8%PE7.7x

Latest News

ZEG
UK£16.30
Zegona Communications
7D
2.2%
1Y
186.0%

Estimating The Fair Value Of Zegona Communications plc (LON:ZEG)

Feb 12
Estimating The Fair Value Of Zegona Communications plc (LON:ZEG)
BT.A
UK£2.10
BT Group
7D
1.8%
1Y
38.9%
NFG
UK£2.99
Next 15 Group
7D
6.4%
1Y
-11.5%

NFG: Analyst Day Insights Will Support Earnings Quality Reappraisal

Analysts have reduced their price target for Next 15 Group to £5.10 from £5.80, reflecting a lower fair value estimate based on updated assumptions for revenue, profit margins and a slightly higher future P/E multiple. What's in the News Next 15 Group held an Analyst/Investor Day, giving the market a fresh look at management's priorities and medium term focus areas (Key Developments).
AUTO
UK£4.59
Autotrader Group
7D
-5.5%
1Y
-41.2%

AUTO: Street Downgrades Will Set Up A Repricing Opportunity

The updated analyst price target for Auto Trader Group shows a modest reset, with fair value edging from £10.40 to about £10.05 as analysts factor in slightly lower revenue growth assumptions, a higher discount rate, and recent Street target cuts, while forecast profit margins and future P/E expectations remain broadly supportive. Analyst Commentary Recent Street research on Auto Trader Group has shifted toward a more cautious stance overall, with several firms trimming price targets and, in some cases, downgrading their recommendations.
RCH
UK£0.71
Reach
7D
12.1%
1Y
-12.8%

RCH: Future Profit Margins Will Support A More Optimistic Outlook

Analysts have nudged their price target on Reach slightly higher to £2.00, reflecting small refinements to the discount rate, revenue growth expectations, profit margin assumptions, and forward P/E that leave their overall valuation view essentially unchanged. Valuation Changes Fair Value: Kept unchanged at £2.00 per share, indicating no shift in the overall target valuation figure.
FUTR
UK£4.10
Future
7D
-12.7%
1Y
-57.5%

FUTR: Dividend Outlook And Modest Revenue Guidance Will Support Upside Potential

The analyst price target for Future has been adjusted from £18.75 to about £17.16, as analysts factor in updated assumptions on revenue growth, profit margins, the discount rate, and the expected future P/E multiple. What's in the News Future is guiding for fiscal year 2026 with expectations of modest organic revenue growth in line with current consensus, and medium term targets for sustainable revenue growth of 2% to 4% (company guidance).
INF
UK£8.28
Informa
7D
-1.1%
1Y
-7.5%

INF: Future Returns Will Be Driven By Buybacks And Modestly Repriced Earnings Risk

Analysts have made only a slight upward adjustment to their price expectations for Informa, with the latest fair value estimate moving to £10.84. This reflects a blend of modestly updated profit margin and discount rate assumptions, alongside mixed recent price target changes from Morgan Stanley, JPMorgan and Citi.
AAF
UK£3.30
Airtel Africa
7D
0.6%
1Y
126.4%
WPP
UK£2.73
WPP
7D
1.9%
1Y
-64.7%

WPP: AI Uncertainty And Prolonged Turnaround Will Reshape Balance Sheet And Deal Prospects

Narrative Update: WPP Analysts have reset their price targets on WPP to £3.65. This reflects a more cautious stance as they weigh ongoing AI related uncertainty, recent target cuts and views that the company still faces a prolonged turnaround and balance sheet challenges.
RMV
UK£4.30
Rightmove
7D
-4.0%
1Y
-36.0%

RMV: Artificial Intelligence Execution Will Support Long Term Returns Despite Competitive Pressure

Narrative Update on Rightmove Our analyst price target for Rightmove has been reduced from £6.57 to £6.23. This reflects recent cuts to Street targets in the £5.00 to £5.85 range, as analysts factor in higher discount rates, slightly different growth assumptions and the view that increased competition and investment in artificial intelligence may weigh on nearer term returns.
ITV
UK£0.81
ITV
7D
-3.8%
1Y
5.2%

ITV: Comcast Talks Will Tighten Risk Around Core Broadcasting Cash Flows

Analysts have trimmed their price target on ITV to £1.05 from £1.12, citing updated assumptions on the discount rate, revenue growth, profit margin and future P/E that feed into a more cautious balance between risk and return for the shares. Analyst Commentary JPMorgan has cut its price target on ITV to £1.05 from £1.12 while keeping an Overweight rating.
VOD
UK£1.14
Vodafone Group
7D
3.2%
1Y
71.6%

VOD: Elevated Cash Flow And Dividend Hopes Will Likely Disappoint

Analysts have raised their price target on Vodafone Group, with the updated fair value implying a modest uplift. This view is supported by expectations for sustainable free cash flow, dividend growth, and what they see as greater capacity for value creation following recent research upgrades that cited an increasingly robust balance sheet.
TRST
UK£1.37
Trustpilot Group
7D
-12.3%
1Y
-60.2%

TRST: Higher Guidance And Buybacks Will Support Rerating Potential

Analysts have lifted their price target on Trustpilot Group to £2.20, citing updated assumptions around fair value, discount rate, revenue growth, profit margin and future P/E, and reflecting recent research upgrades. Analyst Commentary Recent research points to a more neutral stance on Trustpilot Group, with the latest price target set at £2.20.
HTWS
UK£1.91
Helios Towers
7D
5.0%
1Y
103.8%

HTWS: Higher P/E Assumptions And Buybacks Will Support Future Upside

Analysts have nudged their fair value estimate for Helios Towers slightly higher to reflect updated price targets. This includes recent moves to around £2.15 per share, supported by modestly adjusted assumptions for discount rate, revenue growth, profit margin and future P/E.
CAN
UK£3.00
Canal+
7D
-4.5%
1Y
57.2%
MONY
UK£1.47
MONY Group
7D
-11.8%
1Y
-22.5%

MONY: Future Performance Will Reflect Stable Assumptions And Steady Profitability Adjustments

Analysts have trimmed their price target on MONY Group slightly, reflecting updated assumptions around discount rates, revenue growth, profit margins and future P/E, which result in a marginally lower implied valuation in currency terms. Valuation Changes Fair Value: Unchanged at 1.73, indicating no adjustment to the central valuation estimate.