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U.K. (FTSE) Telecom Sector Analysis

UpdatedNov 28, 2021
DataAggregated Company Financials
Companies79
  • 7D-3.7%
  • 3M-6.2%
  • 1Y12.1%
  • YTD6.7%

Over the last 7 days, the Telecom industry has dropped 3.7%, driven by a pullback from Vodafone Group of 5.7%. Meanwhile, Future actually outperformed within the industry, gaining 7.1% in the last week. This takes the industry's 12 month performance to a gain of 12%.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPE
Wed, 01 Dec 2021UK£124.8bUK£92.6bUK£1.8b35.4x
Fri, 29 Oct 2021UK£125.2bUK£91.6bUK£1.9b38.9x
Sun, 26 Sep 2021UK£130.9bUK£92.0bUK£1.9b35.6x
Tue, 24 Aug 2021UK£134.9bUK£91.6bUK£1.9b35.6x
Wed, 30 Jun 2021UK£133.3bUK£91.5bUK£1.9b34.6x
Sat, 03 Apr 2021UK£125.6bUK£90.8bUK£124.2m33.9x
Tue, 05 Jan 2021UK£113.8bUK£92.7b-UK£1,169,796,755.8935.6x
Fri, 09 Oct 2020UK£93.7bUK£94.9bUK£728.6m27.9x
Thu, 02 Jul 2020UK£99.3bUK£98.5b-UK£1,121,345,002.3428.2x
Sun, 05 Apr 2020UK£87.5bUK£99.9bUK£612.9m19.1x
Wed, 08 Jan 2020UK£132.5bUK£99.7bUK£3.7b22.7x
Tue, 01 Oct 2019UK£128.2bUK£99.5bUK£3.0b25.6x
Fri, 05 Jul 2019UK£122.3bUK£99.2bUK£2.1b21.2x
Mon, 08 Apr 2019UK£122.9bUK£95.1bUK£1.3b20.7x
Thu, 10 Jan 2019UK£123.6bUK£97.7bUK£2.7b18.6x
PE Ratio

21x

Total Market Cap: UK£129.0bTotal Earnings: UK£4.7bTotal Revenue: UK£99.2b0%0%0%3 Year10 Year
201920202021

Current Industry PE: Investors are more optimistic on the industry, considering it's trading at a PE ratio of 35.6x which is higher than its 3-year average PE of 27.0x. It appears they are confident that earnings will grow faster in the future than they have historically.

Past Earnings Growth: The earnings for companies in the Communication Services industry have declined 27% per year over the last three years, and revenues have also declined 2.2% 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. Telecom sector?

Entertainment-0.43%
Telecom Services and Carriers-0.84%
Interactive Media and Services-1.92%
Media-4.23%
Wireless Telecom-5.59%

Industry PE: Investors are most optimistic about the Interactive Media and Services industry which is trading above its 3-year average PE ratio of 33.0x. This is likely because analysts are expecting annual earnings growth of 33%, which is higher than its past year's earnings growth of 19% per year. Meanwhile, investors are most pessimistic about the Wireless Telecom industry, which is trading below its 3-year average of 58.2x.

Forecasted Growth: Analysts are most optimistic on the Interactive Media and Services industry, expecting annual earnings growth of 33% over the next 5 years. This is better than it's past earnings growth rate of 19% per year. Meanwhile, the Telecom Services and Carriers 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?

Company7D1YValuation
FUTR Future7.1%+UK£285.1m99.1%PE65.3x
AUTO Auto Trader Group0.6%+UK£38.1m28.8%PE35.6x
TM17 Team17 Group3.1%+UK£25.9m-18.3%PE38.6x
YOU YouGov1.0%+UK£16.7m65.4%PE145.4x
FDEV Frontier Developments1.4%+UK£9.4m-29.3%PE32.2x
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Latest News

YOU

UK£15.05

YouGov

7D

1.0%

1Y

65.4%

INF

UK£4.67

Informa

7D

-8.2%

1Y

-15.0%

PSON

UK£5.93

Pearson

7D

-5.0%

1Y

-10.8%

WPP

UK£10.42

WPP

7D

-5.7%

1Y

38.4%