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U.K. (FTSE) Utilities Sector Analysis

UpdatedJan 22, 2026
DataAggregated Company Financials
Companies11
  • 7D1.9%
  • 3M7.0%
  • 1Y28.0%
  • YTD3.2%

Over the last 7 days, the Utilities industry has risen 1.9%, driven by gains from National Grid of 2.0%. This means that the industry has gained 28% over the past year. Looking forward, earnings are forecast to grow by 14% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 22 Jan 2026UK£119.4bUK£61.8bUK£4.8b20.6x24.6x1.9x
Sat, 20 Dec 2025UK£113.8bUK£62.0bUK£4.8b18.1x23.5x1.8x
Mon, 17 Nov 2025UK£115.6bUK£61.6bUK£4.7b18x24.7x1.9x
Wed, 15 Oct 2025UK£105.4bUK£62.1bUK£4.7b16.7x22.2x1.7x
Fri, 12 Sep 2025UK£98.8bUK£62.1bUK£4.7b18.2x20.9x1.6x
Sun, 10 Aug 2025UK£102.1bUK£62.1bUK£4.7b16.7x21.6x1.6x
Tue, 08 Jul 2025UK£101.1bUK£63.0bUK£6.4b14.6x15.7x1.6x
Thu, 05 Jun 2025UK£100.6bUK£63.0bUK£6.4b14.4x15.6x1.6x
Sat, 03 May 2025UK£100.9bUK£63.8bUK£5.9b10.5x17.1x1.6x
Mon, 31 Mar 2025UK£95.0bUK£63.9bUK£5.9b11.5x16.1x1.5x
Wed, 26 Feb 2025UK£91.5bUK£65.1bUK£6.0b10.1x15.2x1.4x
Fri, 24 Jan 2025UK£91.4bUK£65.7bUK£5.8b10.3x15.8x1.4x
Sun, 22 Dec 2024UK£89.9bUK£65.7bUK£5.8b10.4x15.5x1.4x
Tue, 19 Nov 2024UK£94.2bUK£65.7bUK£5.7b10.8x16.4x1.4x
Thu, 17 Oct 2024UK£99.9bUK£66.5bUK£6.1b12.1x16.5x1.5x
Sat, 14 Sep 2024UK£100.1bUK£66.4bUK£6.1b12.6x16.5x1.5x
Mon, 12 Aug 2024UK£94.8bUK£66.4bUK£6.1b12.2x15.7x1.4x
Wed, 10 Jul 2024UK£92.2bUK£73.1bUK£8.8b13.1x10.5x1.3x
Fri, 07 Jun 2024UK£78.4bUK£73.8bUK£8.6b12.1x9.1x1.1x
Sun, 05 May 2024UK£86.1bUK£75.7bUK£7.8b13.8x11x1.1x
Tue, 02 Apr 2024UK£84.3bUK£75.7bUK£7.8b13.6x10.8x1.1x
Thu, 29 Feb 2024UK£82.1bUK£75.8bUK£7.4b13.6x11.1x1.1x
Sat, 27 Jan 2024UK£86.8bUK£81.4bUK£7.8b12x11.1x1.1x
Mon, 25 Dec 2023UK£89.3bUK£81.4bUK£7.8b11.4x11.4x1.1x
Wed, 22 Nov 2023UK£88.0bUK£80.9bUK£7.9b13.6x11.2x1.1x
Fri, 20 Oct 2023UK£82.8bUK£82.7bUK£7.5b12.8x11x1x
Sun, 17 Sep 2023UK£85.0bUK£82.5bUK£7.5b13.3x11.3x1x
Tue, 15 Aug 2023UK£81.4bUK£82.5bUK£7.5b13x10.9x1x
Thu, 13 Jul 2023UK£83.4bUK£75.8bUK£2.4b19.5x35x1.1x
Sat, 10 Jun 2023UK£87.0bUK£74.5bUK£2.3b22.4x37.4x1.2x
Mon, 08 May 2023UK£92.1bUK£71.9bUK£4.1b18.3x22.3x1.3x
Wed, 05 Apr 2023UK£88.3bUK£71.9bUK£4.1b18x21.4x1.2x
Fri, 03 Mar 2023UK£84.1bUK£71.8bUK£4.1b18x20.4x1.2x
Sun, 29 Jan 2023UK£85.5bUK£64.9bUK£4.0b14.3x21.3x1.3x
Price to Earnings Ratio

21.3x


Total Market Cap: UK£85.5bTotal Earnings: UK£4.0bTotal Revenue: UK£64.9bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Utilities Sector Price to Earnings3Y Average 17.1x202420252026
Current Industry PE
  • Investors are optimistic on the British Utilities industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 24.6x which is higher than its 3-year average PE of 17.1x.
  • The 3-year average PS ratio of 1.3x is lower than the industry's current PS ratio of 1.9x.
Past Earnings Growth
  • The earnings for companies in the Utilities industry have grown 6.5% per year over the last three years, while revenues have remained mostly flat.
  • This means that companies overall are more efficiently conducting business since profits are increasing while sales have been flat.

Industry Trends

Which industries have driven the changes within the U.K. Utilities sector?

GB Market-0.048%
Utilities1.93%
Other Utilities2.16%
Water Utilities1.99%
Electric Utilities1.68%
Gas Utilities0%0
Renewable Energy-0.93%
Industry PE
  • Investors are most optimistic about the Electric Utilities industry which is trading above its 3-year average PE ratio.
    • Analysts are expecting annual earnings growth of 19.6%, which is higher than its past year's earnings decline of 26.4% per year.
  • Investors are most pessimistic about the Renewable Energy industry, which is trading below its 3-year average of 8.9x.
Forecasted Growth
  • Analysts are most optimistic on the Electric Utilities industry, expecting annual earnings growth of 20% over the next 5 years.
  • This is better than its past earnings decline of 26% per year.
  • In contrast, the Renewable Energy industry is expected to see its earnings decline 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
NG. National GridUK£11.912.0%
+UK£1.2b		23.6%PE20.6x
SSE SSEUK£23.341.7%
+UK£468.2m		47.7%PE29.2x
CNA CentricaUK£1.833.9%
+UK£311.9m		36.0%PS0.4x
SVT Severn TrentUK£28.562.8%
+UK£231.8m		15.5%PE27.3x
UU. United Utilities GroupUK£12.111.0%
+UK£85.2m		24.5%PE20.6x

Latest News

PNN
UK£5.46
Pennon Group
7D
2.4%
1Y
5.3%

Pennon Group (LON:PNN) Is Experiencing Growth In Returns On Capital

Jan 22
Pennon Group (LON:PNN) Is Experiencing Growth In Returns On Capital
SVT
UK£28.56
Severn Trent
7D
2.8%
1Y
15.5%

SVT: Dividend Policy And CEO Transition Will Guide Balanced Return Outlook

Analysts have nudged their fair value estimate for Severn Trent higher, with the updated price target moving from £29.30 to about £29.60. This reflects small adjustments to long term growth, profit margin and P/E assumptions informed by recent Street research, including Citi’s latest target cut to £28.49.
UU.
UK£12.11
United Utilities Group
7D
1.0%
1Y
24.5%
YU.
UK£16.53
Yü Group
7D
2.0%
1Y
4.6%
NG.
UK£11.91
National Grid
7D
2.0%
1Y
23.6%

Is National Grid (LON:NG.) A Risky Investment?

Jan 20
Is National Grid (LON:NG.) A Risky Investment?
DRX
UK£8.89
Drax Group
7D
-1.2%
1Y
44.9%

DRX: New Low Carbon CfD Will Support Higher Long Term Profitability

Analysts have lifted their fair value estimate for Drax Group from £10.63 to £11.20, citing updated assumptions that combine a slightly lower discount rate with a higher profit margin outlook, while still factoring in a revenue decline and a largely unchanged future P/E multiple. What's in the News Drax Group signed an agreement with the Low Carbon Contracts Company (LCCC) for a low carbon dispatchable Contracts for Difference (CfD) covering all four biomass units at Drax Power Station for April 2027 to March 2031, with a strike price of £109.90/MWh in 2012 real terms (Key Developments).
SSE
UK£23.34
SSE
7D
1.7%
1Y
47.7%

SSE plc's (LON:SSE) Intrinsic Value Is Potentially 19% Below Its Share Price

Jan 16
SSE plc's (LON:SSE) Intrinsic Value Is Potentially 19% Below Its Share Price
TEP
UK£13.44
Telecom Plus
7D
-2.7%
1Y
-17.8%

TEP: Interim Dividend And Stable Assumptions Will Support Future Shareholder Returns

Analysts have adjusted their price target for Telecom Plus to £23.48, reflecting updated assumptions on revenue growth, profit margins and future P/E that are now more finely calibrated yet broadly consistent with prior views. What's in the News Telecom Plus proposed an interim dividend of 38 pence per share for the six months ended 30 September 2025, compared with 37 pence per share in H1 FY25 (Key Developments).
CNA
UK£1.83
Centrica
7D
3.9%
1Y
36.0%

CNA: Energy Transition Execution Will Shape Balanced Future Risk Reward Profile

Analysts have slightly raised their fair value estimate for Centrica from £1.97 to £1.98 per share, reflecting a mix of more cautious and more constructive views after recent rating changes and updated price targets across the sector. Analyst Commentary Recent rating changes on Centrica show a mix of optimism and caution, which helps explain why the fair value move has been incremental rather than dramatic.
JEL
UK£4.60
Jersey Electricity
7D
-2.1%
1Y
5.7%

Jersey Electricity (LON:JEL) Will Pay A Larger Dividend Than Last Year At £0.126

Dec 19
Jersey Electricity (LON:JEL) Will Pay A Larger Dividend Than Last Year At £0.126
CINH
UK£0.07
Cindrigo Holdings
7D
-3.4%
1Y
n/a
MAST
UK£0.039
Quantum Data Energy
7D
-6.6%
1Y
-50.3%