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U.K. (FTSE) Utilities Sector Analysis

UpdatedApr 29, 2026
DataAggregated Company Financials
Companies12
  • 7D2.4%
  • 3M6.2%
  • 1Y27.4%
  • YTD13.2%

The Utilities industry is up 2.4% in the last week, with National Grid up 3.7%. During this same period, the Telecom Plus underperformed, falling 16%. This takes the industry's 12 month performance to a gain of 27%. Earnings are forecast to grow by 15% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 29 Apr 2026UK£131.2bUK£61.6bUK£4.7b22.8x28x2.1x
Fri, 27 Mar 2026UK£125.4bUK£61.6bUK£4.7b21.8x26.8x2x
Sun, 22 Feb 2026UK£132.7bUK£61.8bUK£5.0b22.8x26.5x2.1x
Tue, 20 Jan 2026UK£120.2bUK£61.8bUK£4.8b20.7x24.8x1.9x
Thu, 18 Dec 2025UK£113.8bUK£62.0bUK£4.8b18.3x23.5x1.8x
Sat, 15 Nov 2025UK£113.4bUK£61.6bUK£4.7b18x24.2x1.8x
Mon, 13 Oct 2025UK£105.4bUK£62.1bUK£4.7b16.8x22.2x1.7x
Wed, 10 Sep 2025UK£98.1bUK£62.1bUK£4.7b18.1x20.7x1.6x
Fri, 08 Aug 2025UK£103.4bUK£62.1bUK£4.7b16.8x21.8x1.7x
Sun, 06 Jul 2025UK£102.0bUK£63.0bUK£6.4b14.6x15.9x1.6x
Tue, 03 Jun 2025UK£101.2bUK£63.0bUK£6.4b14.3x15.7x1.6x
Thu, 01 May 2025UK£102.1bUK£63.8bUK£5.9b10.5x17.3x1.6x
Sat, 29 Mar 2025UK£95.1bUK£63.9bUK£5.9b11.5x16.1x1.5x
Mon, 24 Feb 2025UK£89.8bUK£65.1bUK£6.0b10.1x14.9x1.4x
Wed, 22 Jan 2025UK£92.4bUK£65.7bUK£5.8b10.4x15.9x1.4x
Fri, 20 Dec 2024UK£89.8bUK£65.7bUK£5.8b10.4x15.5x1.4x
Sun, 17 Nov 2024UK£94.1bUK£65.7bUK£5.7b10.8x16.4x1.4x
Tue, 15 Oct 2024UK£95.6bUK£66.5bUK£6.1b11.8x15.8x1.4x
Thu, 12 Sep 2024UK£100.0bUK£66.4bUK£6.1b12.6x16.5x1.5x
Sat, 10 Aug 2024UK£94.8bUK£66.4bUK£6.1b12.2x15.7x1.4x
Mon, 08 Jul 2024UK£92.5bUK£73.1bUK£8.8b13.1x10.5x1.3x
Wed, 05 Jun 2024UK£80.8bUK£73.8bUK£8.6b12.2x9.4x1.1x
Fri, 03 May 2024UK£85.0bUK£75.7bUK£7.8b13.7x10.9x1.1x
Sun, 31 Mar 2024UK£84.3bUK£75.7bUK£7.8b13.6x10.8x1.1x
Tue, 27 Feb 2024UK£81.2bUK£75.8bUK£7.4b13.7x11x1.1x
Thu, 25 Jan 2024UK£87.0bUK£81.4bUK£7.8b12x11.1x1.1x
Sat, 23 Dec 2023UK£89.4bUK£81.4bUK£7.8b11.4x11.4x1.1x
Mon, 20 Nov 2023UK£87.9bUK£80.9bUK£7.9b13.4x11.2x1.1x
Wed, 18 Oct 2023UK£83.0bUK£82.7bUK£7.5b12.9x11x1x
Fri, 15 Sep 2023UK£85.4bUK£82.5bUK£7.5b13.3x11.4x1x
Sun, 13 Aug 2023UK£81.8bUK£82.5bUK£7.5b13.1x10.9x1x
Tue, 11 Jul 2023UK£81.9bUK£75.8bUK£2.4b19x34.4x1.1x
Thu, 08 Jun 2023UK£87.2bUK£74.5bUK£2.3b22x37.5x1.2x
Sat, 06 May 2023UK£92.1bUK£71.9bUK£4.1b18.3x22.3x1.3x
Price to Earnings Ratio

22.3x


Total Market Cap: UK£92.1bTotal Earnings: UK£4.1bTotal Revenue: UK£71.9bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Utilities Sector Price to Earnings3Y Average 17.7x202420252026
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 28.0x which is higher than its 3-year average PE of 17.7x.
  • The 3-year average PS ratio of 1.4x is lower than the industry's current PS ratio of 2.1x.
Past Earnings Growth
  • The earnings for companies in the Utilities industry have grown 4.3% per year over the last three years.
  • Meanwhile revenues for these companies have declined 5.0% 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. Utilities sector?

GB Market-1.73%
Utilities2.35%
Other Utilities3.16%
Renewable Energy1.92%
Electric Utilities1.35%
Water Utilities1.08%
Gas Utilities0%0
Industry PE
  • Investors are most optimistic about the Renewable Energy industry which is trading above its 3-year average PE ratio of 9.1x.
    • Analysts are expecting annual earnings growth of 14.6%, which is higher than its past year's earnings decline of 39.5% per year.
  • Investors are most pessimistic about the Other Utilities industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 16.3x.
Forecasted Growth
  • Analysts are most optimistic on the Electric Utilities industry, expecting annual earnings growth of 18% over the next 5 years.
  • This is better than its past earnings decline of 26% per year.
  • In contrast, the Water Utilities industry is expected to see its earnings grow by 13% 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£13.003.7%
+UK£2.3b		20.4%PE22.5x
SSE SSEUK£26.191.4%
+UK£421.9m		59.3%PE32.9x
CNA CentricaUK£2.112.0%
+UK£189.6m		32.4%PS0.5x
UU. United Utilities GroupUK£13.411.4%
+UK£129.6m		20.2%PE22.8x
SVT Severn TrentUK£31.291.1%
+UK£102.4m		13.5%PE29.9x

Latest News

TEP
UK£11.80
Telecom Plus
7D
-16.3%
1Y
-37.6%
DRX
UK£8.79
Drax Group
7D
2.3%
1Y
46.2%
CNA
UK£2.11
Centrica
7D
2.0%
1Y
32.4%

CNA: Low Carbon Projects And On Site Power Will Shape Balanced Outlook

The analyst price target for Centrica has been raised, with recent Street research pointing to a cluster of higher targets in the £2.00 to £2.32 range, as analysts highlight the company’s positioning in low carbon generation and recent energy market disruption. Analyst Commentary Recent research shows a mix of optimism and caution around Centrica, with several firms adjusting ratings and price targets in a relatively tight range around £2.00 to £2.32.
PNN
UK£5.29
Pennon Group
7D
-0.3%
1Y
7.2%

PNN: Higher £6 Range Outlook Will Reflect Reassessed Cash Flow Visibility

Analysts have nudged their price targets on Pennon Group higher, with moves such as £6.00 to £6.50 and £6.28 to £6.36. These changes underpin a modest uplift in the central valuation, supported by updated assumptions on fair value, revenue growth, profit margins and future P/E.
SSE
UK£26.19
SSE
7D
1.4%
1Y
59.3%

SSE: Fair Value View Balances Mixed Rating Shifts And Execution Risks

The updated analyst price target for SSE has moved higher to reflect a fair value of about £27.34 per share, up from roughly £26.98, with analysts pointing to slightly stronger assumptions for revenue growth, profit margins and a modestly lower future P/E multiple to support the change. Analyst Commentary Recent Street research on SSE reflects a mix of optimism and caution, with several firms updating price targets and at least one high profile downgrade.
NG.
UK£13.00
National Grid
7D
3.7%
1Y
20.4%

NG.: Grid AI Collaboration And Margin Discipline Will Shape Earnings Resilience

Analysts have nudged their fair value estimate for National Grid to £13.78, reflecting updated assumptions around slightly lower revenue growth, a modestly higher profit margin, and a marginally richer future P/E multiple. Analyst Commentary Bullish Takeaways Bullish analysts point to the updated fair value estimate of £13.78 as support for National Grid's role as a regulated utility with relatively visible earnings, which can help anchor valuation assumptions.
SVT
UK£31.29
Severn Trent
7D
1.1%
1Y
13.5%

SVT: Clustered 3,300 GBp Views Will Shape A Balanced Forward Stance

Severn Trent’s updated fair value estimate has edged up from £31.26 to £31.88, as analysts factor in recent price target increases around £3,300 and mixed rating changes that focus on valuation and refined P/E expectations. Analyst Commentary Recent research on Severn Trent has centred on where the current share price sits versus revised price targets and how much valuation headroom is left after the latest moves.
BCE
UK£0.033
Beacon Energy
7D
3.2%
1Y
-18.8%
UU.
UK£13.41
United Utilities Group
7D
1.4%
1Y
20.2%

UU.: Mixed Rating Shifts And Modest Assumption Tweaks Will Guide Post Repricing Trade-Off

Analysts have nudged their fair value estimate for United Utilities higher from about £13.68 to roughly £13.93 per share. This reflects updated price targets around £14.50 and refreshed assumptions on discount rates, revenue growth, profit margins and future P/E multiples.
CINH
UK£0.04
Cindrigo Holdings
7D
-5.9%
1Y
n/a
YU.
UK£17.00
Yü Group
7D
-1.2%
1Y
10.4%
QDE
UK£0.025
Quantum Data Energy
7D
-33.8%
1Y
-67.1%
JEL
UK£4.50
Jersey Electricity
7D
1.1%
1Y
5.9%