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U.K. (FTSE) Utilities Sector Analysis

UpdatedJun 28, 2026
DataAggregated Company Financials
Companies14
  • 7D2.8%
  • 3M-4.9%
  • 1Y16.8%
  • YTD5.9%

The Utilities industry is up 2.8% in the last week, with National Grid up 2.8%. Meanwhile, Telecom Plus actually underperformed within the industry, shrinking 19% in the last week. This takes the industry's 12 month performance to a gain of 17%. As for the next few years, earnings are expected to grow by 15% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 28 Jun 2026UK£123.5bUK£62.3bUK£5.6b17.9x21.9x2x
Tue, 26 May 2026UK£128.2bUK£62.2bUK£5.3b18.4x24.2x2.1x
Thu, 23 Apr 2026UK£129.9bUK£61.6bUK£4.7b22.5x27.7x2.1x
Sat, 21 Mar 2026UK£126.0bUK£61.6bUK£4.7b21.5x26.9x2x
Mon, 16 Feb 2026UK£134.7bUK£61.8bUK£4.8b23.1x27.8x2.2x
Wed, 14 Jan 2026UK£115.7bUK£61.8bUK£4.8b19.9x23.9x1.9x
Fri, 12 Dec 2025UK£110.9bUK£62.0bUK£4.8b18.1x22.9x1.8x
Sun, 09 Nov 2025UK£110.2bUK£61.2bUK£4.8b17.3x23.1x1.8x
Tue, 07 Oct 2025UK£103.4bUK£62.1bUK£4.7b16.4x21.8x1.7x
Thu, 04 Sep 2025UK£96.7bUK£62.1bUK£4.7b17.9x20.4x1.6x
Sat, 02 Aug 2025UK£104.2bUK£62.1bUK£4.7b17.1x22x1.7x
Mon, 30 Jun 2025UK£102.8bUK£63.0bUK£6.4b14.5x16x1.6x
Wed, 28 May 2025UK£103.0bUK£63.0bUK£6.4b14.1x16x1.6x
Fri, 25 Apr 2025UK£100.1bUK£63.8bUK£5.9b10.3x17x1.6x
Sun, 23 Mar 2025UK£91.7bUK£64.0bUK£5.9b10.2x15.5x1.4x
Tue, 18 Feb 2025UK£89.7bUK£65.7bUK£5.8b10.1x15.5x1.4x
Thu, 16 Jan 2025UK£89.6bUK£65.7bUK£5.8b10.2x15.4x1.4x
Sat, 14 Dec 2024UK£92.4bUK£65.7bUK£5.8b10.8x15.9x1.4x
Mon, 11 Nov 2024UK£93.2bUK£66.0bUK£5.6b11.6x16.8x1.4x
Wed, 09 Oct 2024UK£94.7bUK£66.5bUK£6.1b11.7x15.6x1.4x
Fri, 06 Sep 2024UK£99.2bUK£66.4bUK£6.1b12.5x16.4x1.5x
Sun, 04 Aug 2024UK£97.4bUK£66.4bUK£6.1b12.3x16.1x1.5x
Tue, 02 Jul 2024UK£88.6bUK£73.1bUK£8.8b13.1x10.1x1.2x
Thu, 30 May 2024UK£76.6bUK£73.8bUK£8.6b11.8x8.9x1x
Sat, 27 Apr 2024UK£84.3bUK£75.7bUK£7.8b13.9x10.8x1.1x
Mon, 25 Mar 2024UK£84.3bUK£75.7bUK£7.8b9.8x10.8x1.1x
Wed, 21 Feb 2024UK£83.3bUK£75.8bUK£7.4b13.9x11.2x1.1x
Fri, 19 Jan 2024UK£86.1bUK£81.4bUK£7.8b12x11x1.1x
Sun, 17 Dec 2023UK£89.7bUK£81.4bUK£7.8b11.8x11.5x1.1x
Tue, 14 Nov 2023UK£84.8bUK£81.7bUK£7.4b12.9x11.5x1x
Thu, 12 Oct 2023UK£82.1bUK£82.7bUK£7.5b12.9x10.9x1x
Sat, 09 Sep 2023UK£83.0bUK£82.5bUK£7.5b13.1x11.1x1x
Mon, 07 Aug 2023UK£81.9bUK£82.5bUK£7.5b13.1x10.9x1x
Wed, 05 Jul 2023UK£86.1bUK£75.8bUK£2.4b19.9x36.4x1.1x
Price to Earnings Ratio

36.4x


Total Market Cap: UK£86.1bTotal Earnings: UK£2.4bTotal Revenue: UK£75.8bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Utilities Sector Price to Earnings3Y Average 17.3x202420252026
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 21.9x which is higher than its 3-year average PE of 17.3x.
  • The 3-year average PS ratio of 1.5x is lower than the industry's current PS ratio of 2.0x.
Past Earnings Growth
  • The earnings for companies in the Utilities industry have grown 34% per year over the last three years.
  • Meanwhile revenues for these companies have declined 6.3% 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 Market1.14%
Utilities2.82%
Electric Utilities4.10%
Water Utilities2.76%
Other Utilities2.37%
Renewable Energy1.58%
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 9.5x.
    • Analysts are expecting annual earnings growth of 13.2%, which is higher than its past year's earnings decline of 39.5% per year.
  • Investors are most pessimistic about the Water Utilities industry, which is trading below its 3-year average of 88.9x.
Forecasted Growth
  • Analysts are most optimistic on the Electric Utilities industry, expecting annual earnings growth of 17% over the next 5 years.
  • This is better than its past earnings decline of 3.5% 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£12.462.8%
+UK£1.7b		17.1%PE19.1x
SSE SSEUK£24.214.1%
+UK£1.2b		32.3%PE24.2x
SVT Severn TrentUK£29.564.0%
+UK£343.2m		7.7%PE24x
UU. United Utilities GroupUK£13.141.9%
+UK£185.7m		15.1%PE16.6x
CNA CentricaUK£1.751.4%
+UK£110.6m		7.1%PS0.4x

Latest News

TEP
UK£7.68
Telecom Plus
7D
-19.2%
1Y
-59.9%
SSE
UK£24.21
SSE
7D
4.1%
1Y
32.3%
UU.
UK£13.14
United Utilities Group
7D
1.9%
1Y
15.1%
Analysis Article • Jun 25

Additional Considerations Required While Assessing United Utilities Group's (LON:UU.) Strong Earnings

United Utilities Group PLC ( LON:UU. ) announced strong profits, but the stock was stagnant. We did some digging, and...
CNA
UK£1.75
Centrica
7D
1.4%
1Y
7.1%
Narrative Update • Jun 24

CNA: Low Carbon Partnerships And Governance Updates Will Support Future Upside

Analysts have adjusted their price targets for Centrica, with a new blended target moving modestly and anchored around recent changes that include Berenberg lifting its target to £2.30 and JPMorgan trimming its target to £2.35. These revisions reflect updated views on fair value, discount rate and assumptions for revenue growth, profit margin and future P/E.
DRX
UK£7.56
Drax Group
7D
2.4%
1Y
12.0%
Narrative Update • Jun 24

DRX: New Gas Capacity Will Support Long Term Cash Flows

Analysts have trimmed their price target on Drax Group to £8.16 from £9.23, citing updated assumptions on discount rate, revenue growth, profit margin and future P/E. Their overall view on the stock remains broadly unchanged.
NG.
UK£12.46
National Grid
7D
2.8%
1Y
17.1%
PNN
UK£4.66
Pennon Group
7D
1.5%
1Y
-7.3%
JEL
UK£4.50
Jersey Electricity
7D
-1.1%
1Y
-2.2%
SVT
UK£29.56
Severn Trent
7D
4.0%
1Y
7.7%
Narrative Update • Jun 16

SVT: Dividend Policy And Mixed 3,500 GBp Views Will Shape Balanced Outlook

Severn Trent's analyst price target has been trimmed, with the updated fair value estimate moving from £32.12 to £31.69 as analysts balance slightly higher projected revenue growth against modestly lower profit margins and a small adjustment to future P/E assumptions, reflected in recent mixed target changes from Citi, Deutsche Bank, RBC Capital and Morgan Stanley. Analyst Commentary Recent research on Severn Trent highlights a mixed but fairly balanced set of views, with some analysts trimming price targets while others lift them slightly.
CINH
UK£0.045
Cindrigo Holdings
7D
-21.7%
1Y
n/a
YU.
UK£16.60
Yü Group
7D
-3.5%
1Y
0.6%