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U.K. (FTSE) Utilities Sector Analysis

UpdatedApr 03, 2026
DataAggregated Company Financials
Companies12
  • 7D7.3%
  • 3M16.1%
  • 1Y33.8%
  • YTD16.1%

The Utilities industry is up 7.3% in the last week, with National Grid up 7.0%. In the last 12 months, the industry was up 34%. 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
Fri, 03 Apr 2026UK£134.5bUK£61.6bUK£4.7b23.2x28.7x2.2x
Sun, 01 Mar 2026UK£137.5bUK£61.6bUK£4.7b24.1x29.4x2.2x
Tue, 27 Jan 2026UK£120.5bUK£61.8bUK£4.8b20.6x24.9x1.9x
Thu, 25 Dec 2025UK£113.2bUK£61.8bUK£4.8b19.7x23.4x1.8x
Sat, 22 Nov 2025UK£113.3bUK£61.8bUK£4.8b18.6x23.7x1.8x
Mon, 20 Oct 2025UK£107.9bUK£62.1bUK£4.7b17.4x22.8x1.7x
Wed, 17 Sep 2025UK£99.3bUK£62.1bUK£4.7b18.2x21x1.6x
Fri, 15 Aug 2025UK£101.9bUK£62.1bUK£4.7b16.5x21.5x1.6x
Sun, 13 Jul 2025UK£100.0bUK£63.0bUK£6.4b14.5x15.5x1.6x
Tue, 10 Jun 2025UK£100.4bUK£63.0bUK£6.4b14.4x15.6x1.6x
Thu, 08 May 2025UK£101.7bUK£63.8bUK£5.9b10.6x17.2x1.6x
Sat, 05 Apr 2025UK£97.6bUK£63.9bUK£5.9b11.1x16.5x1.5x
Mon, 03 Mar 2025UK£91.4bUK£63.9bUK£5.9b10.2x15.5x1.4x
Wed, 29 Jan 2025UK£90.3bUK£65.7bUK£5.8b10.3x15.6x1.4x
Fri, 27 Dec 2024UK£91.0bUK£65.7bUK£5.8b10.4x15.7x1.4x
Sun, 24 Nov 2024UK£96.1bUK£65.8bUK£5.8b10.9x16.5x1.5x
Tue, 22 Oct 2024UK£98.6bUK£66.5bUK£6.1b12x16.3x1.5x
Thu, 19 Sep 2024UK£100.5bUK£66.3bUK£6.1b12.2x16.6x1.5x
Sat, 17 Aug 2024UK£95.8bUK£66.4bUK£6.1b12.2x15.8x1.4x
Mon, 15 Jul 2024UK£94.4bUK£73.1bUK£8.8b13.1x10.7x1.3x
Wed, 12 Jun 2024UK£77.8bUK£73.8bUK£8.6b12.2x9x1.1x
Fri, 10 May 2024UK£89.6bUK£75.7bUK£7.8b14.1x11.5x1.2x
Sun, 07 Apr 2024UK£82.1bUK£75.7bUK£7.8b13.1x10.5x1.1x
Tue, 05 Mar 2024UK£82.7bUK£75.6bUK£7.8b13.6x10.6x1.1x
Thu, 01 Feb 2024UK£87.3bUK£81.4bUK£7.8b12x11.2x1.1x
Sat, 30 Dec 2023UK£89.0bUK£81.4bUK£7.8b11.4x11.4x1.1x
Mon, 27 Nov 2023UK£87.9bUK£81.4bUK£7.8b13.3x11.2x1.1x
Wed, 25 Oct 2023UK£81.8bUK£82.7bUK£7.5b12.8x10.9x1x
Fri, 22 Sep 2023UK£85.6bUK£82.6bUK£7.5b13.3x11.4x1x
Sun, 20 Aug 2023UK£79.5bUK£82.5bUK£7.5b12.9x10.6x1x
Tue, 18 Jul 2023UK£83.8bUK£75.8bUK£2.4b19.4x35.2x1.1x
Thu, 15 Jun 2023UK£85.9bUK£74.5bUK£2.3b23.6x36.9x1.2x
Sat, 13 May 2023UK£92.5bUK£71.9bUK£4.1b18.5x22.4x1.3x
Mon, 10 Apr 2023UK£91.3bUK£71.9bUK£4.1b18.3x22.1x1.3x
Price to Earnings Ratio

22.1x


Total Market Cap: UK£91.3bTotal Earnings: UK£4.1bTotal Revenue: UK£71.9bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Utilities Sector Price to Earnings3Y Average 17.5x202420252026
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 28.7x which is higher than its 3-year average PE of 17.5x.
  • The 3-year average PS ratio of 1.4x is lower than the industry's current PS ratio of 2.2x.
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 Market4.41%
Utilities7.27%
Electric Utilities8.90%
Other Utilities7.05%
Water Utilities6.37%
Renewable Energy2.34%
Gas Utilities0%0
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 17.2%, which is higher than its past year's earnings decline of 26.4% 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 16.2x.
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 26% per year.
  • In contrast, the Other 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£13.237.0%
+UK£4.3b		25.6%PE22.9x
SSE SSEUK£27.288.9%
+UK£2.7b		65.0%PE34.3x
CNA CentricaUK£2.198.1%
+UK£735.7m		44.0%PS0.5x
SVT Severn TrentUK£31.776.3%
+UK£569.1m		18.0%PE30.3x
UU. United Utilities GroupUK£13.656.4%
+UK£555.7m		27.4%PE23.2x

Latest News

DRX
UK£8.90
Drax Group
7D
2.6%
1Y
50.4%
CNA
UK£2.19
Centrica
7D
8.1%
1Y
44.0%
UU.
UK£13.65
United Utilities Group
7D
6.4%
1Y
27.4%
TEP
UK£13.22
Telecom Plus
7D
3.8%
1Y
-23.4%

TEP: Stable Assumptions And Steady Outlook Will Support Stronger Future Returns

Analysts have kept their fair value estimate for Telecom Plus steady at £23.48, with unchanged assumptions on discount rate, revenue growth, profit margin and future P/E. This suggests no material shift in their underlying view of the shares at this stage.
PNN
UK£5.55
Pennon Group
7D
6.6%
1Y
17.2%

PNN: Higher £6.50 Fair Value Assumptions Will Support Bullish Re Rating

Analyst price targets for Pennon Group have moved higher, with several recent updates lifting fair value estimates toward around £6.50. This shift is supported by slightly adjusted assumptions on revenue growth, profit margins and future P/E multiples.
NG.
UK£13.23
National Grid
7D
7.0%
1Y
25.6%

NG.: Execution On Regulated Projects Will Shape Future Earnings Resilience And P/E Framework

Analysts have lifted their price target for National Grid to £13.53 from £13.14, citing slightly higher assumptions for revenue growth, profit margins and future P/E expectations. Analyst Commentary Bullish Takeaways Bullish analysts see the higher price target of £13.53 as better aligned with their updated assumptions for revenue and margin potential, which they view as more supportive of the current P/E framework.
SSE
UK£27.28
SSE
7D
8.9%
1Y
65.0%

SSE: Offshore Wind Contracts And Higher Market Confidence Will Shape Future Returns

SSE's updated fair value moves to £25.82 from £25.22. This reflects a round of higher analyst price targets up to around £28.50 that are supported by refreshed assumptions on revenue growth, profit margins and a slightly higher future P/E multiple.
SVT
UK£31.77
Severn Trent
7D
6.3%
1Y
18.0%

SVT: Clustered 3,300 GBp Views Will Shape A Fairly Balanced Outlook

Severn Trent's fair value estimate has risen from £30.45 to £31.03 as analysts increase price targets toward £3,300, citing valuation as a key driver behind recent rating changes. Analyst Commentary Recent research shows a cluster of price targets around £33.00, with several firms adjusting their views while keeping that level as a reference point.
QDE
UK£0.013
Quantum Data Energy
7D
-10.0%
1Y
-83.5%
BCE
UK£0.033
Beacon Energy
7D
-13.3%
1Y
8.3%
JEL
UK£4.30
Jersey Electricity
7D
-1.1%
1Y
2.4%