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U.K. (FTSE) Renewable Energy Industry Analysis

UpdatedSep 18, 2025
DataAggregated Company Financials
Companies3
  • 7D2.6%
  • 3M2.9%
  • 1Y4.6%
  • YTD1.6%

The Renewable Energy industry is up 3.8% in the last week, with Drax Group up 4.9%. Meanwhile, Yü Group actually underperformed within the industry, shrinking 5.5% in the last week. This means that the industry has gained 4.3% over the past year. As for the next few years, earnings are forecast to decline by 17% per annum.

Industry Valuation and Performance

Has the U.K. Renewable Energy Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 18 Sep 2025UK£2.6bUK£6.3bUK£439.3m6.9x6x0.4x
Sat, 16 Aug 2025UK£2.7bUK£6.3bUK£439.3m6.8x6.1x0.4x
Mon, 14 Jul 2025UK£2.7bUK£6.8bUK£558.2m6.4x4.8x0.4x
Wed, 11 Jun 2025UK£2.6bUK£6.8bUK£555.6m6.6x4.8x0.4x
Fri, 09 May 2025UK£2.5bUK£6.8bUK£555.5m5.8x4.4x0.4x
Sun, 06 Apr 2025UK£2.4bUK£7.0bUK£560.1m7x4.3x0.3x
Tue, 04 Mar 2025UK£2.5bUK£6.9bUK£553.6m5.3x4.6x0.4x
Thu, 30 Jan 2025UK£2.6bUK£8.2bUK£680.7m5.4x3.8x0.3x
Sat, 28 Dec 2024UK£2.7bUK£8.2bUK£680.8m5.7x4x0.3x
Mon, 25 Nov 2024UK£2.8bUK£8.2bUK£680.7m5.9x4.1x0.3x
Wed, 23 Oct 2024UK£2.8bUK£8.2bUK£680.9m5.5x4.1x0.3x
Fri, 20 Sep 2024UK£2.7bUK£8.0bUK£669.3m6.5x4.1x0.3x
Sun, 18 Aug 2024UK£2.9bUK£8.1bUK£677.9m7.8x4.2x0.4x
Tue, 16 Jul 2024UK£2.5bUK£8.8bUK£586.3m9.1x4.3x0.3x
Thu, 13 Jun 2024UK£2.2bUK£8.8bUK£585.1m9.1x3.8x0.3x
Sat, 11 May 2024UK£2.5bUK£8.8bUK£585.1m9.5x4.3x0.3x
Mon, 08 Apr 2024UK£2.2bUK£8.8bUK£585.1m10.2x3.8x0.3x
Wed, 06 Mar 2024UK£2.1bUK£8.8bUK£576.0m3.3x3.7x0.2x
Fri, 02 Feb 2024UK£4.0bUK£11.1bUK£336.8m10.7x11.9x0.4x
Sun, 31 Dec 2023UK£4.0bUK£11.1bUK£336.8m10.6x11.8x0.4x
Tue, 28 Nov 2023UK£3.7bUK£11.1bUK£336.8m10.1x11.1x0.3x
Thu, 26 Oct 2023UK£3.7bUK£11.1bUK£336.7m10x11.1x0.3x
Sat, 23 Sep 2023UK£3.8bUK£11.0bUK£334.8m10.4x11.4x0.3x
Mon, 21 Aug 2023UK£4.2bUK£11.0bUK£323.6m11.4x13x0.4x
Wed, 19 Jul 2023UK£4.2bUK£10.4bUK£224.4m17x18.9x0.4x
Fri, 16 Jun 2023UK£4.2bUK£10.4bUK£192.7m17.2x22x0.4x
Sun, 14 May 2023UK£4.4bUK£10.4bUK£192.0m16.2x22.8x0.4x
Tue, 11 Apr 2023UK£4.4bUK£10.4bUK£190.3m15.7x23.2x0.4x
Thu, 09 Mar 2023UK£4.5bUK£10.3bUK£184.0m16x24.6x0.4x
Sat, 04 Feb 2023UK£4.5bUK£9.0bUK£309.5m12x14.6x0.5x
Mon, 02 Jan 2023UK£4.8bUK£9.0bUK£309.6m11x15.4x0.5x
Wed, 30 Nov 2022UK£4.2bUK£9.0bUK£310.9m10.8x13.7x0.5x
Fri, 28 Oct 2022UK£3.9bUK£9.1bUK£315.2m9.4x12.3x0.4x
Sun, 25 Sep 2022UK£4.7bUK£9.2bUK£350.8m10x13.3x0.5x
Price to Earnings Ratio

13.3x


Total Market Cap: UK£4.7bTotal Earnings: UK£350.8mTotal Revenue: UK£9.2bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Renewable Energy Industry Price to Earnings3Y Average 10.6x202320242025
Current Industry PE
    There are only 3 companies in the British Renewable Energy industry, so there is insufficient data to make an industry-wide assessment of both the PE and PS ratio.
Past Earnings Growth
  • The earnings for companies in the Renewable Energy industry have grown 8.2% per year over the last three years.
  • Meanwhile revenues for these companies have declined 12% 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 industry?

GB Market-0.078%
Utilities1.32%
Renewable Energy2.57%
Renewable Energy3.17%
Independent Power Producers and Energy Traders-2.45%
Industry PE
  • Investors are most optimistic about the Independent Power Producers and Energy Traders industry even though it's trading below its 3-year average PE ratio of 14.3x.
    • Analysts are expecting annual earnings growth of 6.9%, which is lower than the prior year's growth of 8.6% per year.
  • Investors are most pessimistic about the Renewable Energy industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 2.4x.
Forecasted Growth
  • Analysts are most optimistic on the Independent Power Producers and Energy Traders industry, expecting annual earnings growth of 6.9% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the Renewable Energy industry is expected to see its earnings decline by 20% 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
DRX Drax GroupUK£6.833.2%
+UK£72.0m		6.5%PE5.8x

Latest News

DRX
UK£6.83
Drax Group
7D
3.2%
1Y
6.5%

Government CfD And Renewables Will Drive Growth Amid Pellet Risks

Analysts maintain a positive outlook on Drax Group due to anticipated value creation from UK grid intermittency, upcoming share price catalysts, and a possible £200M share buyback extension; however, the consensus price target remains unchanged at £8.58. Analyst Commentary Expectation of increased value creation for Drax as grid intermittency rises in the UK power sector.
YU.
UK£15.90
Yü Group
7D
-2.5%
1Y
-9.1%