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U.K. (FTSE) Market Analysis & Valuation

UpdatedMar 07, 2026
DataAggregated Company Financials
Companies1091
  • 7D-5.7%
  • 3M6.5%
  • 1Y19.1%
  • YTD3.6%

Over the last 7 days, the market has dropped 5.7%, driven by a pullback of 7.5% in the Financials sector. As for the longer term, the market has actually risen by 19% in the last year. Earnings are forecast to grow by 12% annually.

Trending IndustriesOil and GasGoldBiotechSoftware

Market Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 07 Mar 2026UK£2.9tUK£2.0tUK£153.9b16.3x18.9x1.5x
Mon, 02 Feb 2026UK£2.9tUK£1.9tUK£137.7b16.9x21.3x1.5x
Wed, 31 Dec 2025UK£2.8tUK£2.0tUK£138.0b16.3x20.6x1.5x
Fri, 28 Nov 2025UK£2.8tUK£2.0tUK£139.4b16.4x20x1.4x
Sun, 26 Oct 2025UK£2.8tUK£1.9tUK£135.7b16.7x20.4x1.4x
Tue, 23 Sep 2025UK£2.7tUK£1.9tUK£135.8b16.5x19.6x1.4x
Thu, 21 Aug 2025UK£2.7tUK£1.9tUK£134.4b16x20x1.4x
Sat, 19 Jul 2025UK£2.5tUK£1.9tUK£127.4b16x19.9x1.3x
Mon, 16 Jun 2025UK£2.5tUK£1.9tUK£127.3b16.1x19.7x1.3x
Wed, 14 May 2025UK£2.5tUK£2.0tUK£130.8b16.3x18.8x1.3x
Fri, 11 Apr 2025UK£2.3tUK£2.0tUK£136.4b14.5x16.5x1.1x
Sun, 09 Mar 2025UK£2.5tUK£2.0tUK£137.5b15.5x18.1x1.2x
Tue, 04 Feb 2025UK£2.5tUK£2.0tUK£123.8b15.8x20.3x1.2x
Thu, 02 Jan 2025UK£2.4tUK£2.0tUK£122.7b15.9x19.6x1.2x
Sat, 30 Nov 2024UK£2.4tUK£2.0tUK£122.8b16.2x19.9x1.2x
Mon, 28 Oct 2024UK£2.4tUK£2.0tUK£123.6b16.2x19.7x1.2x
Wed, 25 Sep 2024UK£2.4tUK£2.0tUK£117.5b16.7x20.7x1.2x
Fri, 23 Aug 2024UK£2.4tUK£2.0tUK£120.2b17x20.3x1.2x
Sun, 21 Jul 2024UK£2.4tUK£2.0tUK£129.3b16.7x18.6x1.2x
Tue, 18 Jun 2024UK£2.4tUK£2.1tUK£130.5b16.5x18.6x1.2x
Thu, 16 May 2024UK£2.5tUK£2.0tUK£127.2b16.9x19.8x1.2x
Sat, 13 Apr 2024UK£2.4tUK£2.1tUK£148.4b16x16.3x1.1x
Mon, 11 Mar 2024UK£2.3tUK£2.1tUK£144.3b15.8x16.2x1.1x
Wed, 07 Feb 2024UK£2.3tUK£2.1tUK£178.2b15x12.8x1.1x
Fri, 05 Jan 2024UK£2.3tUK£2.1tUK£193.8b15x12.1x1.1x
Sun, 03 Dec 2023UK£2.3tUK£2.1tUK£192.7b14.4x11.8x1.1x
Tue, 31 Oct 2023UK£2.2tUK£2.2tUK£188.8b13.4x11.7x1x
Thu, 28 Sep 2023UK£2.3tUK£2.2tUK£187.5b14.4x12.4x1.1x
Sat, 26 Aug 2023UK£2.3tUK£2.2tUK£184.0b14.4x12.3x1.1x
Mon, 24 Jul 2023UK£2.4tUK£2.2tUK£206.7b14.1x11.6x1.1x
Wed, 21 Jun 2023UK£2.4tUK£2.2tUK£207.9b14.3x11.3x1.1x
Fri, 19 May 2023UK£2.4tUK£2.2tUK£216.8b14.4x11.2x1.1x
Sun, 16 Apr 2023UK£2.5tUK£2.2tUK£179.8b14x13.7x1.1x
Tue, 14 Mar 2023UK£2.4tUK£2.2tUK£187.9b13.3x12.8x1.1x
Price to Earnings Ratio

12.8x


Total Market Cap: UK£2.4tTotal Earnings: UK£187.9bTotal Revenue: UK£2.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 17x202420252026
Current Market PE
  • Investors are optimistic on the British market, and appear confident in strong long term growth rates.
  • The market is trading at a PE ratio of 18.9x which is higher than its 3-year average PE of 17.0x.
Past Earnings Growth
  • The earnings for companies in the British industry have declined 6.4% per year over the last three years.
  • Revenues have also declined 3.3% per year.
  • This means overall sales from these companies are declining and profits are subsequently falling as well.

Sector Trends

Which sectors have driven the changes within the U.K. Market?

GB Market-5.72%
Energy2.26%
Industrials-3.05%
Telecom-3.21%
Tech-3.47%
Utilities-3.57%
Consumer Discretionary-4.95%
Real Estate-6.50%
Healthcare-6.80%
Financials-7.54%
Consumer Staples-8.07%
Materials-9.74%
Sector PE
  • Investors favour the Tech sector the most for future growth even though it's trading below its 3-year average PE ratio of 53.4x.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 17.2%, which is higher than its past year's earnings growth of 7.7% per year.
Forecasted Growth
  • Analysts are most optimistic on the Telecom sector, expecting annual earnings growth of 31% over the next 5 years.
  • This is better than its past earnings growth rate of 2.9% per year.
  • In contrast, the Consumer Staples sector is expected to see its earnings grow by 6.7% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuationSector
BP. BPUK£4.994.4%
+UK£3.3b		20.7%PE1901.5xEnergy
SHEL ShellUK£31.331.9%
+UK£3.3b		22.6%PE13.3xEnergy
BA. BAE SystemsUK£22.144.8%
+UK£3.0b		41.3%PE31.9xIndustrials
REL RELXUK£26.402.2%
+UK£955.3m		-28.4%PE23xIndustrials
HBR Harbour EnergyUK£2.8913.9%
+UK£641.3m		52.3%PS0.7xEnergy
See more

Market Insights

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Latest News

HBR
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RTO
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BP.
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7D
4.4%
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BARC
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7D
-10.8%
1Y
35.3%
ULVR
UK£49.35
Unilever
7D
-9.7%
1Y
-4.8%

ULVR: Margin Delivery By FY26 Will Drive Upside Case

Narrative Update on Unilever Unilever's analyst price target has edged higher, with modestly improved fair value assumptions to about £60.52 and slightly adjusted discount rate, revenue growth, profit margin and future P/E inputs, as analysts factor in recent target revisions that reflect a more balanced risk and reward profile and ongoing debate over pricing and margin potential. Analyst Commentary Recent Street research on Unilever points to a mixed but generally more balanced view, with several firms revisiting their assumptions on valuation, pricing power and margin potential.
HSBA
UK£12.45
HSBC Holdings
7D
-10.7%
1Y
42.1%

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HSBC Holdings continues to be a focal point for value investors, currently trading at 1,286.00p on the London Stock Exchange as of the March 4, 2026, close. While some platforms like Simply Wall St may display the price as £12.63 , it is important to note that UK equities are traditionally quoted in pence (GBX) rather than pounds (GBP), meaning a quote of £12.63 is mathematically equivalent to 1,263p.
SHEL
UK£31.33
Shell
7D
1.9%
1Y
22.6%

SHEL: Future Returns Will Balance LNG Expansion With Cost Discipline And Asset Sales

Our analyst fair value estimate for Shell edges up from £30.96 to £31.76. This reflects a series of higher Street price targets in the £2,950 to £3,600 range, as analysts point to valuation support for integrated energy names and company specific drivers such as cost discipline, higher shareholder returns and LNG growth expectations.
AZN
UK£145.00
AstraZeneca
7D
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1Y
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BA.
UK£22.14
BAE Systems
7D
4.8%
1Y
41.3%
RIO
UK£67.49
Rio Tinto Group
7D
-8.0%
1Y
40.5%

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REL
UK£26.40
RELX
7D
2.2%
1Y
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ITH
UK£2.48
Ithaca Energy
7D
11.7%
1Y
93.1%

ITH: Reset Expectations And Balanced Risk Reward Will Support Future Cash Generation

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BATS
UK£42.82
British American Tobacco
7D
-7.7%
1Y
36.2%

BATS: Future Returns Will Reflect ITC Stake Sale And Measured Revenue Outlook

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