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U.K. (FTSE) Market Analysis & Valuation

UpdatedFeb 17, 2025
DataAggregated Company Financials
Companies1201
  • 7D-0.4%
  • 3M6.7%
  • 1Y10.2%
  • YTD4.9%

The market has been flat in the last week, however the Consumer Staples sector is down 3.8%. More promisingly, the market is up 10% over the past year. As for the next few years, earnings are expected to grow by 15% per annum.

Market Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 17 Feb 2025UK£2.5tUK£2.0tUK£139.3b16.4x18.1x1.2x
Wed, 15 Jan 2025UK£2.4tUK£2.1tUK£124.8b15.7x19.2x1.2x
Fri, 13 Dec 2024UK£2.4tUK£2.0tUK£121.9b16.3x20x1.2x
Sun, 10 Nov 2024UK£2.4tUK£2.0tUK£118.2b16.3x20.2x1.2x
Tue, 08 Oct 2024UK£2.4tUK£2.0tUK£118.8b16.4x20.4x1.2x
Thu, 05 Sep 2024UK£2.4tUK£2.0tUK£119.1b16.8x20.5x1.2x
Sat, 03 Aug 2024UK£2.4tUK£2.0tUK£124.9b16.7x19.3x1.2x
Mon, 01 Jul 2024UK£2.4tUK£2.0tUK£132.1b16.2x18.2x1.2x
Wed, 29 May 2024UK£2.5tUK£2.0tUK£129.0b17.2x19.1x1.2x
Fri, 26 Apr 2024UK£2.4tUK£2.1tUK£143.8b15.8x16.8x1.2x
Sun, 24 Mar 2024UK£2.4tUK£2.1tUK£147.6b16.3x16.4x1.1x
Tue, 20 Feb 2024UK£2.3tUK£2.0tUK£147.1b15.2x15.6x1.1x
Thu, 18 Jan 2024UK£2.3tUK£2.1tUK£193.7b14.6x11.6x1.1x
Sat, 16 Dec 2023UK£2.3tUK£2.1tUK£193.7b15.1x11.9x1.1x
Mon, 13 Nov 2023UK£2.2tUK£2.2tUK£195.3b13.9x11.4x1x
Wed, 11 Oct 2023UK£2.3tUK£2.2tUK£185.9b14x12.6x1.1x
Fri, 08 Sep 2023UK£2.3tUK£2.2tUK£185.3b14.4x12.4x1.1x
Sun, 06 Aug 2023UK£2.4tUK£2.2tUK£189.4b14.6x12.4x1.1x
Tue, 04 Jul 2023UK£2.3tUK£2.2tUK£208.4b14.1x11.3x1.1x
Thu, 01 Jun 2023UK£2.3tUK£2.2tUK£213.2b14x11x1.1x
Sat, 29 Apr 2023UK£2.5tUK£2.2tUK£179.0b14.4x13.8x1.1x
Mon, 27 Mar 2023UK£2.3tUK£2.2tUK£184.6b13.7x12.6x1.1x
Wed, 22 Feb 2023UK£2.6tUK£2.2tUK£196.4b13.7x13x1.2x
Fri, 20 Jan 2023UK£2.5tUK£2.1tUK£183.7b13.7x13.6x1.2x
Sun, 18 Dec 2022UK£2.4tUK£2.1tUK£185.8b13.2x12.8x1.1x
Tue, 15 Nov 2022UK£2.4tUK£2.3tUK£213.0b13.2x11.4x1.1x
Thu, 13 Oct 2022UK£2.3tUK£2.4tUK£208.4b11.8x11x1x
Sat, 10 Sep 2022UK£2.5tUK£2.3tUK£207.6b13.4x11.9x1.1x
Mon, 08 Aug 2022UK£2.5tUK£2.3tUK£197.3b14.1x12.9x1.1x
Wed, 06 Jul 2022UK£2.4tUK£2.2tUK£190.0b13.9x12.6x1.1x
Fri, 03 Jun 2022UK£2.6tUK£2.2tUK£189.4b15.3x13.7x1.2x
Sun, 01 May 2022UK£2.6tUK£2.1tUK£195.4b16.4x13.2x1.2x
Tue, 29 Mar 2022UK£2.6tUK£2.0tUK£194.7b16.5x13.4x1.3x
Thu, 24 Feb 2022UK£2.6tUK£1.9tUK£171.0b17.4x15.5x1.4x
Price to Earnings Ratio

15.5x


Total Market Cap: UK£2.6tTotal Earnings: UK£171.0bTotal Revenue: UK£1.9tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 14.7x202320242025
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 18.1x which is higher than its 3-year average PE of 14.7x.
Past Earnings Growth
  • The earnings for British listed companies have declined 6.6% per year over the last three years.
  • Meanwhile revenues for these companies have grown 2.4% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Sector Trends

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

GB Market-0.39%
Real Estate1.11%
Consumer Discretionary0.93%
Energy0.91%
Industrials0.90%
Financials0.17%
Information Technology0%0
Financials0%0
Health Care0%0
Industrials0%0
Materials-0.041%
Healthcare-0.44%
Telecom-0.48%
Tech-0.57%
Utilities-1.82%
Consumer Staples-3.78%
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 55.5x.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 13.9%, which is higher than its past year's earnings growth of 10.9% per year.
  • The Financials sector is the least preferred by investors for future growth, which is trading close to its 3-year average of 9.9x.
Forecasted Growth
  • Analysts are most optimistic on the Real Estate sector, expecting annual earnings growth of 29% over the next 5 years.
  • This is better than its past earnings growth rate of 24% per year.
  • In contrast, the Financials sector is expected to see its earnings grow by 9.5% 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
SHEL ShellUK£26.741.3%
+UK£2.1b
6.6%PE12.8xEnergy
CPG Compass GroupUK£28.363.1%
+UK£1.4b
29.4%PE43.1xConsumer Discretionary
BA. BAE SystemsUK£12.284.0%
+UK£1.4b
-1.6%PE19.9xIndustrials
PRU PrudentialUK£7.276.7%
+UK£1.2b
-11.5%PE27.5xFinancials
RR. Rolls-Royce HoldingsUK£6.251.8%
+UK£946.6m
86.9%PE22.6xIndustrials
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