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U.K. (FTSE) Market Analysis & Valuation

UpdatedMay 11, 2025
DataAggregated Company Financials
Companies1176
  • 7D-0.3%
  • 3M-2.7%
  • 1Y-0.7%
  • YTD2.5%

In the last week, the market has been flat, with a notable exception in the Healthcare sector dropping 3.5%. As for the longer term, the market has also been flat over the past year. Earnings are forecast to grow by 14% annually.

Trending IndustriesOil and GasGoldBiotechSoftware

Market Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 11 May 2025UK£2.4tUK£2.0tUK£130.8b16x18.6x1.2x
Tue, 08 Apr 2025UK£2.2tUK£2.0tUK£137.3b14.1x16x1.1x
Thu, 06 Mar 2025UK£2.5tUK£2.0tUK£137.8b15.9x18.2x1.3x
Sat, 01 Feb 2025UK£2.5tUK£2.0tUK£123.8b15.9x20.4x1.2x
Mon, 30 Dec 2024UK£2.4tUK£2.0tUK£122.5b15.9x19.6x1.2x
Wed, 27 Nov 2024UK£2.4tUK£2.0tUK£123.5b16.2x19.6x1.2x
Fri, 25 Oct 2024UK£2.4tUK£2.0tUK£123.3b16.1x19.8x1.2x
Sun, 22 Sep 2024UK£2.4tUK£2.0tUK£118.1b16.9x19.9x1.2x
Tue, 20 Aug 2024UK£2.5tUK£2.0tUK£121.6b16.9x20.3x1.2x
Thu, 18 Jul 2024UK£2.4tUK£2.0tUK£128.8b16.9x18.7x1.2x
Sat, 15 Jun 2024UK£2.4tUK£2.1tUK£130.3b16.4x18.6x1.2x
Mon, 13 May 2024UK£2.5tUK£2.1tUK£136.5b16.9x18.4x1.2x
Wed, 10 Apr 2024UK£2.4tUK£2.1tUK£145.8b16x16.5x1.1x
Fri, 08 Mar 2024UK£2.3tUK£2.1tUK£145.6b15.9x16x1.1x
Sun, 04 Feb 2024UK£2.3tUK£2.1tUK£183.3b14.8x12.5x1.1x
Tue, 02 Jan 2024UK£2.3tUK£2.1tUK£193.7b15.1x12.1x1.1x
Thu, 30 Nov 2023UK£2.2tUK£2.1tUK£193.3b14.4x11.6x1.1x
Sat, 28 Oct 2023UK£2.2tUK£2.2tUK£186.4b13.4x11.8x1x
Mon, 25 Sep 2023UK£2.3tUK£2.2tUK£186.8b14.6x12.1x1x
Wed, 23 Aug 2023UK£2.2tUK£2.1tUK£184.1b14.3x12.2x1x
Fri, 21 Jul 2023UK£2.4tUK£2.2tUK£206.8b14.2x11.6x1.1x
Sun, 18 Jun 2023UK£2.4tUK£2.2tUK£207.5b14.3x11.5x1.1x
Tue, 16 May 2023UK£2.4tUK£2.2tUK£210.9b14.4x11.6x1.1x
Thu, 13 Apr 2023UK£2.5tUK£2.2tUK£179.5b13.7x13.7x1.1x
Sat, 11 Mar 2023UK£2.5tUK£2.2tUK£189.1b13.5x13.1x1.1x
Mon, 06 Feb 2023UK£2.5tUK£2.1tUK£185.4b14.2x13.7x1.2x
Wed, 04 Jan 2023UK£2.4tUK£2.1tUK£186.3b13.4x13.1x1.2x
Fri, 02 Dec 2022UK£2.4tUK£2.1tUK£186.0b13.6x13.2x1.2x
Sun, 30 Oct 2022UK£2.3tUK£2.3tUK£209.6b12.4x11x1x
Tue, 27 Sep 2022UK£2.3tUK£2.4tUK£212.6b12.1x10.9x1x
Thu, 25 Aug 2022UK£2.5tUK£2.3tUK£205.6b13.6x12.1x1.1x
Sat, 23 Jul 2022UK£2.5tUK£2.3tUK£192.4b13.8x13x1.1x
Mon, 20 Jun 2022UK£2.4tUK£2.3tUK£194.1b14.1x12.5x1.1x
Wed, 18 May 2022UK£2.6tUK£2.2tUK£179.8b15.3x14.2x1.2x
Price to Earnings Ratio

14.2x


Total Market Cap: UK£2.6tTotal Earnings: UK£179.8bTotal Revenue: UK£2.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 15x202320242025
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 18.6x which is higher than its 3-year average PE of 15.0x.
Past Earnings Growth
  • The earnings for companies in the British industry have declined 10% 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-0.29%
Tech2.79%
Energy1.01%
Financials0.71%
Consumer Discretionary0.47%
Materials0.29%
Industrials-0.18%
Consumer Staples-0.53%
Real Estate-0.62%
Utilities-1.12%
Telecom-1.84%
Healthcare-3.52%
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 54.9x.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 14.7%, which is higher than its past year's earnings growth of 9.8% per year.
  • The Financials sector is the least preferred by investors for future growth. Although, investor sentiment seems to have improved given that it's trading above its 3-year average of 10.0x.
Forecasted Growth
  • Analysts are most optimistic on the Materials sector, expecting annual earnings growth of 21% over the next 5 years.
  • This is better than its past earnings decline of 7.3% per year.
  • In contrast, the Consumer Staples sector is expected to see its earnings grow by 11% 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£3.726.3%
+UK£3.4b		-26.5%PS0.4xEnergy
LLOY Lloyds Banking GroupUK£0.733.5%
+UK£1.4b		34.5%PB0.9xFinancials
DGE DiageoUK£21.792.8%
+UK£1.3b		-23.5%PE17.9xConsumer Staples
CPG Compass GroupUK£26.052.1%
+UK£899.6m		12.9%PE41.9xConsumer Discretionary
IAG International Consolidated Airlines GroupUK£2.976.5%
+UK£861.7m		64.0%PE5.7xIndustrials
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IAG

UK£2.97

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1Y

64.0%

BARC

UK£3.07

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2.0%

1Y

43.5%

AZN

UK£102.40

AstraZeneca

7D

-4.8%

1Y

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PTEC

UK£3.34

Playtech

7D

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1Y

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BATS

UK£31.35

British American Tobacco

7D

-2.8%

1Y

28.9%

LLOY

UK£0.73

Lloyds Banking Group

7D

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1Y

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1Y

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BA.

UK£16.88

BAE Systems

7D

-5.1%

1Y

21.1%

NWG

UK£4.91

NatWest Group

7D

2.0%

1Y

53.9%

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BP.

UK£3.72

BP

7D

6.3%

1Y

-26.5%

SHEL

UK£24.58

Shell

7D

-1.1%

1Y

-16.6%

GSK

UK£13.78

GSK

7D

-4.9%

1Y

-23.5%

LSEG

UK£113.00

London Stock Exchange Group

7D

-2.3%

1Y

23.8%

DGE

UK£21.79

Diageo

7D

2.8%

1Y

-23.5%

CPG

UK£26.05

Compass Group

7D

2.1%

1Y

12.9%

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