Investing IdeasBrowse All StocksMarkets

Have your own idea? Try our Stock Screener

Header cover image

U.K. (FTSE) Market Analysis & Valuation

UpdatedMay 07, 2025
DataAggregated Company Financials
Companies1177
  • 7D1.7%
  • 3M-0.7%
  • 1Y1.1%
  • YTD3.0%

Over the last 7 days, the market has risen 1.7%, driven by gains in the Industrials and Consumer Staples sectors of 3.6% and 3.0%, respectively. As for last year, the market performance has been flat. Looking forward, 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
Wed, 07 May 2025UK£2.4tUK£2.0tUK£130.3b16.1x18.8x1.3x
Fri, 04 Apr 2025UK£2.4tUK£2.0tUK£135.5b15x17.8x1.2x
Sun, 02 Mar 2025UK£2.5tUK£2.0tUK£139.0b15.7x18.2x1.2x
Tue, 28 Jan 2025UK£2.5tUK£2.1tUK£123.4b15.9x20.1x1.2x
Thu, 26 Dec 2024UK£2.4tUK£2.0tUK£122.9b15.9x19.5x1.2x
Sat, 23 Nov 2024UK£2.4tUK£2.1tUK£123.9b16.4x19.6x1.2x
Mon, 21 Oct 2024UK£2.4tUK£2.0tUK£118.7b16.5x20.5x1.2x
Wed, 18 Sep 2024UK£2.4tUK£2.0tUK£118.8b16.7x20.6x1.2x
Fri, 16 Aug 2024UK£2.5tUK£2.0tUK£122.2b16.6x20.1x1.2x
Sun, 14 Jul 2024UK£2.4tUK£2.0tUK£129.8b17x18.8x1.2x
Tue, 11 Jun 2024UK£2.5tUK£2.0tUK£129.9b16.7x18.9x1.2x
Thu, 09 May 2024UK£2.5tUK£2.1tUK£137.4b16.7x18.1x1.2x
Sat, 06 Apr 2024UK£2.4tUK£2.1tUK£146.0b16x16.4x1.1x
Mon, 04 Mar 2024UK£2.3tUK£2.0tUK£142.0b15.3x16.3x1.1x
Wed, 31 Jan 2024UK£2.3tUK£2.1tUK£192.5b14.9x12x1.1x
Fri, 29 Dec 2023UK£2.3tUK£2.1tUK£193.6b15x12.1x1.1x
Sun, 26 Nov 2023UK£2.3tUK£2.1tUK£193.7b14.4x11.7x1.1x
Tue, 24 Oct 2023UK£2.3tUK£2.2tUK£186.6b13.5x12.1x1x
Thu, 21 Sep 2023UK£2.4tUK£2.2tUK£185.2b14.6x12.8x1.1x
Sat, 19 Aug 2023UK£2.2tUK£2.1tUK£184.2b14.2x12.2x1.1x
Mon, 17 Jul 2023UK£2.3tUK£2.2tUK£204.7b14x11.3x1.1x
Wed, 14 Jun 2023UK£2.4tUK£2.2tUK£209.6b14.3x11.3x1.1x
Fri, 12 May 2023UK£2.4tUK£2.2tUK£210.8b14.4x11.5x1.1x
Sun, 09 Apr 2023UK£2.4tUK£2.2tUK£180.0b13.8x13.5x1.1x
Tue, 07 Mar 2023UK£2.5tUK£2.2tUK£189.3b13.9x13.4x1.2x
Thu, 02 Feb 2023UK£2.5tUK£2.1tUK£184.4b14x13.5x1.2x
Sat, 31 Dec 2022UK£2.4tUK£2.1tUK£185.6b13.4x13x1.1x
Mon, 28 Nov 2022UK£2.4tUK£2.1tUK£186.9b13.4x13x1.1x
Wed, 26 Oct 2022UK£2.3tUK£2.3tUK£204.1b12x11.3x1x
Fri, 23 Sep 2022UK£2.4tUK£2.3tUK£208.9b12.4x11.3x1x
Sun, 21 Aug 2022UK£2.5tUK£2.3tUK£205.7b14x12.3x1.1x
Tue, 19 Jul 2022UK£2.4tUK£2.3tUK£193.2b13.7x12.6x1.1x
Thu, 16 Jun 2022UK£2.5tUK£2.3tUK£194.6b14.3x12.9x1.1x
Sat, 14 May 2022UK£2.5tUK£2.2tUK£181.1b15.3x13.9x1.2x
Price to Earnings Ratio

13.9x


Total Market Cap: UK£2.5tTotal Earnings: UK£181.1bTotal 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 18.8x 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 3.6% 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 Market1.65%
Tech4.01%
Consumer Discretionary3.78%
Industrials3.59%
Consumer Staples2.98%
Real Estate2.60%
Telecom1.96%
Healthcare1.94%
Utilities0.66%
Financials0.45%
Energy-0.11%
Materials-1.22%
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 14.9%, which is higher than its past year's earnings growth of 11.4% 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
HLN HaleonUK£4.037.1%
+UK£2.4b		22.9%PE25.2xHealthcare
HSBA HSBC HoldingsUK£8.431.3%
+UK£2.0b		17.0%PB1xFinancials
CPG Compass GroupUK£26.224.1%
+UK£1.8b		14.8%PE42.3xConsumer Discretionary
DGE DiageoUK£21.643.4%
+UK£1.6b		-22.9%PE17.9xConsumer Staples
RIO Rio Tinto GroupUK£45.402.1%
+UK£1.5b		-17.9%PE8.5xMaterials
See more
Simply Wall St™
Simply Wall Street Pty Ltd
Level 7, 320 Pitt Street, Sydney
Download on the App StoreGet it on Google Play
Popular Markets
USAUUKINCAZA
About UsCareersPlans & PricingLogin
Help CenterLatest CoveragePodcastsAffiliate ProgramBusiness & EnterpriseWhat's New
Financial Services GuideTerms and ConditionsPrivacy Policy
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.

Market Insights

Header cover image

📈 Investing In Innovation to Beat Stagflation

Richard Bowman avatar
Richard Bowman
|
|

5 comments

The level of uncertainty has been off the charts lately. That’s why we’ve been talking about defensive strategies over the last few weeks. Playing defense is one way to take on an uncertain future...
Continue reading
🏛️ How Fiscal Dominance Impacts Your Portfolio
Last Week

🏛️ How Fiscal Dominance Impacts Your Portfolio

Latest News

RIO

UK£45.40

Rio Tinto Group

7D

2.1%

1Y

-17.9%

AZN

UK£105.04

AstraZeneca

7D

-2.1%

1Y

-14.4%

ABF

UK£19.72

Associated British Foods

7D

-4.5%

1Y

-27.0%

HSBA

UK£8.43

HSBC Holdings

7D

1.3%

1Y

17.0%

SHEL

UK£24.29

Shell

7D

-0.5%

1Y

-16.0%

STAN

UK£10.46

Standard Chartered

7D

-2.8%

1Y

39.2%

Earnings Beat: Standard Chartered PLC Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Models

May 05
Earnings Beat: Standard Chartered PLC Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Models

GSK

UK£13.79

GSK

7D

-7.0%

1Y

-22.2%

LLOY

UK£0.72

Lloyds Banking Group

7D

-1.4%

1Y

33.9%

NG.

UK£10.69

National Grid

7D

-1.3%

1Y

-3.0%

HLN

UK£4.03

Haleon

7D

7.1%

1Y

22.9%

DGE

UK£21.64

Diageo

7D

3.4%

1Y

-22.9%

IAG

UK£2.84

International Consolidated Airlines Group

7D

9.3%

1Y

54.5%

International Consolidated Airlines Group (LON:IAG) Shareholders Will Want The ROCE Trajectory To Continue

Apr 23
International Consolidated Airlines Group (LON:IAG) Shareholders Will Want The ROCE Trajectory To Continue

BATS

UK£32.96

British American Tobacco

7D

1.5%

1Y

37.0%

CPG

UK£26.22

Compass Group

7D

4.1%

1Y

14.8%

Compass Group PLC's (LON:CPG) Earnings Haven't Escaped The Attention Of Investors

Apr 13
Compass Group PLC's (LON:CPG) Earnings Haven't Escaped The Attention Of Investors

IHG

UK£86.08

InterContinental Hotels Group

7D

8.4%

1Y

9.1%

BT.A

UK£1.66

BT Group

7D

-4.2%

1Y

59.0%