Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

U.K. (FTSE) Market Analysis & Valuation

UpdatedMar 10, 2026
DataAggregated Company Financials
Companies1091
  • 7D-5.1%
  • 3M6.4%
  • 1Y19.6%
  • YTD3.0%

The market has dropped by 20% in the last 7 days, with the Financials sector leading declines. In the last year, the market is actually up 20%. Looking forward, 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
Tue, 10 Mar 2026UK£2.9tUK£2.0tUK£153.8b15.9x18.8x1.5x
Thu, 05 Feb 2026UK£3.0tUK£1.9tUK£137.9b17.1x21.6x1.5x
Sat, 03 Jan 2026UK£2.8tUK£2.0tUK£138.0b16.3x20.6x1.5x
Mon, 01 Dec 2025UK£2.8tUK£2.0tUK£139.6b16.3x20x1.4x
Wed, 29 Oct 2025UK£2.8tUK£2.0tUK£135.9b16.5x20.5x1.4x
Fri, 26 Sep 2025UK£2.7tUK£2.0tUK£136.3b16.5x19.5x1.4x
Sun, 24 Aug 2025UK£2.7tUK£1.9tUK£134.1b16.1x20.1x1.4x
Tue, 22 Jul 2025UK£2.5tUK£1.9tUK£127.1b16.1x19.9x1.3x
Thu, 19 Jun 2025UK£2.5tUK£1.9tUK£127.8b16.4x19.6x1.3x
Sat, 17 May 2025UK£2.5tUK£2.0tUK£133.0b16.5x18.6x1.3x
Mon, 14 Apr 2025UK£2.3tUK£2.0tUK£135.7b14.7x16.7x1.1x
Wed, 12 Mar 2025UK£2.4tUK£2.0tUK£137.7b15.1x17.7x1.2x
Fri, 07 Feb 2025UK£2.5tUK£2.0tUK£123.4b16.1x20.5x1.2x
Sun, 05 Jan 2025UK£2.4tUK£2.1tUK£123.5b15.9x19.6x1.2x
Tue, 03 Dec 2024UK£2.4tUK£2.0tUK£123.0b16.3x19.9x1.2x
Thu, 31 Oct 2024UK£2.4tUK£2.0tUK£120.7b16.2x20x1.2x
Sat, 28 Sep 2024UK£2.5tUK£2.0tUK£117.7b16.9x20.8x1.2x
Mon, 26 Aug 2024UK£2.5tUK£2.0tUK£119.5b16.9x20.5x1.2x
Wed, 24 Jul 2024UK£2.4tUK£2.0tUK£129.5b16.7x18.6x1.2x
Fri, 21 Jun 2024UK£2.4tUK£2.0tUK£131.9b16.6x18.5x1.2x
Sun, 19 May 2024UK£2.5tUK£2.0tUK£125.9b17x20x1.2x
Tue, 16 Apr 2024UK£2.4tUK£2.1tUK£148.3b16.1x16.2x1.1x
Thu, 14 Mar 2024UK£2.4tUK£2.1tUK£145.0b16.2x16.2x1.1x
Sat, 10 Feb 2024UK£2.3tUK£2.0tUK£144.7b15.2x15.6x1.1x
Mon, 08 Jan 2024UK£2.3tUK£2.1tUK£193.5b15x12.1x1.1x
Wed, 06 Dec 2023UK£2.3tUK£2.1tUK£193.6b14.6x11.7x1.1x
Fri, 03 Nov 2023UK£2.2tUK£2.2tUK£195.2b13.8x11.5x1x
Sun, 01 Oct 2023UK£2.3tUK£2.2tUK£186.2b14.6x12.6x1.1x
Tue, 29 Aug 2023UK£2.3tUK£2.2tUK£183.8b14.5x12.3x1.1x
Thu, 27 Jul 2023UK£2.4tUK£2.2tUK£205.9b14.2x11.7x1.1x
Sat, 24 Jun 2023UK£2.3tUK£2.2tUK£208.6b14.1x11.1x1.1x
Mon, 22 May 2023UK£2.4tUK£2.2tUK£216.9b14.3x11.2x1.1x
Wed, 19 Apr 2023UK£2.5tUK£2.2tUK£179.7b14x13.8x1.1x
Fri, 17 Mar 2023UK£2.3tUK£2.2tUK£186.8b13.2x12.5x1.1x
Price to Earnings Ratio

12.5x


Total Market Cap: UK£2.3tTotal Earnings: UK£186.8bTotal 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 18.8x 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 6.3% per year over the last three years.
  • Revenues have also declined 3.4% 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-5.15%
Energy2.24%
Telecom-3.12%
Utilities-4.18%
Industrials-4.47%
Tech-4.63%
Consumer Discretionary-4.74%
Financials-5.44%
Healthcare-5.49%
Consumer Staples-6.82%
Real Estate-8.30%
Materials-10.02%
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 33% 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 6.6% 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£32.072.4%
+UK£4.1b		24.6%PE13.7xEnergy
BP. BPUK£5.104.5%
+UK£3.4b		21.9%PE1949.4xEnergy
REL RELXUK£26.462.8%
+UK£1.2b		-28.2%PE23xIndustrials
BA. BAE SystemsUK£22.590.8%
+UK£526.5m		44.0%PE32.6xIndustrials
CPG Compass GroupUK£22.831.3%
+UK£510.1m		-12.9%PE27.9xConsumer Discretionary
See more

Market Insights

Header cover image
What the next 25 years will look like 🔮
Richard Bowman avatar
Richard Bowman
The first 25 years of this century were shaped by a few notable themes: China, Tech, and low interest rates. Let's now look at the themes shaping the next quarter of the century.
Continue reading
Three contrarian investing ideas for a new market

Latest News

AZN
UK£144.42
AstraZeneca
7D
-5.3%
1Y
22.0%
RIO
UK£66.35
Rio Tinto Group
7D
-9.6%
1Y
37.4%
RKT
UK£54.72
Reckitt Benckiser Group
7D
-14.0%
1Y
-2.1%
ADM
UK£31.20
Admiral Group
7D
5.0%
1Y
2.9%
HBR
UK£2.92
Harbour Energy
7D
7.7%
1Y
54.5%
EXPN
UK£27.75
Experian
7D
1.8%
1Y
-22.2%

The New Oil: Experian will Weaponize Proprietary Data to Lead the AI Lending Revolution

Gemini said The bullish thesis for Experian (LSE: EXPN) is built on its evolution from a traditional credit bureau into a high-margin data-and-AI powerhouse. As of early 2026, the company is demonstrating that its massive data "moat" is becoming even more valuable in an economy hungry for automated, real-time decision-making.
BATS
UK£43.09
British American Tobacco
7D
-6.7%
1Y
36.6%

BATS: Lower Earnings Quality And Guidance Will Constrain Future Upside

Analysts have nudged their implied fair value for British American Tobacco slightly higher to about £33.35 from roughly £33.22, reflecting updated assumptions around the discount rate, revenue growth, profit margin and future P/E expectations. What's in the News Reaffirmed full year 2026 earnings guidance with revenue growth targeted in a 3% to 5% constant currency range, with expectations at the lower end of that band (company guidance).
BA.
UK£22.59
BAE Systems
7D
0.8%
1Y
44.0%

BA.: NATO Rearmament And US Contracts Will Support Measured Future Demand

Narrative Update on BAE Systems The analyst price target for BAE Systems has been raised from £21.49 to £22.90, reflecting higher Street targets, including recent increases from £19.50 to £24.00 per share, supported by updated assumptions for revenue growth, profit margins and a slightly adjusted P/E outlook. Analyst Commentary Street research on BAE Systems over recent months shows a mix of optimism on the earnings outlook and valuation support, alongside some caution on future share performance and relative appeal versus peers.
BP.
UK£5.10
BP
7D
4.5%
1Y
21.9%

BP.: Future Returns Will Reflect Mixed Oil Cycle Risks And CEO Transition

Our updated view lifts BP's fair value estimate slightly, supported by a higher blended analyst price target moving toward the £5.20 to £5.40 range as several firms cite valuation support for integrated oil names despite a mix of recent upgrades, downgrades, and target tweaks. Analyst Commentary Recent Street research on BP shows a split view, with some major firms lifting targets and others turning more cautious as they reassess risks around commodities, capital allocation, and leadership changes.
BARC
UK£3.97
Barclays
7D
-9.1%
1Y
39.7%
ULVR
UK£49.04
Unilever
7D
-7.9%
1Y
-7.4%

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.
RR.
UK£12.39
Rolls-Royce Holdings
7D
-8.5%
1Y
69.0%
HSBA
UK£12.51
HSBC Holdings
7D
-6.1%
1Y
46.4%

HSBC Holdings PLC (HSBA): Navigating Valuation Discrepancies in the Global Banking Giant.

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£32.07
Shell
7D
2.4%
1Y
24.6%

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.
REL
UK£26.46
RELX
7D
2.8%
1Y
-28.2%

AI Cost Pressures And Data Regulation Risks Will Shape A Cautious But Constructive Outlook

Catalysts About RELX RELX provides information based analytics and decision tools across risk, scientific research, legal and exhibitions markets. What are the underlying business or industry changes driving this perspective?
CPG
UK£22.83
Compass Group
7D
1.3%
1Y
-12.9%

CPG: Premium P/E Framework Will Reward Execution On Revenue Mix And Margins

Analysts have trimmed their price target on Compass Group by £1.00, reflecting updated assumptions around fair value, discount rate, revenue growth, profit margin and future P/E following recent research such as the latest target change from RBC Capital. Analyst Commentary Bullish Takeaways Bullish analysts view the £1.00 trim to the price target as a fine tuning of valuation inputs rather than a fundamental reset of the Compass Group equity story.