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U.K. (FTSE) Market Analysis & Valuation

UpdatedNov 12, 2025
DataAggregated Company Financials
Companies1100
  • 7D1.7%
  • 3M7.4%
  • 1Y21.8%
  • YTD18.7%

Over the last 7 days, the market has risen 1.7%, driven by gains of 4.7% in the Healthcare sector. The market is up 22% over the last 12 months. Looking forward, earnings are forecast to grow by 15% annually.

Trending IndustriesOil and GasGoldBiotechSoftware

Market Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 13 Nov 2025UK£2.8tUK£1.9tUK£137.0b16.6x20.5x1.4x
Sat, 11 Oct 2025UK£2.7tUK£1.9tUK£135.8b16.8x20x1.4x
Mon, 08 Sep 2025UK£2.7tUK£1.9tUK£135.5b16.4x19.7x1.4x
Wed, 06 Aug 2025UK£2.6tUK£2.0tUK£135.0b16.3x19.6x1.4x
Fri, 04 Jul 2025UK£2.5tUK£1.9tUK£126.8b16.2x19.6x1.3x
Sun, 01 Jun 2025UK£2.5tUK£1.9tUK£126.0b16.2x19.7x1.3x
Tue, 29 Apr 2025UK£2.4tUK£2.0tUK£134.4b15.3x17.8x1.2x
Thu, 27 Mar 2025UK£2.5tUK£2.0tUK£135.8b15.7x18.2x1.2x
Sat, 22 Feb 2025UK£2.5tUK£2.0tUK£137.5b16.2x18.2x1.2x
Mon, 20 Jan 2025UK£2.5tUK£2.1tUK£125.0b16x19.9x1.2x
Wed, 18 Dec 2024UK£2.4tUK£2.0tUK£122.0b15.9x19.7x1.2x
Fri, 15 Nov 2024UK£2.4tUK£2.0tUK£120.5b16.4x19.8x1.2x
Sun, 13 Oct 2024UK£2.4tUK£2.0tUK£118.8b16.3x20.2x1.2x
Tue, 10 Sep 2024UK£2.4tUK£2.0tUK£119.5b16.5x20.3x1.2x
Thu, 08 Aug 2024UK£2.4tUK£2.0tUK£126.0b16.4x19x1.2x
Sat, 06 Jul 2024UK£2.4tUK£2.0tUK£130.7b16.8x18.5x1.2x
Mon, 03 Jun 2024UK£2.5tUK£2.0tUK£129.3b17.3x19.1x1.2x
Wed, 01 May 2024UK£2.4tUK£2.1tUK£143.4b16.3x17x1.2x
Fri, 29 Mar 2024UK£2.4tUK£2.1tUK£145.9b16.4x16.5x1.1x
Sun, 25 Feb 2024UK£2.3tUK£2.1tUK£196.4b15.6x11.8x1.1x
Tue, 23 Jan 2024UK£2.3tUK£2.1tUK£193.5b14.6x11.7x1.1x
Thu, 21 Dec 2023UK£2.3tUK£2.1tUK£194.0b15.1x12.1x1.1x
Sat, 18 Nov 2023UK£2.3tUK£2.1tUK£194.6b14.4x11.6x1.1x
Mon, 16 Oct 2023UK£2.3tUK£2.2tUK£187.0b13.8x12.4x1.1x
Wed, 13 Sep 2023UK£2.3tUK£2.2tUK£185.5b14.5x12.5x1.1x
Fri, 11 Aug 2023UK£2.4tUK£2.1tUK£184.3b14.5x12.8x1.1x
Sun, 09 Jul 2023UK£2.3tUK£2.2tUK£207.1b14x10.9x1x
Tue, 06 Jun 2023UK£2.4tUK£2.2tUK£212.1b14.3x11.2x1.1x
Thu, 04 May 2023UK£2.4tUK£2.2tUK£208.2b14.4x11.7x1.1x
Sat, 01 Apr 2023UK£2.4tUK£2.2tUK£181.4b13.8x13.2x1.1x
Mon, 27 Feb 2023UK£2.5tUK£2.2tUK£195.0b13.7x13x1.1x
Wed, 25 Jan 2023UK£2.5tUK£2.1tUK£184.0b13.9x13.5x1.2x
Fri, 23 Dec 2022UK£2.4tUK£2.1tUK£185.6b13.2x13x1.1x
Sun, 20 Nov 2022UK£2.4tUK£2.3tUK£207.8b13.1x11.7x1.1x
Price to Earnings Ratio

11.7x


Total Market Cap: UK£2.4tTotal Earnings: UK£207.8bTotal Revenue: UK£2.3tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 16.2x202320242025
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 20.5x which is higher than its 3-year average PE of 16.2x.
Past Earnings Growth
  • The earnings for companies in the British industry have declined 13% per year over the last three years.
  • Revenues have also declined 5.1% 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 Market1.72%
Healthcare4.67%
Energy3.45%
Materials2.96%
Real Estate2.27%
Consumer Staples1.90%
Telecom1.64%
Financials1.63%
Utilities1.57%
Consumer Discretionary0.96%
Industrials-1.64%
Tech-1.65%
Sector PE
  • Investors favour the Tech sector the most for future growth, which is trading close to its 3-year average PE ratio of 52.0x.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 21.6%, which is higher than its past year's earnings growth of 11.2% per year.
Forecasted Growth
  • Analysts are most optimistic on the Telecom sector, expecting annual earnings growth of 35% over the next 5 years.
  • This is better than its past earnings growth rate of 5.5% per year.
  • In contrast, the Industrials 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
AZN AstraZenecaUK£135.188.6%
+UK£16.6b		33.3%PE29.3xHealthcare
HSBA HSBC HoldingsUK£11.172.9%
+UK£5.4b		59.4%PB1.3xFinancials
SSE SSEUK£23.0722.3%
+UK£4.6b		36.4%PE21.3xUtilities
LLOY Lloyds Banking GroupUK£0.956.3%
+UK£3.2b		74.3%PB1.2xFinancials
BARC BarclaysUK£4.295.7%
+UK£3.2b		65.8%PB0.8xFinancials
See more

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SSE
UK£23.07
SSE
7D
22.3%
1Y
36.4%
EXPN
UK£33.23
Experian
7D
-7.8%
1Y
-11.7%
BA.
UK£17.92
BAE Systems
7D
-3.1%
1Y
33.3%
ULVR
UK£46.08
Unilever
7D
-0.9%
1Y
2.1%
BARC
UK£4.29
Barclays
7D
5.7%
1Y
65.8%
REL
UK£31.36
RELX
7D
-8.2%
1Y
-13.1%

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SN.
UK£12.82
Smith & Nephew
7D
-8.0%
1Y
34.7%

SN.: Trading Margins Will Improve After Recent Medical Device Launches

Analysts have raised their price target for Smith & Nephew slightly. The target has increased from $14.23 to $14.37, citing updated financial assumptions including modest improvements in profit margin and a slight increase in the projected discount rate.
HSBA
UK£11.17
HSBC Holdings
7D
2.9%
1Y
59.4%
IAG
UK£3.93
International Consolidated Airlines Group
7D
-7.7%
1Y
66.1%

IAG: Market Position At London Heathrow Will Drive Outperformance This Year

Analysts have slightly increased their price target for International Consolidated Airlines Group, raising it from £4.61 to £4.63 per share. This change is based on improved revenue growth expectations and a stronger strategic position in the European airline sector.
AZN
UK£135.18
AstraZeneca
7D
8.6%
1Y
33.3%
BATS
UK£42.41
British American Tobacco
7D
2.4%
1Y
52.7%
NWG
UK£6.24
NatWest Group
7D
6.1%
1Y
60.4%

NWG: Improved Profitability And Capital Returns Will Drive Shares Despite Revenue Pressure

NatWest Group's analyst price target has been upgraded from £6.05 to £6.37 per share. This reflects analysts' expectations for improved profitability and steady capital returns, despite slightly slower anticipated revenue growth.
SHEL
UK£29.09
Shell
7D
1.6%
1Y
15.2%

SHEL: Future Performance Will Reflect Capital Returns and Energy Sector Uncertainties

Shell's analyst price target has increased from $80 to $82. Analysts cite stronger-than-expected operational and trading performance, improved profit margins, and a lower discount rate, which are supporting upward revisions in fair value estimates.
LLOY
UK£0.95
Lloyds Banking Group
7D
6.3%
1Y
74.3%

LLOY: Upgraded Outlook Will Balance Revenue Gains and Buyback with Execution Risks

Analysts have raised their price target on Lloyds Banking Group from £0.91 to £0.94 per share. They cite stronger anticipated revenue growth, improved profit margins, and a modestly lower discount rate as key factors supporting the upgrade.
LSEG
UK£89.16
London Stock Exchange Group
7D
-8.4%
1Y
-16.4%

LSEG: Expansion Into Blockchain And AI Will Drive Future Performance

The analyst fair value estimate for London Stock Exchange Group has increased modestly from £120.20 to £123.11 per share, as analysts highlight improved revenue growth and profitability forecasts. Analyst Commentary Recent updates from major research firms reflect a spectrum of views on the outlook for London Stock Exchange Group.
III
UK£40.69
3i Group
7D
-6.6%
1Y
22.2%

III: Resilient Retail Exposure And Compounding Set To Sustain Long-Term Momentum

Analysts have raised their price target for 3i Group slightly from £46.48 to £46.65, citing the company's robust growth trajectory and the strength of its leading retail investment. Analyst Commentary Bullish Takeaways Bullish analysts highlight the company's prominent stake in a leading European discount variety retailer, viewing it as a key driver for long-term growth.