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U.K. (FTSE) Market Analysis & Valuation

UpdatedFeb 18, 2026
DataAggregated Company Financials
Companies1092
  • 7D1.6%
  • 3M11.7%
  • 1Y21.1%
  • YTD6.5%

The market has climbed 1.6% in the last 7 days, lead by the Healthcare sector with a gain of 6.6%. As for the past 12 months, the market is up 21%. Looking forward, earnings are forecast to grow by 13% 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, 18 Feb 2026UK£3.0tUK£1.9tUK£146.1b16.6x20.7x1.6x
Fri, 16 Jan 2026UK£2.9tUK£2.0tUK£138.2b16.7x21.2x1.5x
Sun, 14 Dec 2025UK£2.8tUK£2.0tUK£138.2b15.9x20x1.4x
Tue, 11 Nov 2025UK£2.8tUK£2.0tUK£138.1b16.4x20.3x1.4x
Thu, 09 Oct 2025UK£2.7tUK£1.9tUK£135.6b16.8x20.3x1.4x
Sat, 06 Sep 2025UK£2.7tUK£1.9tUK£135.6b16.4x19.7x1.4x
Mon, 04 Aug 2025UK£2.6tUK£2.0tUK£134.5b16.3x19.5x1.3x
Wed, 02 Jul 2025UK£2.5tUK£1.9tUK£126.6b16.4x19.6x1.3x
Fri, 30 May 2025UK£2.5tUK£1.9tUK£127.3b16.1x19.4x1.3x
Sun, 27 Apr 2025UK£2.4tUK£2.0tUK£134.9b15.3x17.7x1.2x
Tue, 25 Mar 2025UK£2.5tUK£2.0tUK£136.0b15.6x18.1x1.2x
Thu, 20 Feb 2025UK£2.5tUK£2.0tUK£139.1b16.5x18.2x1.3x
Sat, 18 Jan 2025UK£2.5tUK£2.1tUK£125.0b16x19.9x1.2x
Mon, 16 Dec 2024UK£2.4tUK£2.0tUK£122.5b16.3x19.9x1.2x
Wed, 13 Nov 2024UK£2.4tUK£2.0tUK£119.1b16.3x19.9x1.2x
Fri, 11 Oct 2024UK£2.4tUK£2.0tUK£118.9b16.3x20.2x1.2x
Sun, 08 Sep 2024UK£2.4tUK£2.0tUK£119.2b16.7x20.2x1.2x
Tue, 06 Aug 2024UK£2.4tUK£2.0tUK£125.3b16.2x18.8x1.2x
Thu, 04 Jul 2024UK£2.4tUK£2.0tUK£131.0b16.7x18.4x1.2x
Sat, 01 Jun 2024UK£2.5tUK£2.0tUK£129.3b17.3x19.1x1.2x
Mon, 29 Apr 2024UK£2.4tUK£2.1tUK£143.7b16x16.9x1.2x
Wed, 27 Mar 2024UK£2.4tUK£2.1tUK£146.3b16.3x16.4x1.1x
Fri, 23 Feb 2024UK£2.3tUK£2.0tUK£143.2b15.4x16.1x1.1x
Sun, 21 Jan 2024UK£2.3tUK£2.1tUK£193.6b14.6x11.7x1.1x
Tue, 19 Dec 2023UK£2.3tUK£2.1tUK£194.1b14.9x11.8x1.1x
Thu, 16 Nov 2023UK£2.3tUK£2.1tUK£193.7b14.3x11.7x1.1x
Sat, 14 Oct 2023UK£2.3tUK£2.2tUK£187.0b13.8x12.4x1.1x
Mon, 11 Sep 2023UK£2.3tUK£2.2tUK£185.6b14.5x12.4x1.1x
Wed, 09 Aug 2023UK£2.3tUK£2.2tUK£189.4b14.4x12.3x1.1x
Fri, 07 Jul 2023UK£2.3tUK£2.2tUK£208.2b13.9x10.9x1x
Sun, 04 Jun 2023UK£2.4tUK£2.2tUK£212.0b14.3x11.2x1.1x
Tue, 02 May 2023UK£2.5tUK£2.2tUK£179.2b14.4x13.8x1.1x
Thu, 30 Mar 2023UK£2.4tUK£2.2tUK£182.8b13.6x13x1.1x
Sat, 25 Feb 2023UK£2.5tUK£2.2tUK£194.7b13.7x13x1.2x
Price to Earnings Ratio

13x


Total Market Cap: UK£2.5tTotal Earnings: UK£194.7bTotal Revenue: UK£2.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 16.9x202420252026
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 20.7x which is higher than its 3-year average PE of 16.9x.
Past Earnings Growth
  • The earnings for companies in the British industry have declined 9.1% per year over the last three years.
  • Revenues have also declined 3.8% 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%
Healthcare6.64%
Utilities5.42%
Industrials2.49%
Real Estate2.00%
Consumer Staples1.62%
Tech1.42%
Energy1.27%
Telecom0.96%
Consumer Discretionary0.81%
Financials-0.62%
Materials-0.85%
Sector PE
  • Investors favour the Materials sector the most for future growth, which is trading above its 3-year average PE ratio of 20.6x.
    • Analysts are expecting annual earnings growth of 24.8%, which is lower than the prior year's growth of 33.5% per year.
Forecasted Growth
  • Analysts are most optimistic on the Telecom sector, expecting annual earnings growth of 30% 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 7.5% 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
AZN AstraZenecaUK£155.229.6%
+UK£21.1b		31.7%PE31.9xHealthcare
RR. Rolls-Royce HoldingsUK£12.974.3%
+UK£4.4b		101.3%PE18.7xIndustrials
NG. National GridUK£13.776.5%
+UK£4.2b		45.9%PE23.8xUtilities
ULVR UnileverUK£54.133.2%
+UK£3.7b		10.9%PE24.2xConsumer Staples
BA. BAE SystemsUK£20.295.5%
+UK£3.1b		51.8%PE30.5xIndustrials
See more

Market Insights

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Latest News

RR.
UK£12.97
Rolls-Royce Holdings
7D
4.3%
1Y
101.3%

RR.: Turnaround Progress And Quantum Advances Will Support Stronger Long Term Prospects

Analysts have lifted their price target on Rolls-Royce Holdings, with our fair value estimate moving from £15.68 to £16.25, citing updated assumptions around revenue growth, profit margins and future P/E multiples supported by recent positive research on Ultrafan and the wider turnaround story. Analyst Commentary Recent Street research has leaned constructive, with bullish analysts pointing to both the ongoing business turnaround and the potential of the Ultrafan program as key parts of the Rolls-Royce equity story.
BATS
UK£43.24
British American Tobacco
7D
-1.1%
1Y
42.9%

British American Tobacco p.l.c. (LON:BATS) Annual Results: Here's What Analysts Are Forecasting For This Year

Feb 15
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ULVR
UK£54.13
Unilever
7D
3.2%
1Y
10.9%
BA.
UK£20.29
BAE Systems
7D
5.5%
1Y
51.8%
AZN
UK£155.22
AstraZeneca
7D
9.6%
1Y
31.7%
GSK
UK£22.39
GSK
7D
3.3%
1Y
55.2%

GSK (LON:GSK) Will Pay A Larger Dividend Than Last Year At £0.18

Feb 13
GSK (LON:GSK) Will Pay A Larger Dividend Than Last Year At £0.18
SDR
UK£5.86
Schroders
7D
25.4%
1Y
51.6%
STJ
UK£12.19
St. James's Place
7D
-15.9%
1Y
6.3%
TSCO
UK£4.95
Tesco
7D
7.9%
1Y
29.3%
GLEN
UK£4.86
Glencore
7D
-2.1%
1Y
37.5%

GLEN: Fair Outlook Weighs Ended Megamerger Talks Against Evolving Earnings Power

Analysts have lifted their Glencore price targets, citing updated assumptions that show fair value at 5.30, slightly higher discount rates at 9.03%, and modest adjustments to revenue growth, profit margin and future P/E expectations. Analyst Commentary Recent research on Glencore shows active debate around where fair value sits, with several price target changes and at least one downgrade shaping a mixed picture.
STAN
UK£17.67
Standard Chartered
7D
-1.3%
1Y
55.2%

STAN: Future Returns Will Depend On Crypto Expansion And Execution Consistency

Narrative Update The analyst price target for Standard Chartered has been revised higher to £17.91 from £17.29. This reflects analysts' use of updated assumptions for revenue growth, profit margins, discount rate and future P/E, alongside recent Street research that includes higher price targets from JPMorgan, Morgan Stanley and Citi.
NG.
UK£13.77
National Grid
7D
6.5%
1Y
45.9%

NG.: Dividend Outlook And Regulation Will Shape Steady Future Returns

Analysts have slightly raised their price target on National Grid, citing updated assumptions around fair value, discount rate, revenue growth, profit margin, and future P/E that together point to a modestly higher implied equity value. Analyst Commentary Bullish Takeaways Bullish analysts see the updated assumptions on fair value and discount rate as broadly consistent with a regulated utility earning a steady return, which they view as supportive of the slightly higher price target.
AAL
UK£34.99
Anglo American
7D
-2.3%
1Y
25.6%
PRU
UK£11.02
Prudential
7D
-5.9%
1Y
51.6%

PRU: Share Buybacks And Revised Assumptions Will Shape Future Market Verdict

Analysts have lifted their price targets on Prudential to £15.00 and £12.70, reflecting updated assumptions that include a fair value estimate of 11.9, a discount rate of 7.198%, revenue growth of 2.40%, a profit margin of 20.22% and a future P/E of 17.21. Analyst Commentary Recent Street research points to a supportive tone on Prudential, with both JPMorgan and Morgan Stanley updating their price targets in line with the valuation inputs discussed earlier.
KAP
US$79.70
National Atomic Company Kazatomprom JSC
7D
-5.1%
1Y
107.6%

KAP: Japanese Supply Deal And 2026 Guidance Will Support Steady Outlook

Analysts have trimmed their price target for National Atomic Company Kazatomprom JSC slightly, citing updated assumptions that reflect a modestly higher revenue growth outlook, a small adjustment to profit margin expectations, and a lower future P/E multiple. What's in the News Kazatomprom issued production and earnings guidance for 2026, indicating expected group sales volumes in a range of 19,500 tU to 20,500 tU, with KAP sales volumes between 13,100 tU and 14,100 tU, and total production on a 100% basis targeted between 27,500 tU and 29,000 tU (Key Developments).
HSBA
UK£12.70
HSBC Holdings
7D
-2.7%
1Y
41.4%

HSBA: Future Returns Will Hinge On Chair Succession Rather Than Execution

Analysts have nudged their fair value estimate for HSBC Holdings higher to £11.54 from £11.25, citing updated assumptions for slightly faster revenue growth, a modestly higher profit margin, and a P/E multiple that lines up with recent price target moves and rating changes from Citi, Erste Group, and Morgan Stanley. Analyst Commentary Recent Street research on HSBC Holdings points to a mix of optimism around execution in the next few years and some caution on how much of that is already reflected in the share price.