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U.K. (FTSE) Market Analysis & Valuation

UpdatedMay 06, 2026
DataAggregated Company Financials
Companies1080
  • 7D-0.9%
  • 3M-2.0%
  • 1Y18.7%
  • YTD3.0%

In the last week, the market has stayed flat, however the Information Technology sector stood out, gaining 3.4%. More promisingly, the market is up 19% over the past year. As for the next few years, earnings are expected to grow by 12% per annum.

Trending IndustriesOil and GasGoldBiotechSoftware

Market Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 06 May 2026UK£2.9tUK£2.0tUK£160.6b15.9x18x1.4x
Fri, 03 Apr 2026UK£2.9tUK£2.0tUK£158.4b15.1x18.5x1.5x
Sun, 01 Mar 2026UK£3.1tUK£2.0tUK£151.3b17x20.5x1.6x
Tue, 27 Jan 2026UK£2.9tUK£1.9tUK£136.7b16.8x21.4x1.5x
Thu, 25 Dec 2025UK£2.8tUK£2.0tUK£138.7b16.1x20.4x1.4x
Sat, 22 Nov 2025UK£2.7tUK£2.0tUK£139.0b16x19.7x1.4x
Mon, 20 Oct 2025UK£2.7tUK£1.9tUK£135.4b16.4x19.9x1.4x
Wed, 17 Sep 2025UK£2.7tUK£1.9tUK£135.1b16.4x19.7x1.4x
Fri, 15 Aug 2025UK£2.7tUK£1.9tUK£133.9b15.9x19.9x1.4x
Sun, 13 Jul 2025UK£2.5tUK£1.9tUK£127.3b16.1x19.8x1.3x
Tue, 10 Jun 2025UK£2.5tUK£1.9tUK£127.3b16.5x19.6x1.3x
Thu, 08 May 2025UK£2.4tUK£2.0tUK£130.6b16x18.7x1.2x
Sat, 05 Apr 2025UK£2.3tUK£2.0tUK£136.6b14.5x16.8x1.1x
Mon, 03 Mar 2025UK£2.5tUK£2.0tUK£139.0b15.7x18.2x1.2x
Wed, 29 Jan 2025UK£2.5tUK£2.1tUK£123.6b16x20.1x1.2x
Fri, 27 Dec 2024UK£2.4tUK£2.0tUK£123.1b15.9x19.4x1.2x
Sun, 24 Nov 2024UK£2.4tUK£2.1tUK£124.0b16.4x19.6x1.2x
Tue, 22 Oct 2024UK£2.4tUK£2.0tUK£119.0b16.3x20.4x1.2x
Thu, 19 Sep 2024UK£2.4tUK£2.0tUK£118.7b16.7x20.4x1.2x
Sat, 17 Aug 2024UK£2.4tUK£2.0tUK£121.7b16.8x20.1x1.2x
Mon, 15 Jul 2024UK£2.4tUK£2.0tUK£129.8b17x18.8x1.2x
Wed, 12 Jun 2024UK£2.4tUK£2.0tUK£129.8b16.5x18.7x1.2x
Fri, 10 May 2024UK£2.5tUK£2.1tUK£136.4b16.8x18.3x1.2x
Sun, 07 Apr 2024UK£2.4tUK£2.1tUK£146.0b16x16.4x1.1x
Tue, 05 Mar 2024UK£2.3tUK£2.0tUK£141.9b15.2x16.2x1.1x
Thu, 01 Feb 2024UK£2.3tUK£2.1tUK£191.9b14.9x12x1.1x
Sat, 30 Dec 2023UK£2.4tUK£2.1tUK£193.5b15x12.2x1.1x
Mon, 27 Nov 2023UK£2.3tUK£2.1tUK£193.6b14.4x11.7x1.1x
Wed, 25 Oct 2023UK£2.3tUK£2.2tUK£187.3b13.4x12x1x
Fri, 22 Sep 2023UK£2.4tUK£2.2tUK£186.2b14.6x12.7x1.1x
Sun, 20 Aug 2023UK£2.2tUK£2.1tUK£184.1b14.2x12.2x1x
Tue, 18 Jul 2023UK£2.3tUK£2.2tUK£204.9b13.8x11.3x1.1x
Thu, 15 Jun 2023UK£2.4tUK£2.2tUK£208.6b14.3x11.4x1.1x
Sat, 13 May 2023UK£2.4tUK£2.2tUK£212.0b14.4x11.5x1.1x
Price to Earnings Ratio

11.5x


Total Market Cap: UK£2.4tTotal Earnings: UK£212.0bTotal Revenue: UK£2.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 17.3x202420252026
Current Market PE
  • Investors are relatively neutral on the British market at the moment, indicating that they expect earnings will grow in line with historical growth rates.
  • The market is trading close to its 3-year average PE ratio of 17.3x.
Past Earnings Growth
  • The earnings for companies in the British industry have declined 8.8% per year over the last three years.
  • Revenues have also declined 2.5% 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-0.86%
Tech3.38%
Industrials1.93%
Telecom1.00%
Materials0.79%
Energy0.57%
Utilities-0.53%
Consumer Staples-0.54%
Consumer Discretionary-1.21%
Real Estate-1.96%
Financials-2.37%
Healthcare-4.87%
Sector PE
  • Investors favour the Tech sector the most for future growth, which is trading close to its 3-year average PE ratio of 52.9x.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 16.9%, 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 42% over the next 5 years.
  • This is better than its past earnings growth rate of 5.1% per year.
  • In contrast, the Consumer Staples 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
RR. Rolls-Royce HoldingsUK£12.7916.4%
+UK£15.0b		67.0%PE18.2xIndustrials
RIO Rio Tinto GroupUK£77.206.9%
+UK£8.0b		70.1%PE17.2xMaterials
ANTO AntofagastaUK£38.1911.1%
+UK£3.8b		125.3%PE38.6xMaterials
AAL Anglo AmericanUK£38.288.9%
+UK£3.3b		63.0%PS3xMaterials
ULVR UnileverUK£43.673.6%
+UK£3.3b		-19.1%PE19.4xConsumer Staples
See more

Market Insights

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Latest News

RR.
UK£12.79
Rolls-Royce Holdings
7D
16.4%
1Y
67.0%
DGE
UK£15.69
Diageo
7D
8.6%
1Y
-27.5%
HLN
UK£3.35
Haleon
7D
-1.6%
1Y
-17.0%
AZN
UK£135.66
AstraZeneca
7D
-0.9%
1Y
29.2%
SHEL
UK£32.12
Shell
7D
-2.1%
1Y
32.2%
GSK
UK£18.75
GSK
7D
-2.2%
1Y
36.0%
ULVR
UK£43.67
Unilever
7D
3.6%
1Y
-19.1%
LSEG
UK£93.40
London Stock Exchange Group
7D
-3.2%
1Y
-19.5%

LSEG: Activist Pressure And AI Partnerships Will Support Future Share Upside

Analysts have nudged their price targets on London Stock Exchange Group higher, with one recent move adding £1.00. This reflects updated views on fair value, discount rate, revenue growth assumptions, profit margin and future P/E levels.
BP.
UK£5.51
BP
7D
-4.3%
1Y
57.1%

BP.: Future Returns Will Balance Middle East Supply Risks And Portfolio Reshaping

BP's analyst price target has shifted slightly higher to reflect a modestly higher fair value estimate of £6.19 and a revised future P/E assumption of about 15.5x, as analysts factor in recent upgrades, higher Street targets and updated commodity price forecasts. Analyst Commentary Recent Street research on BP has been active, with a series of price target revisions and rating changes that feed directly into how investors might think about valuation, execution risks and growth expectations.
WEIR
UK£25.86
Weir Group
7D
-6.4%
1Y
11.9%

WEIR: M&A Execution And Margin Expansion Will Support Higher Future P/E

The analyst price target for Weir Group has been trimmed slightly to £33.55 from £34.09, reflecting recent mixed target revisions, where some banks raised their targets into the £3,200 to £3,800 range while others issued modest cuts. Analysts now factor in marginally lower revenue growth and profit margin assumptions, alongside a slightly higher future P/E multiple.
BA.
UK£20.90
BAE Systems
7D
4.4%
1Y
20.9%

BA.: US Defense Contracts And NATO Demand Will Support Future Upside

Analysts have nudged the fair value estimate for BAE Systems to £23.23 per share, a modest move supported by recent price target increases at several banks that cite slightly ahead of expectation 2025 results, a softer 2026 outlook, and updated P/E assumptions around £2,150 to £2,438 price targets. Analyst Commentary Recent research shows a mixed but generally constructive tone around BAE Systems, with several price target updates clustered around the £21.50 to £24.38 range and differing views on how much upside is left after the latest results and outlook.
BATS
UK£43.90
British American Tobacco
7D
3.1%
1Y
33.2%

BATS: Lower Earnings Quality And 2026 Guidance Will Restrict Future Upside

Analysts have raised their fair value estimate for British American Tobacco from £33.35 to £39.19, citing updated assumptions for revenue growth, profit margins and a higher future P/E multiple. What's in the News British American Tobacco reaffirmed full year 2026 earnings guidance, indicating performance at the lower end of constant currency revenue growth of 3% to 5% (company guidance).
AAL
UK£38.28
Anglo American
7D
8.9%
1Y
63.0%

AAL: Geopolitical And Commodity Risks Will Limit Post Teck Merger Upside

Analysts have raised the fair value estimate for Anglo American from £21.07 to £21.89 per share. This reflects a combination of recent price target changes, rating revisions, and updated views on revenue, margins and future P/E assumptions across the Street.
REL
UK£26.25
RELX
7D
-1.0%
1Y
-35.7%
ANTO
UK£38.19
Antofagasta
7D
11.1%
1Y
125.3%

ANTO: Mixed Broker Views Will Shape Outlook As Copper Conditions Steer Expectations

Antofagasta's analyst fair value has shifted from £26.26 to £35.00, as analysts factor in revised assumptions on revenue growth, profit margins and discount rates, alongside a mix of recent target changes, including multiple raises from Citi, Morgan Stanley, JPMorgan and others, set against several downgrades and target cuts. Analyst Commentary Recent research on Antofagasta presents a mixed picture, with both bullish and bearish analysts adjusting ratings and price targets in quick succession.
RIO
UK£77.20
Rio Tinto Group
7D
6.9%
1Y
70.1%

RIO: Cautious Tone Will Persist As Copper And Iron Ore Risks Intensify

Rio Tinto Group’s updated analyst price target reflects a modest uplift of about £0.25 per share, with analysts pointing to refreshed commodity assumptions, slightly higher revenue growth expectations, and updated P/E multiples, partly offset by more conservative margin and discount rate inputs. Analyst Commentary Recent research reflects a split view on Rio Tinto Group, with some firms lifting price targets while several bearish analysts have taken a more cautious stance on valuation, commodity exposure, and near term execution risks.