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U.K. (FTSE) Market Analysis & Valuation

UpdatedJan 02, 2026
DataAggregated Company Financials
Companies1098
  • 7D0.7%
  • 3M4.5%
  • 1Y19.5%
  • YTD5.1%

The market has stayed flat over the 7 days. As for the longer term, the market has risen 19% in the past 12 months. 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
Fri, 02 Jan 2026UK£2.8tUK£2.0tUK£138.0b16.3x20.6x1.5x
Sun, 30 Nov 2025UK£2.8tUK£2.0tUK£139.6b16.3x20x1.4x
Tue, 28 Oct 2025UK£2.8tUK£1.9tUK£135.6b16.7x20.5x1.4x
Thu, 25 Sep 2025UK£2.7tUK£1.9tUK£136.0b16.5x19.7x1.4x
Sat, 23 Aug 2025UK£2.7tUK£1.9tUK£134.0b16.1x20.2x1.4x
Mon, 21 Jul 2025UK£2.5tUK£1.9tUK£127.4b16x19.9x1.3x
Wed, 18 Jun 2025UK£2.5tUK£1.9tUK£127.7b16.1x19.6x1.3x
Fri, 16 May 2025UK£2.5tUK£2.0tUK£132.6b16.4x18.6x1.3x
Sun, 13 Apr 2025UK£2.3tUK£2.0tUK£135.7b14.7x16.7x1.1x
Tue, 11 Mar 2025UK£2.5tUK£2.0tUK£137.7b15.2x17.9x1.2x
Thu, 06 Feb 2025UK£2.5tUK£2.0tUK£122.9b16x20.2x1.2x
Sat, 04 Jan 2025UK£2.4tUK£2.1tUK£123.5b15.9x19.6x1.2x
Mon, 02 Dec 2024UK£2.4tUK£2.0tUK£122.5b16.3x19.9x1.2x
Wed, 30 Oct 2024UK£2.4tUK£2.0tUK£120.4b16x20.1x1.2x
Fri, 27 Sep 2024UK£2.4tUK£2.0tUK£117.5b17x20.8x1.2x
Sun, 25 Aug 2024UK£2.5tUK£2.0tUK£119.5b16.9x20.5x1.2x
Tue, 23 Jul 2024UK£2.4tUK£2.0tUK£129.3b16.8x18.7x1.2x
Thu, 20 Jun 2024UK£2.4tUK£2.0tUK£131.7b16.6x18.4x1.2x
Sat, 18 May 2024UK£2.5tUK£2.1tUK£127.7b16.9x19.7x1.2x
Mon, 15 Apr 2024UK£2.4tUK£2.1tUK£148.4b16x16.3x1.1x
Wed, 13 Mar 2024UK£2.3tUK£2.1tUK£144.5b16x16.2x1.1x
Fri, 09 Feb 2024UK£2.3tUK£2.0tUK£144.0b15.2x15.7x1.1x
Sun, 07 Jan 2024UK£2.3tUK£2.1tUK£193.5b15x12.1x1.1x
Tue, 05 Dec 2023UK£2.3tUK£2.1tUK£193.3b14.5x11.8x1.1x
Thu, 02 Nov 2023UK£2.2tUK£2.2tUK£194.9b13.5x11.3x1x
Sat, 30 Sep 2023UK£2.3tUK£2.2tUK£185.5b14.5x12.6x1.1x
Mon, 28 Aug 2023UK£2.3tUK£2.2tUK£183.8b14.5x12.3x1.1x
Wed, 26 Jul 2023UK£2.4tUK£2.2tUK£206.2b14.2x11.6x1.1x
Fri, 23 Jun 2023UK£2.3tUK£2.2tUK£208.2b14.2x11.2x1.1x
Sun, 21 May 2023UK£2.4tUK£2.2tUK£216.9b14.3x11.2x1.1x
Tue, 18 Apr 2023UK£2.5tUK£2.2tUK£180.2b14x13.7x1.1x
Thu, 16 Mar 2023UK£2.4tUK£2.2tUK£188.4b13.2x12.5x1.1x
Sat, 11 Feb 2023UK£2.5tUK£2.1tUK£194.7b13.8x12.9x1.2x
Mon, 09 Jan 2023UK£2.5tUK£2.1tUK£185.1b13.7x13.4x1.2x
Price to Earnings Ratio

13.4x


Total Market Cap: UK£2.5tTotal Earnings: UK£185.1bTotal Revenue: UK£2.1tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 16.6x202420252026
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 20.6x which is higher than its 3-year average PE of 16.6x.
Past Earnings Growth
  • The earnings for companies in the British industry have declined 9.3% per year over the last three years.
  • Revenues have also declined 2.4% 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 Market0.74%
Telecom1.92%
Real Estate1.76%
Energy1.64%
Materials1.52%
Healthcare0.94%
Utilities0.73%
Consumer Discretionary0.71%
Financials0.52%
Consumer Staples0.38%
Tech0.074%
Industrials-0.13%
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 52.8x.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 16.7%, which is higher than its past year's earnings growth of 8.4% per year.
Forecasted Growth
  • Analysts are most optimistic on the Telecom sector, expecting annual earnings growth of 31% 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 7.4% 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£27.401.6%
+UK£2.3b		8.4%PE14.4xEnergy
AZN AstraZenecaUK£137.900.8%
+UK£1.8b		29.7%PE30.7xHealthcare
GLEN GlencoreUK£4.073.1%
+UK£1.4b		12.1%PS0.3xMaterials
BP. BPUK£4.331.6%
+UK£1.1b		7.4%PE58.8xEnergy
FRES FresnilloUK£33.344.2%
+UK£987.4m		413.3%PE72.6xMaterials
See more

Market Insights

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Latest News

AHT
UK£50.86
Ashtead Group
7D
-1.9%
1Y
2.5%
EXPN
UK£33.63
Experian
7D
-0.7%
1Y
-3.5%
CPG
UK£23.64
Compass Group
7D
-0.3%
1Y
-12.0%

If EPS Growth Is Important To You, Compass Group (LON:CPG) Presents An Opportunity

Jan 01
If EPS Growth Is Important To You, Compass Group (LON:CPG) Presents An Opportunity
REL
UK£30.20
RELX
7D
-0.2%
1Y
-17.9%

Shareholders Would Enjoy A Repeat Of RELX's (LON:REL) Recent Growth In Returns

Dec 29
Shareholders Would Enjoy A Repeat Of RELX's (LON:REL) Recent Growth In Returns
PRU
UK£11.45
Prudential
7D
-0.5%
1Y
78.7%

PRU: Rising Earnings Power Will Support Stronger Capital Returns Ahead

Analysts have modestly raised their price target on Prudential to approximately $15.80 from about $15.09, citing improved profit margin expectations and a slightly higher long term valuation multiple, despite moderating revenue growth assumptions and a higher discount rate. Analyst Commentary Recent Street research indicates a constructive shift in sentiment toward Prudential, with successive price target increases reinforcing confidence in the company’s medium term earnings power and capital return profile.
AZN
UK£137.90
AstraZeneca
7D
0.8%
1Y
29.7%
AAL
UK£30.85
Anglo American
7D
2.4%
1Y
14.1%

AAL: Iron Ore Upside And Merger Progress Will Drive Bullish Rerating

Analysts have lifted their price target on Anglo American to about $35 from roughly $28, reflecting improved expectations for revenue growth, higher margins, and a more favorable long term iron ore and valuation outlook following a series of recent target increases from major brokerages. Analyst Commentary Recent research updates highlight a clear shift toward a more constructive stance on Anglo American, with a series of price target increases signaling rising confidence in the company’s earnings trajectory and asset quality.
GLEN
UK£4.07
Glencore
7D
3.1%
1Y
12.1%
FRES
UK£33.34
Fresnillo
7D
4.2%
1Y
413.3%

FRES: Higher Precious Metal Price Hopes Will Likely Overstate Future Earnings Potential

Fresnillo's analyst price target has been lifted sharply, rising from about 950 GBp to a range of 3,000 to 4,300 GBp, as analysts factor in stronger expected revenue growth, higher profit margins and a more constructive long-term precious metals price outlook. Analyst Commentary Recent target price revisions for Fresnillo highlight a wide dispersion in analyst expectations, reflecting divergent views on the sustainability of the company’s earnings recovery and leverage to higher precious metals prices.
SMIN
UK£23.52
Smiths Group
7D
-1.2%
1Y
35.9%

Smiths Group (LON:SMIN) Has A Pretty Healthy Balance Sheet

Dec 23
Smiths Group (LON:SMIN) Has A Pretty Healthy Balance Sheet
BP.
UK£4.33
BP
7D
1.6%
1Y
7.4%

BP.: Future Returns Will Reflect Portfolio Streamlining And Ongoing Divestment Execution

Analysts have modestly increased their price target on BP, reflecting a slightly higher fair value and improved long term earnings multiple assumptions, supported by recent target hikes to $40 in the U.S. and above 500 GBp in London, as they point to the company’s strategic reset, portfolio simplification, and still attractive valuation. Analyst Commentary Bullish analysts highlight that BP's strategy reset, with a sharper focus on portfolio simplification and divestment of non core assets, is starting to resonate in higher price targets and improved confidence in long term earnings growth.
GSK
UK£18.25
GSK
7D
1.1%
1Y
34.0%
SHEL
UK£27.40
Shell
7D
1.6%
1Y
8.4%

SHEL: Future Returns Will Reflect Free Cash Flow Amid Buyback Funding Debate

Shell's analyst price target has edged lower by approximately $0.12, as analysts weigh still resilient free cash flow and recent target hikes against valuation concerns following the year-to-date rally, as well as medium-term growth and resource replenishment challenges. Analyst Commentary Recent Street research reflects a nuanced view on Shell, with a mix of target price increases and rating downgrades as the stock reprices higher and investors reassess medium term growth and capital return risks.
BARC
UK£4.76
Barclays
7D
1.3%
1Y
78.3%

BARC: Modest Wealth Expansion Plans Will Support A Balanced Future Outlook

Analysts have raised their price target for Barclays slightly to reflect a modest uptick in fair value, supported by incremental improvements in projected revenue growth, profit margins, and future earnings multiples. What's in the News Priority Technology Holdings appointed Barclays as financial advisor to a committee of independent and disinterested directors overseeing strategic matters, underscoring ongoing demand for Barclays advisory capabilities (company announcement).
HSBA
UK£11.74
HSBC Holdings
7D
-0.1%
1Y
49.8%

HSBA: Future Returns Will Depend On Succession Decisions And Capital Deployment Choices

Analysts have modestly raised their price target on HSBC Holdings, reflecting a slightly higher fair value estimate of approximately $10.88 versus $10.62 previously, supported by expectations for disciplined cost control, solid mid teens returns on equity, and resilient revenue growth despite only marginally higher forward valuation multiples. Analyst Commentary Recent Street research on HSBC Holdings reflects a generally constructive stance on the bank's execution and capital return story, tempered by selective concerns about deal making and capital deployment.
HLMA
UK£35.38
Halma
7D
-0.8%
1Y
30.9%

HLMA: Raised Price Views Will Likely Sustain Premium Multiple Amid Mixed Sentiment

The analyst price target for Halma has been nudged higher, with our updated fair value estimate rising from about £36.67 to £37.11 per share. Analysts highlight a richer future earnings multiple supported by a series of upward target revisions across the Street, despite slightly softer long term growth and margin assumptions.