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U.K. (FTSE) Market Analysis & Valuation

UpdatedJun 27, 2026
DataAggregated Company Financials
Companies1086
  • 7D1.1%
  • 3M5.4%
  • 1Y18.0%
  • YTD5.2%

The market is up 1.1% in the last 7 days, led by the Consumer Staples and Healthcare sectors. On the other hand, with a decline of 4.1%, the Materials sector is lagging behind. The market is up 18% over the last 12 months. As for the next few years, earnings are expected to grow by 11% per annum.

Trending IndustriesOil and GasGoldBiotechSoftwareRenewable Energy

Market Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 27 Jun 2026UK£2.9tUK£2.0tUK£165.4b15.7x17.8x1.4x
Mon, 25 May 2026UK£3.0tUK£2.0tUK£165.8b16.1x17.8x1.5x
Wed, 22 Apr 2026UK£3.0tUK£2.0tUK£157.5b16.2x18.9x1.5x
Fri, 20 Mar 2026UK£2.8tUK£2.0tUK£156.2b15.1x18.1x1.4x
Sun, 15 Feb 2026UK£3.0tUK£1.9tUK£145.5b16.7x20.6x1.5x
Tue, 13 Jan 2026UK£2.9tUK£2.0tUK£137.8b16.7x21.1x1.5x
Thu, 11 Dec 2025UK£2.8tUK£2.0tUK£138.4b15.9x19.9x1.4x
Sat, 08 Nov 2025UK£2.8tUK£2.0tUK£138.1b16.1x20.1x1.4x
Mon, 06 Oct 2025UK£2.7tUK£1.9tUK£135.4b16.8x20.2x1.4x
Wed, 03 Sep 2025UK£2.6tUK£2.0tUK£135.7b15.8x19.4x1.3x
Fri, 01 Aug 2025UK£2.6tUK£2.0tUK£126.3b16.4x20.3x1.3x
Sun, 29 Jun 2025UK£2.5tUK£1.9tUK£126.7b16.7x19.6x1.3x
Tue, 27 May 2025UK£2.5tUK£1.9tUK£125.7b16.2x19.7x1.3x
Thu, 24 Apr 2025UK£2.4tUK£2.0tUK£135.1b15.3x17.7x1.2x
Sat, 22 Mar 2025UK£2.5tUK£2.0tUK£136.5b15.6x18.1x1.2x
Mon, 17 Feb 2025UK£2.5tUK£2.0tUK£139.3b16.4x18.1x1.2x
Wed, 15 Jan 2025UK£2.4tUK£2.1tUK£124.8b15.7x19.2x1.2x
Fri, 13 Dec 2024UK£2.4tUK£2.0tUK£121.9b16.3x20x1.2x
Sun, 10 Nov 2024UK£2.4tUK£2.0tUK£118.2b16.3x20.2x1.2x
Tue, 08 Oct 2024UK£2.4tUK£2.0tUK£118.8b16.4x20.4x1.2x
Thu, 05 Sep 2024UK£2.4tUK£2.0tUK£119.1b16.8x20.5x1.2x
Sat, 03 Aug 2024UK£2.4tUK£2.0tUK£124.9b16.7x19.3x1.2x
Mon, 01 Jul 2024UK£2.4tUK£2.0tUK£132.1b16.2x18.2x1.2x
Wed, 29 May 2024UK£2.5tUK£2.0tUK£129.0b17.2x19.1x1.2x
Fri, 26 Apr 2024UK£2.4tUK£2.1tUK£143.8b15.8x16.8x1.2x
Sun, 24 Mar 2024UK£2.4tUK£2.1tUK£147.6b16.3x16.4x1.1x
Tue, 20 Feb 2024UK£2.3tUK£2.0tUK£147.1b15.2x15.6x1.1x
Thu, 18 Jan 2024UK£2.3tUK£2.1tUK£193.7b14.6x11.6x1.1x
Sat, 16 Dec 2023UK£2.3tUK£2.1tUK£193.7b15.1x11.9x1.1x
Mon, 13 Nov 2023UK£2.2tUK£2.2tUK£195.3b13.9x11.4x1x
Wed, 11 Oct 2023UK£2.3tUK£2.2tUK£185.9b14x12.6x1.1x
Fri, 08 Sep 2023UK£2.3tUK£2.2tUK£185.3b14.4x12.4x1.1x
Sun, 06 Aug 2023UK£2.4tUK£2.2tUK£189.4b14.6x12.4x1.1x
Tue, 04 Jul 2023UK£2.3tUK£2.2tUK£208.4b14.1x11.3x1.1x
Price to Earnings Ratio

11.3x


Total Market Cap: UK£2.3tTotal Earnings: UK£208.4bTotal Revenue: UK£2.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 17.6x202420252026
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 17.6x.
Past Earnings Growth
  • The earnings for companies in the British industry have declined 7.4% per year over the last three years.
  • Revenues have also declined 2.3% 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 Market1.14%
Real Estate6.87%
Healthcare6.15%
Consumer Staples6.06%
Consumer Discretionary3.09%
Utilities2.82%
Financials1.02%
Industrials-0.33%
Telecom-1.05%
Tech-2.02%
Materials-4.09%
Energy-4.23%
Sector PE
  • Investors favour the Telecom sector the most for future growth which is trading above its 3-year average PE ratio.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 25.9%, which is higher than its past year's earnings growth of 3.1% per year.
  • The Financials sector is the least preferred by investors for future growth. Although, investor sentiment seems to have improved given that it's trading above its 3-year average of 10.2x.
Forecasted Growth
  • Analysts are most optimistic on the Telecom sector, expecting annual earnings growth of 26% over the next 5 years.
  • This is better than its past earnings growth rate of 3.1% per year.
  • In contrast, the Consumer Staples sector is expected to see its earnings grow by 6.9% 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£143.188.2%
+UK£16.8b		40.0%PE28.2xHealthcare
BATS British American TobaccoUK£47.519.5%
+UK£8.9b		38.5%PE13.4xConsumer Staples
ULVR UnileverUK£46.015.4%
+UK£5.1b		-7.7%PE20.3xConsumer Staples
III 3i GroupUK£25.3215.0%
+UK£3.3b		-39.1%PE4.8xFinancials
LLOY Lloyds Banking GroupUK£1.093.9%
+UK£2.4b		42.5%PB1.3xFinancials
See more

Market Insights

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Latest News

SHEL
UK£28.98
Shell
7D
-3.2%
1Y
12.0%
III
UK£25.32
3i Group
7D
15.0%
1Y
-39.1%
HSBA
UK£14.23
HSBC Holdings
7D
-0.6%
1Y
60.9%
AZN
UK£143.18
AstraZeneca
7D
8.2%
1Y
40.0%
BA.
UK£18.08
BAE Systems
7D
-2.1%
1Y
-2.9%
GSK
UK£19.83
GSK
7D
3.0%
1Y
41.1%
LLOY
UK£1.09
Lloyds Banking Group
7D
3.9%
1Y
42.5%
Narrative Update • Jun 26

LLOY: AI Investment And Buybacks Will Shape A Balanced Future Return Profile

The latest narrative update on Lloyds Banking Group reflects a revised analyst price target that aligns with a fair value estimate of £1.16 per share, with analysts citing adjusted assumptions for the discount rate, revenue growth, profit margin and future P/E to support the change. What’s in the News for Lloyds Banking Group Lloyds Banking Group plans to hire close to 300 people for agentic AI related roles, including data and AI scientists, engineers, responsible AI specialists, and AI product managers, with more than 1,000 AI related roles expected in 2026 as part of a wider AI expansion plan.
SGRO
UK£8.80
SEGRO
7D
19.0%
1Y
28.1%
RKT
UK£49.31
Reckitt Benckiser Group
7D
6.9%
1Y
-4.2%
Narrative Update • Jun 24

RKT: Future Returns Will Rely On Resilient Margins And Share Repurchases

Reckitt Benckiser Group’s analyst fair value estimate has edged down slightly, in line with a series of recent price target trims that include Morgan Stanley’s move from £62.00 to £58.00 and Citi’s £8.00 reduction, as analysts reassess assumptions while broadly maintaining a constructive stance on the stock. Analyst Commentary Recent research on Reckitt Benckiser Group has centered on adjustments to price targets and ratings, giving you a clearer picture of how the Street is weighing valuation support against execution risks.
ULVR
UK£46.01
Unilever
7D
5.4%
1Y
-7.7%
Narrative Update • Jun 24

ULVR: Planned Foods Combination Will Support Future Upside Despite Lowered Price Expectations

Unilever's analyst price target has been revised lower to £37.00 from £43.00, as analysts balance slightly higher long term EPS assumptions with concerns that a valuation in line with U.S. peers may be difficult to justify. Analyst Commentary Recent research on Unilever shows a mix of optimism on earnings power and caution around how far the valuation can stretch, especially when compared with large U.S. consumer peers.
BP.
UK£4.69
BP
7D
-6.8%
1Y
26.7%
GLEN
UK£5.15
Glencore
7D
-7.6%
1Y
79.5%
New Narrative • Jun 19

Copper Expansion And Political Risks Will Reshape Long Term Earnings Profile

Catalysts About Glencore Glencore is a diversified natural resources group involved in mining, processing and marketing of metals, energy products and other commodities. What are the underlying business or industry changes driving this perspective?
RIO
UK£71.68
Rio Tinto Group
7D
-3.1%
1Y
67.4%
Narrative Update • Jun 18

RIO: Fair Value View Balances EV Metals Upside And China Demand Risks

The analyst fair value estimate for Rio Tinto Group has been raised from £69.66 to £77.68, reflecting a series of higher Street price targets in the £6,400 to £9,300 range and updated assumptions for discount rate, revenue growth, and future P/E. Analyst Commentary Recent research on Rio Tinto Group points to a mixed but generally constructive stance on the stock, with most price targets clustering between £64 and £93 per share equivalent, and several analysts adjusting their models around valuation, execution on projects and commodity exposure.
LSEG
UK£80.62
London Stock Exchange Group
7D
-4.7%
1Y
-24.7%
Narrative Update • Jun 17

LSEG: Digital Expansion And Share Buybacks Will Support Future Share Price Upside

Analysts have nudged their price targets for London Stock Exchange Group higher, with one recent move adding £1.00 to the prior level. The change reflects updated views on fair value, discount rate, revenue growth, profit margin and future P/E assumptions.
AAL
UK£37.18
Anglo American
7D
-4.4%
1Y
72.8%
Narrative Update • Jun 16

AAL: Copper Shift And Iron Ore Risks Will Shape Fairly Balanced Outlook

Anglo American's fair value estimate has moved from £36.80 to £38.39 as analysts adjust price targets higher by several hundred pence and highlight a shift in growth focus toward copper over iron ore, while also reflecting updated assumptions for revenue growth, profit margins and future P/E. Analyst Commentary Recent research on Anglo American highlights a split view, with several bullish analysts lifting price targets while more cautious voices flag earnings pressure in iron ore and execution risks around the shift toward copper.
BATS
UK£47.51
British American Tobacco
7D
9.5%
1Y
38.5%
Narrative Update • Jun 15

BATS: Future Returns Will Reflect Smokeless Transition Progress And Dividend Dependability

Analysts have raised their fair value estimate for British American Tobacco from £46.21 to £50.27. This reflects updated assumptions around discount rates, profit margins and future P/E expectations.