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U.K. (FTSE) Market Analysis & Valuation

UpdatedMay 17, 2025
DataAggregated Company Financials
Companies1172
  • 7D1.6%
  • 3M-0.7%
  • 1Y0.7%
  • YTD4.2%

Over the last 7 days, the market has risen 1.6%, driven by gains of 2.8% in the Financials sector. In the last 12 months, the market has been flat. 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
Sat, 17 May 2025UK£2.5tUK£2.0tUK£133.0b16.5x18.6x1.3x
Mon, 14 Apr 2025UK£2.3tUK£2.0tUK£135.7b14.7x16.7x1.1x
Wed, 12 Mar 2025UK£2.4tUK£2.0tUK£137.7b15.1x17.7x1.2x
Fri, 07 Feb 2025UK£2.5tUK£2.0tUK£123.4b16.1x20.5x1.2x
Sun, 05 Jan 2025UK£2.4tUK£2.1tUK£123.5b15.9x19.6x1.2x
Tue, 03 Dec 2024UK£2.4tUK£2.0tUK£123.0b16.3x19.9x1.2x
Thu, 31 Oct 2024UK£2.4tUK£2.0tUK£120.7b16.2x20x1.2x
Sat, 28 Sep 2024UK£2.5tUK£2.0tUK£117.7b16.9x20.8x1.2x
Mon, 26 Aug 2024UK£2.5tUK£2.0tUK£119.5b16.9x20.5x1.2x
Wed, 24 Jul 2024UK£2.4tUK£2.0tUK£129.5b16.7x18.6x1.2x
Fri, 21 Jun 2024UK£2.4tUK£2.0tUK£131.9b16.6x18.5x1.2x
Sun, 19 May 2024UK£2.5tUK£2.0tUK£125.9b17x20x1.2x
Tue, 16 Apr 2024UK£2.4tUK£2.1tUK£148.3b16.1x16.2x1.1x
Thu, 14 Mar 2024UK£2.4tUK£2.1tUK£145.0b16.2x16.2x1.1x
Sat, 10 Feb 2024UK£2.3tUK£2.0tUK£144.7b15.2x15.6x1.1x
Mon, 08 Jan 2024UK£2.3tUK£2.1tUK£193.5b15x12.1x1.1x
Wed, 06 Dec 2023UK£2.3tUK£2.1tUK£193.6b14.6x11.7x1.1x
Fri, 03 Nov 2023UK£2.2tUK£2.2tUK£195.2b13.8x11.5x1x
Sun, 01 Oct 2023UK£2.3tUK£2.2tUK£186.2b14.6x12.6x1.1x
Tue, 29 Aug 2023UK£2.3tUK£2.2tUK£183.8b14.5x12.3x1.1x
Thu, 27 Jul 2023UK£2.4tUK£2.2tUK£205.9b14.2x11.7x1.1x
Sat, 24 Jun 2023UK£2.3tUK£2.2tUK£208.6b14.1x11.1x1.1x
Mon, 22 May 2023UK£2.4tUK£2.2tUK£216.9b14.3x11.2x1.1x
Wed, 19 Apr 2023UK£2.5tUK£2.2tUK£179.7b14x13.8x1.1x
Fri, 17 Mar 2023UK£2.3tUK£2.2tUK£186.8b13.2x12.5x1.1x
Sun, 12 Feb 2023UK£2.5tUK£2.1tUK£195.5b13.8x12.9x1.2x
Tue, 10 Jan 2023UK£2.5tUK£2.1tUK£184.4b13.6x13.5x1.2x
Thu, 08 Dec 2022UK£2.4tUK£2.1tUK£186.5b13.5x13x1.1x
Sat, 05 Nov 2022UK£2.4tUK£2.3tUK£210.5b12.5x11.3x1x
Mon, 03 Oct 2022UK£2.3tUK£2.4tUK£209.8b11.9x10.9x1x
Wed, 31 Aug 2022UK£2.5tUK£2.3tUK£206.6b13.4x12x1.1x
Fri, 29 Jul 2022UK£2.5tUK£2.3tUK£191.2b13.9x13.2x1.1x
Sun, 26 Jun 2022UK£2.5tUK£2.3tUK£195.5b14.3x12.7x1.1x
Tue, 24 May 2022UK£2.5tUK£2.2tUK£186.1b15.4x13.7x1.2x
Price to Earnings Ratio

13.7x


Total Market Cap: UK£2.5tTotal Earnings: UK£186.1bTotal Revenue: UK£2.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 15x202320242025
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 18.6x which is higher than its 3-year average PE of 15.0x.
Past Earnings Growth
  • The earnings for companies in the British industry have declined 11% per year over the last three years.
  • Revenues have also declined 3.6% 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 Market1.61%
Industrials2.83%
Materials2.77%
Financials2.76%
Consumer Discretionary2.76%
Telecom2.59%
Tech1.31%
Energy1.10%
Utilities0.97%
Healthcare0.84%
Real Estate0.83%
Consumer Staples-1.32%
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 54.9x.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 15.2%, which is higher than its past year's earnings growth of 9.8% 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 10.0x.
Forecasted Growth
  • Analysts are most optimistic on the Materials sector, expecting annual earnings growth of 21% over the next 5 years.
  • This is better than its past earnings decline of 3.3% per year.
  • In contrast, the Utilities sector is expected to see its earnings grow by 9.7% 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
HSBA HSBC HoldingsUK£8.834.0%
+UK£5.8b		26.7%PB1.1xFinancials
RIO Rio Tinto GroupUK£46.764.0%
+UK£2.9b		-19.2%PE8.7xMaterials
BARC BarclaysUK£3.266.0%
+UK£2.6b		50.2%PB0.6xFinancials
BA. BAE SystemsUK£17.634.4%
+UK£2.2b		29.5%PE27xIndustrials
SHEL ShellUK£24.911.3%
+UK£1.9b		-11.2%PE14.6xEnergy
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7.8%

1Y

47.3%

RIO

UK£46.76

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4.0%

1Y

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HSBA

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