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U.K. (FTSE) Market Analysis & Valuation

UpdatedMay 01, 2025
DataAggregated Company Financials
Companies1180
  • 7D1.2%
  • 3M-2.2%
  • 1Y2.0%
  • YTD1.7%

Over the last 7 days, the market has risen 1.2%, driven by gains of 3.8% in the Healthcare sector. In contrast, the Materials sector is lagging, dropping 3.1%. As for last year, the market performance has been flat. Earnings are forecast to grow by 14% annually.

Market Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 01 May 2025UK£2.4tUK£2.0tUK£131.0b15.5x18.5x1.2x
Sat, 29 Mar 2025UK£2.5tUK£2.0tUK£135.6b15.5x18.2x1.2x
Mon, 24 Feb 2025UK£2.5tUK£2.0tUK£137.6b16.2x18.2x1.2x
Wed, 22 Jan 2025UK£2.5tUK£2.1tUK£124.1b15.9x20.1x1.2x
Fri, 20 Dec 2024UK£2.4tUK£2.0tUK£123.0b15.7x19.4x1.2x
Sun, 17 Nov 2024UK£2.4tUK£2.0tUK£121.8b16.3x19.5x1.2x
Tue, 15 Oct 2024UK£2.4tUK£2.0tUK£118.8b16.3x20.2x1.2x
Thu, 12 Sep 2024UK£2.4tUK£2.0tUK£119.6b16.5x20.2x1.2x
Sat, 10 Aug 2024UK£2.4tUK£2.0tUK£123.3b16.4x19.6x1.2x
Mon, 08 Jul 2024UK£2.4tUK£2.0tUK£130.8b16.8x18.5x1.2x
Wed, 05 Jun 2024UK£2.5tUK£2.0tUK£129.6b16.7x19x1.2x
Fri, 03 May 2024UK£2.4tUK£2.1tUK£141.8b16.4x17.2x1.2x
Sun, 31 Mar 2024UK£2.4tUK£2.1tUK£145.9b16.4x16.5x1.1x
Tue, 27 Feb 2024UK£2.3tUK£2.0tUK£140.4b15.4x16.4x1.1x
Thu, 25 Jan 2024UK£2.3tUK£2.1tUK£193.3b14.9x11.8x1.1x
Sat, 23 Dec 2023UK£2.3tUK£2.1tUK£193.4b15.2x12.1x1.1x
Mon, 20 Nov 2023UK£2.3tUK£2.1tUK£194.4b14.4x11.7x1.1x
Wed, 18 Oct 2023UK£2.3tUK£2.2tUK£186.6b13.8x12.5x1.1x
Fri, 15 Sep 2023UK£2.4tUK£2.2tUK£185.8b14.7x12.7x1.1x
Sun, 13 Aug 2023UK£2.3tUK£2.1tUK£184.8b14.4x12.6x1.1x
Tue, 11 Jul 2023UK£2.3tUK£2.2tUK£207.1b13.8x10.9x1x
Thu, 08 Jun 2023UK£2.4tUK£2.2tUK£211.7b14.3x11.3x1.1x
Sat, 06 May 2023UK£2.4tUK£2.1tUK£208.9b14.4x11.7x1.1x
Mon, 03 Apr 2023UK£2.4tUK£2.2tUK£181.3b13.8x13.3x1.1x
Wed, 01 Mar 2023UK£2.5tUK£2.2tUK£193.9b13.8x13x1.2x
Fri, 27 Jan 2023UK£2.5tUK£2.1tUK£183.7b13.9x13.4x1.2x
Sun, 25 Dec 2022UK£2.4tUK£2.1tUK£185.8b13.3x13x1.1x
Tue, 22 Nov 2022UK£2.4tUK£2.1tUK£194.1b13x12.3x1.1x
Thu, 20 Oct 2022UK£2.3tUK£2.3tUK£207.7b11.9x11.1x1x
Sat, 17 Sep 2022UK£2.4tUK£2.3tUK£207.3b12.7x11.6x1x
Mon, 15 Aug 2022UK£2.5tUK£2.3tUK£201.4b14.2x12.6x1.1x
Wed, 13 Jul 2022UK£2.5tUK£2.2tUK£190.1b14.1x12.9x1.1x
Fri, 10 Jun 2022UK£2.6tUK£2.2tUK£192.7b14.9x13.4x1.2x
Sun, 08 May 2022UK£2.5tUK£2.2tUK£177.8b15.6x14.2x1.2x
Price to Earnings Ratio

14.2x


Total Market Cap: UK£2.5tTotal Earnings: UK£177.8bTotal 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 18.5x 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 9.7% per year over the last three years.
  • Revenues have also declined 3.2% 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 Market1.21%
Healthcare3.78%
Telecom3.47%
Tech3.10%
Utilities2.89%
Industrials2.63%
Consumer Discretionary2.47%
Real Estate1.29%
Consumer Staples0.68%
Financials0.34%
Energy-0.18%
Materials-3.11%
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 15.7%, 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 7.3% per year.
  • In contrast, the Consumer Staples sector is expected to see its earnings grow by 11% 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
GSK GSKUK£14.634.9%
+UK£2.8b
-15.4%PE23xHealthcare
AZN AstraZenecaUK£106.081.6%
+UK£2.5b
-12.7%PE28.1xHealthcare
RR. Rolls-Royce HoldingsUK£7.643.9%
+UK£2.4b
87.9%PE25.4xIndustrials
REL RELXUK£40.752.7%
+UK£2.0b
24.1%PE38.8xIndustrials
BA. BAE SystemsUK£17.423.8%
+UK£1.9b
31.0%PE26.7xIndustrials
See more
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Market Insights

The term ‘ Fiscal Dominance ’ has been popping up more in recent years, thanks to rising U.S. deficits. For the sake of your portfolio, this trend and its consequences are worth knowing about.

Latest News

RR.

UK£7.54

Rolls-Royce Holdings

7D

3.6%

1Y

85.1%

REL

UK£40.67

RELX

7D

3.1%

1Y

23.2%

AAL

UK£20.29

Anglo American

7D

-3.3%

1Y

-23.0%

GLEN

UK£2.44

Glencore

7D

-8.3%

1Y

-47.6%

AZN

UK£107.28

AstraZeneca

7D

3.5%

1Y

-11.8%

HSBA

UK£8.32

HSBC Holdings

7D

-1.6%

1Y

19.3%

ULVR

UK£47.59

Unilever

7D

-1.2%

1Y

15.0%

LGEN

UK£2.35

Legal & General Group

7D

-6.6%

1Y

-0.3%

BATS

UK£32.48

British American Tobacco

7D

2.3%

1Y

38.3%

RKT

UK£48.38

Reckitt Benckiser Group

7D

3.6%

1Y

8.1%

RIO

UK£44.47

Rio Tinto Group

7D

-3.0%

1Y

-18.0%