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U.K. (FTSE) Market Analysis & Valuation

UpdatedFeb 07, 2025
DataAggregated Company Financials
Companies1202
  • 7D1.0%
  • 3M7.0%
  • 1Y12.1%
  • YTD5.0%

Over the last 7 days, the market has remained flat, although notably the Healthcare sector gained 3.4% in that time. Meanwhile, the market is actually up 12% over the past year. As for the next few years, earnings are expected to grow by 15% 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
Sat, 08 Feb 2025UK£2.5tUK£2.0tUK£123.4b16.1x20.5x1.2x
Mon, 06 Jan 2025UK£2.4tUK£2.1tUK£123.5b15.9x19.6x1.2x
Wed, 04 Dec 2024UK£2.5tUK£2.0tUK£122.8b16.3x20x1.2x
Fri, 01 Nov 2024UK£2.4tUK£2.0tUK£118.5b16.2x20.4x1.2x
Sun, 29 Sep 2024UK£2.5tUK£2.0tUK£117.8b17x20.8x1.2x
Tue, 27 Aug 2024UK£2.5tUK£2.0tUK£119.6b16.9x20.5x1.2x
Thu, 25 Jul 2024UK£2.4tUK£2.0tUK£129.6b16.4x18.5x1.2x
Sat, 22 Jun 2024UK£2.4tUK£2.0tUK£132.0b16.6x18.4x1.2x
Mon, 20 May 2024UK£2.5tUK£2.0tUK£125.9b17x20x1.2x
Wed, 17 Apr 2024UK£2.4tUK£2.1tUK£148.4b16.1x16.3x1.1x
Fri, 15 Mar 2024UK£2.3tUK£2.1tUK£144.9b16.3x16.1x1.1x
Sun, 11 Feb 2024UK£2.3tUK£2.0tUK£144.7b15.2x15.6x1.1x
Tue, 09 Jan 2024UK£2.3tUK£2.1tUK£193.2b15.1x12.1x1.1x
Thu, 07 Dec 2023UK£2.3tUK£2.1tUK£193.5b14.6x11.8x1.1x
Sat, 04 Nov 2023UK£2.2tUK£2.1tUK£193.8b14x11.6x1x
Mon, 02 Oct 2023UK£2.3tUK£2.2tUK£186.2b14.6x12.6x1.1x
Wed, 30 Aug 2023UK£2.3tUK£2.2tUK£184.0b14.6x12.5x1.1x
Fri, 28 Jul 2023UK£2.4tUK£2.2tUK£206.4b14.3x11.7x1.1x
Sun, 25 Jun 2023UK£2.3tUK£2.2tUK£208.4b14.1x11.1x1.1x
Tue, 23 May 2023UK£2.4tUK£2.2tUK£216.8b14.4x11.3x1.1x
Thu, 20 Apr 2023UK£2.5tUK£2.2tUK£179.2b14x13.9x1.1x
Sat, 18 Mar 2023UK£2.3tUK£2.2tUK£185.7b13.2x12.5x1.1x
Mon, 13 Feb 2023UK£2.5tUK£2.1tUK£195.5b13.8x12.9x1.2x
Wed, 11 Jan 2023UK£2.5tUK£2.1tUK£185.2b13.5x13.4x1.2x
Fri, 09 Dec 2022UK£2.4tUK£2.1tUK£185.5b13.4x13x1.1x
Sun, 06 Nov 2022UK£2.4tUK£2.3tUK£210.5b12.5x11.3x1x
Tue, 04 Oct 2022UK£2.3tUK£2.3tUK£208.7b12x11x1x
Thu, 01 Sep 2022UK£2.5tUK£2.3tUK£207.3b13.3x11.9x1.1x
Sat, 30 Jul 2022UK£2.5tUK£2.2tUK£184.9b14.1x13.8x1.1x
Mon, 27 Jun 2022UK£2.5tUK£2.3tUK£195.5b14.3x12.7x1.1x
Wed, 25 May 2022UK£2.6tUK£2.2tUK£187.7b15.3x13.9x1.2x
Fri, 22 Apr 2022UK£2.6tUK£2.0tUK£188.9b16.9x13.9x1.3x
Sun, 20 Mar 2022UK£2.6tUK£2.0tUK£191.9b16.6x13.4x1.3x
Tue, 15 Feb 2022UK£2.7tUK£1.9tUK£164.1b17.6x16.5x1.5x
Price to Earnings Ratio

16.5x


Total Market Cap: UK£2.7tTotal Earnings: UK£164.1bTotal Revenue: UK£1.9tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 14.7x202320242025
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 20.5x which is higher than its 3-year average PE of 14.7x.
Past Earnings Growth
  • The earnings for British listed companies have declined 9.1% per year over the last three years.
  • Meanwhile revenues for these companies have grown 3.0% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Sector Trends

Which sectors have driven the changes within the U.K. Market?

GB Market0.98%
Healthcare3.40%
Materials2.24%
Real Estate1.68%
Telecom1.29%
Financials1.27%
Consumer Staples0.49%
Energy0.12%
Industrials0.12%
Information Technology0%0
Financials0%0
Health Care0%0
Industrials0%0
Consumer Discretionary-0.46%
Tech-0.91%
Utilities-1.23%
Sector PE
  • Investors favour the Consumer Staples sector the most for future growth, which is trading above its 3-year average PE ratio of 38.8x.
    • Analysts are expecting annual earnings growth of 13.9%, which is lower than the prior year's growth of 24.7% 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 9.9x.
Forecasted Growth
  • Analysts are most optimistic on the Real Estate sector, expecting annual earnings growth of 32% over the next 5 years.
  • This is better than its past earnings growth rate of 24% per year.
  • In contrast, the Financials sector is expected to see its earnings grow by 9.6% 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£116.002.3%
+UK£4.0b		18.8%PE31.7xHealthcare
BATS British American TobaccoUK£33.484.7%
+UK£3.3b		38.3%PS2.8xConsumer Staples
RIO Rio Tinto GroupUK£50.152.5%
+UK£2.0b		-6.2%PE9.4xMaterials
BP. BPUK£4.332.5%
+UK£1.6b		-9.4%PE30.9xEnergy
GSK GSKUK£14.432.7%
+UK£1.6b		-13.1%PE22.9xHealthcare
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AZN

UK£116.00

AstraZeneca

7D

2.3%

1Y

18.8%

GSK

UK£14.43

GSK

7D

2.7%

1Y

-13.1%

ULVR

UK£46.98

Unilever

7D

1.4%

1Y

17.3%

DGE

UK£22.22

Diageo

7D

-8.1%

1Y

-23.4%

BATS

UK£33.48

British American Tobacco

7D

4.7%

1Y

38.3%

British American Tobacco's (LON:BATS) Returns On Capital Are Heading Higher

Feb 06
British American Tobacco's (LON:BATS) Returns On Capital Are Heading Higher

BARC

UK£3.05

Barclays

7D

2.6%

1Y

114.2%

EXPN

UK£39.01

Experian

7D

-2.6%

1Y

16.2%

Investor Optimism Abounds Experian plc (LON:EXPN) But Growth Is Lacking

Feb 02
Investor Optimism Abounds Experian plc (LON:EXPN) But Growth Is Lacking

AHT

UK£49.79

Ashtead Group

7D

-6.2%

1Y

-5.2%

SHEL

UK£26.45

Shell

7D

-1.3%

1Y

6.3%

BP.

UK£4.33

BP

7D

2.5%

1Y

-9.4%

SSE

UK£15.60

SSE

7D

-4.4%

1Y

0.2%

SSE (LON:SSE) Has A Pretty Healthy Balance Sheet

Jan 29
SSE (LON:SSE) Has A Pretty Healthy Balance Sheet

IAG

UK£3.66

International Consolidated Airlines Group

7D

8.4%

1Y

154.7%

Is There An Opportunity With International Consolidated Airlines Group S.A.'s (LON:IAG) 48% Undervaluation?

Jan 25
Is There An Opportunity With International Consolidated Airlines Group S.A.'s (LON:IAG) 48% Undervaluation?

HSBA

UK£8.54

HSBC Holdings

7D

1.0%

1Y

40.1%

RIO

UK£50.15

Rio Tinto Group

7D

2.5%

1Y

-6.2%

BA.

UK£11.97

BAE Systems

7D

-2.2%

1Y

-1.0%

Pinning Down BAE Systems plc's (LON:BA.) P/E Is Difficult Right Now

Dec 26
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LSEG

UK£117.25

London Stock Exchange Group

7D

-2.6%

1Y

32.7%