Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

U.K. (FTSE) Market Analysis & Valuation

UpdatedMay 18, 2025
DataAggregated Company Financials
Companies1172
  • 7D1.6%
  • 3M-1.0%
  • 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. As for last year, the market performance has been flat. Looking forward, 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
Sun, 18 May 2025UK£2.5tUK£2.0tUK£133.0b16.5x18.6x1.3x
Tue, 15 Apr 2025UK£2.3tUK£2.0tUK£135.1b14.9x17.1x1.2x
Thu, 13 Mar 2025UK£2.5tUK£2.0tUK£137.3b15.1x17.8x1.2x
Sat, 08 Feb 2025UK£2.5tUK£2.0tUK£124.0b16x20.3x1.2x
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
Price to Earnings Ratio

13.9x


Total Market Cap: UK£2.6tTotal Earnings: UK£187.7bTotal 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 3.9% 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£5.9b		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
See more
Simply Wall St™
Simply Wall Street Pty Ltd
Level 7, 320 Pitt Street, Sydney
Download on the App StoreGet it on Google Play
Popular Markets
USAUUKINCAZA
About UsCareersPlans & PricingLogin
Help CenterLatest CoveragePodcastsAffiliate ProgramBusiness & EnterpriseWhat's New
Financial Services GuideTerms and ConditionsPrivacy Policy
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.

Market Insights

Header cover image

🦾 The Investing Case For Automation And Robotics Stocks

Richard Bowman avatar
Richard Bowman
|
|

5 comments

This week we are back to our series on innovation and disruption, after a brief detour to honour Warren Buffett’s career. Specifically, we are looking at the field of automation and robotics...
Continue reading
Buffett Steps Down - The Lessons And Legacy Of The G.O.A.T.
Last Week

Buffett Steps Down - The Lessons And Legacy Of The G.O.A.T.

Latest News

ULVR

UK£46.25

Unilever

7D

-2.0%

1Y

7.2%

Calculating The Fair Value Of Unilever PLC (LON:ULVR)

May 18
Calculating The Fair Value Of Unilever PLC (LON:ULVR)

III

UK£39.74

3i Group

7D

-4.7%

1Y

34.3%

IMB

UK£27.04

Imperial Brands

7D

-10.4%

1Y

37.6%

FRES

UK£10.00

Fresnillo

7D

-5.7%

1Y

62.6%

There Could Be A Chance Fresnillo plc's (LON:FRES) CEO Will Have Their Compensation Increased

May 13
There Could Be A Chance Fresnillo plc's (LON:FRES) CEO Will Have Their Compensation Increased

BA.

UK£17.63

BAE Systems

7D

4.4%

1Y

29.5%

Is BAE Systems (LON:BA.) A Risky Investment?

May 12
Is BAE Systems (LON:BA.) A Risky Investment?

TSCO

UK£3.63

Tesco

7D

-3.9%

1Y

16.7%

Tesco's (LON:TSCO) Shareholders Will Receive A Bigger Dividend Than Last Year

May 11
Tesco's (LON:TSCO) Shareholders Will Receive A Bigger Dividend Than Last Year

GLEN

UK£2.66

Glencore

7D

5.4%

1Y

-46.5%

Is There An Opportunity With Glencore plc's (LON:GLEN) 26% Undervaluation?

May 11
Is There An Opportunity With Glencore plc's (LON:GLEN) 26% Undervaluation?

HLN

UK£4.04

Haleon

7D

-0.7%

1Y

22.8%

Here's Why Haleon (LON:HLN) Can Manage Its Debt Responsibly

May 10
Here's Why Haleon (LON:HLN) Can Manage Its Debt Responsibly

BARC

UK£3.26

Barclays

7D

6.0%

1Y

50.2%

STAN

UK£11.51

Standard Chartered

7D

7.8%

1Y

47.3%

RIO

UK£46.76

Rio Tinto Group

7D

4.0%

1Y

-19.2%

HSBA

UK£8.83

HSBC Holdings

7D

4.0%

1Y

26.7%

SHEL

UK£24.91

Shell

7D

1.3%

1Y

-11.2%

RR.

UK£8.10

Rolls-Royce Holdings

7D

2.3%

1Y

93.6%

An Intrinsic Calculation For Rolls-Royce Holdings plc (LON:RR.) Suggests It's 39% Undervalued

May 04
An Intrinsic Calculation For Rolls-Royce Holdings plc (LON:RR.) Suggests It's 39% Undervalued

DGE

UK£21.52

Diageo

7D

-1.2%

1Y

-23.2%

GGP

UK£0.12

Greatland Gold

7D

-14.6%

1Y

57.1%