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

U.K. (FTSE) Market Analysis & Valuation

UpdatedSep 22, 2026
DataAggregated Company Financials
Companies1061
  • 7D0.6%
  • 3M3.4%
  • 1Y16.6%
  • YTD8.0%

The Utilities sector gained 4.8% while the market remained flat over the last week. Meanwhile, the market is actually up 17% over the past year. As for the next few years, earnings are expected to grow by 11% 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
Tue, 22 Sep 2026UK£3.0tUK£2.2tUK£174.6b15.9x17.3x1.4x
Thu, 20 Aug 2026UK£3.0tUK£2.1tUK£173.3b16.4x17.5x1.4x
Sat, 18 Jul 2026UK£3.0tUK£2.0tUK£164.5b15.8x18.1x1.5x
Mon, 15 Jun 2026UK£3.0tUK£2.0tUK£164.5b15.9x18x1.5x
Wed, 13 May 2026UK£2.9tUK£2.0tUK£161.2b15.9x18x1.4x
Fri, 10 Apr 2026UK£3.0tUK£2.0tUK£157.4b15.6x19x1.5x
Sun, 08 Mar 2026UK£2.9tUK£2.0tUK£154.0b16.3x18.9x1.5x
Tue, 03 Feb 2026UK£3.0tUK£1.9tUK£137.8b17x21.5x1.5x
Thu, 01 Jan 2026UK£2.8tUK£2.0tUK£138.1b16.3x20.6x1.5x
Sat, 29 Nov 2025UK£2.8tUK£2.0tUK£139.5b16.3x20x1.4x
Mon, 27 Oct 2025UK£2.8tUK£1.9tUK£135.7b16.7x20.4x1.4x
Wed, 24 Sep 2025UK£2.7tUK£1.9tUK£135.7b16.6x19.6x1.4x
Fri, 22 Aug 2025UK£2.7tUK£2.0tUK£134.4b16.1x20x1.4x
Sun, 20 Jul 2025UK£2.5tUK£1.9tUK£127.4b16x19.9x1.3x
Tue, 17 Jun 2025UK£2.5tUK£1.9tUK£127.3b16.2x19.7x1.3x
Thu, 15 May 2025UK£2.4tUK£2.0tUK£131.0b16.3x18.7x1.2x
Sat, 12 Apr 2025UK£2.3tUK£2.0tUK£135.6b14.7x16.7x1.1x
Mon, 10 Mar 2025UK£2.5tUK£2.0tUK£137.5b15.5x18.1x1.2x
Wed, 05 Feb 2025UK£2.5tUK£2.0tUK£123.0b15.8x20.3x1.2x
Fri, 03 Jan 2025UK£2.4tUK£2.1tUK£123.8b16x19.6x1.2x
Sun, 01 Dec 2024UK£2.4tUK£2.0tUK£122.5b16.3x19.9x1.2x
Tue, 29 Oct 2024UK£2.4tUK£2.0tUK£123.5b16.2x19.8x1.2x
Thu, 26 Sep 2024UK£2.4tUK£2.0tUK£118.0b16.7x20.6x1.2x
Sat, 24 Aug 2024UK£2.5tUK£2.0tUK£119.5b16.9x20.5x1.2x
Mon, 22 Jul 2024UK£2.4tUK£2.0tUK£129.4b16.7x18.6x1.2x
Wed, 19 Jun 2024UK£2.4tUK£2.0tUK£130.6b16.6x18.7x1.2x
Fri, 17 May 2024UK£2.5tUK£2.0tUK£127.0b17.1x19.8x1.2x
Sun, 14 Apr 2024UK£2.4tUK£2.1tUK£148.4b16x16.3x1.1x
Tue, 12 Mar 2024UK£2.3tUK£2.1tUK£144.5b15.9x16.2x1.1x
Thu, 08 Feb 2024UK£2.3tUK£2.0tUK£169.7b14.9x13.4x1.1x
Sat, 06 Jan 2024UK£2.3tUK£2.1tUK£193.4b15x12.1x1.1x
Mon, 04 Dec 2023UK£2.3tUK£2.1tUK£192.7b14.4x11.8x1.1x
Wed, 01 Nov 2023UK£2.2tUK£2.2tUK£194.7b13.5x11.3x1x
Fri, 29 Sep 2023UK£2.3tUK£2.2tUK£187.0b14.4x12.5x1.1x
Price to Earnings Ratio

12.5x


Total Market Cap: UK£2.3tTotal Earnings: UK£187.0bTotal Revenue: UK£2.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 18.1x202420252026
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 18.1x.
Past Earnings Growth
  • The earnings for British listed companies have declined 2.3% per year over the last three years.
  • Meanwhile revenues have been flat.
  • This means that either the cost of doing business or the level of investment back into businesses is increasing since sales have remained steady while profits have fallen.

Sector Trends

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

GB Market0.56%
Utilities4.81%
Tech4.29%
Industrials2.90%
Healthcare2.77%
Real Estate2.27%
Financials0.68%
Consumer Discretionary0.097%
Materials0.032%
Consumer Staples-1.66%
Telecom-2.36%
Energy-2.92%
Sector PE
  • Investors favour the Tech sector the most for future growth, which is trading close to its 3-year average PE ratio of 50.3x.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 18.5%, which is higher than its past year's earnings growth of 0.7% per year.
  • The Energy sector is the least preferred by investors for future growth, which is trading below its 3-year average of 17.8x.
Forecasted Growth
  • Analysts are most optimistic on the Telecom sector, expecting annual earnings growth of 22% over the next 5 years.
  • This is better than its past earnings growth rate of 4.0% per year.
  • In contrast, the Energy sector is expected to see its earnings decline by 2.2% 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
RR. Rolls-Royce HoldingsUK£15.055.7%
+UK£6.7b		31.0%PE41.1xIndustrials
AZN AstraZenecaUK£125.603.3%
+UK£6.3b		9.2%PE24.9xHealthcare
BA. BAE SystemsUK£20.505.7%
+UK£3.1b		4.2%PE27.4xIndustrials
GSK GSKUK£19.113.0%
+UK£2.3b		26.5%PE15.9xHealthcare
NG. National GridUK£11.483.9%
+UK£2.1b		10.5%PE17.6xUtilities
See more

Market Insights

Header cover image
Conflict around the Strait of Hormuz has led investors to oil and tankers. The trouble is, the antidote to the chokepoints is already being built, and it may not reward the same energy stocks.
Continue reading
Are social media stocks the new Big Tobacco?

Latest News

SHEL
UK£34.89
Shell
7D
-2.6%
1Y
33.4%
AZN
UK£125.60
AstraZeneca
7D
3.3%
1Y
9.2%
BA.
UK£20.50
BAE Systems
7D
5.7%
1Y
4.2%
GLEN
UK£5.42
Glencore
7D
-8.3%
1Y
69.9%
Narrative Update • Sep 18

GLEN: Coal Windfall Will Not Offset Iron Ore Earnings Pressure

Glencore's updated analyst price targets now cluster around the £5.30 to £7.80 range, with recent changes reflecting mixed views as some analysts cite commodity leverage, earnings potential and valuation support, while others flag sector headwinds following recent results. Analyst Commentary Recent research on Glencore presents a split picture.
CCH
UK£42.78
Coca-Cola HBC
7D
-7.9%
1Y
19.0%
RR.
UK£15.05
Rolls-Royce Holdings
7D
5.7%
1Y
31.0%
Narrative Update • Sep 18

RR.: Strong Widebody Flight-Hour Recovery Will Support Higher Future P/E

Rolls-Royce Holdings sees its analyst fair value estimate adjusted from £18.50 to £20.00, with analysts pointing to higher Street price targets and updated views on revenue growth assumptions, profit margins and future P/E expectations. Analyst Commentary Recent Street research on Rolls-Royce Holdings points to a cluster of higher price targets and generally constructive views on the company.
SSE
UK£24.76
SSE
7D
7.1%
1Y
45.8%
BATS
UK£41.66
British American Tobacco
7D
-2.0%
1Y
4.9%
Narrative Update • Sep 17

BATS: Legal Overhang And Buybacks Will Shape Balanced Future Returns

Analysts have lifted their fair value estimate for British American Tobacco from about £39.51 to roughly £42.50, citing updated assumptions on discount rate, revenue growth, profit margin and future P/E as the key drivers of the change. What's in the News for British American Tobacco ITC Infotech announced a multi year technology services deal with British American Tobacco that covers Poland, Romania and India, and continues support for the company’s technology hubs in Malaysia and Mexico, aiming to streamline end to end technology delivery and service quality.
GSK
UK£19.11
GSK
7D
3.0%
1Y
26.5%
BP.
UK£5.43
BP
7D
-5.0%
1Y
27.9%
Narrative Update • Sep 10

BP.: Future Returns Will Reflect Upstream Refocus And Measured Balance Sheet Repair

Analysts have lifted the BP price target by £0.13 per share, reflecting recent target increases across the Street as they factor in updated commodity assumptions, a higher future P/E profile, and mixed views on revenue growth and margins. Analyst Commentary Street research on BP over the past months has been mixed, with price targets and ratings shifting as analysts react to company updates, commodity assumptions, and changes in capital allocation.
CPG
US$30.08
Compass Group
7D
-4.2%
1Y
-10.5%
Narrative Update • Sep 10

CPG: Fair Value View Will Balance Data Center Contract Opportunities

Analysts have nudged their fair value estimate for Compass Group higher from $32.00 to about $33.07, citing updated models that reflect recent positive views on earnings potential linked to U.S. data center related hospitality contracts and reaffirmed upbeat price targets near $40. Analyst Commentary Recent research on Compass Group highlights a mix of optimism around U.S. data center related hospitality contracts and more reserved signals on valuation and execution risk.
REL
UK£24.80
RELX
7D
-4.7%
1Y
-28.5%
Narrative Update • Sep 10

REL: AI Content And Workflows Will Support Durable Margins And Re Rating

RELX's updated analyst price target has edged lower by about £1.04, reflecting slightly softer revenue growth assumptions and a higher discount rate. Analysts still point to the company’s proprietary data and AI driven tools as key supports for margins and long term demand.
EXPN
UK£27.15
Experian
7D
-5.0%
1Y
-28.0%
AAL
UK£40.69
Anglo American
7D
4.6%
1Y
59.6%
Narrative Update • Sep 09

AAL: Copper Shift And Anglo Teck Deal Will Drive Future Rerating

Analysts have lifted the Anglo American fair value estimate from £48.30 to £52.01, citing higher price targets from several firms that point to copper focused growth plans and a shift in earnings drivers as key factors behind the reassessment. Analyst Commentary Recent Street research on Anglo American highlights a split view, with some firms turning more positive on the company and others turning more cautious after the share price move.
NWG
UK£7.09
NatWest Group
7D
3.8%
1Y
38.3%
NG.
UK£11.48
National Grid
7D
3.9%
1Y
10.5%