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U.K. (FTSE) Market Analysis & Valuation

UpdatedMar 02, 2026
DataAggregated Company Financials
Companies1093
  • 7D2.0%
  • 3M12.8%
  • 1Y24.0%
  • YTD9.8%

The market is up 2.0% over the last week, with the Financials sector leading the way, up 3.6%. The market is up 24% over the last 12 months. Looking forward, earnings are forecast to grow by 13% annually.

Trending IndustriesOil and GasGoldBiotechSoftware

Market Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 03 Mar 2026UK£3.1tUK£2.0tUK£151.4b17x20.5x1.6x
Thu, 29 Jan 2026UK£2.9tUK£1.9tUK£136.4b17x21.4x1.5x
Sat, 27 Dec 2025UK£2.8tUK£2.0tUK£138.0b16.1x20.5x1.4x
Mon, 24 Nov 2025UK£2.7tUK£2.0tUK£139.1b15.9x19.6x1.4x
Wed, 22 Oct 2025UK£2.7tUK£1.9tUK£135.6b16.5x20x1.4x
Fri, 19 Sep 2025UK£2.7tUK£1.9tUK£135.5b16.4x19.7x1.4x
Sun, 17 Aug 2025UK£2.7tUK£1.9tUK£133.8b15.8x19.8x1.4x
Tue, 15 Jul 2025UK£2.5tUK£1.9tUK£127.6b16x19.8x1.3x
Thu, 12 Jun 2025UK£2.5tUK£1.9tUK£127.4b16.5x19.7x1.3x
Sat, 10 May 2025UK£2.4tUK£2.0tUK£130.8b16x18.6x1.2x
Mon, 07 Apr 2025UK£2.3tUK£2.0tUK£136.6b14.5x16.8x1.1x
Wed, 05 Mar 2025UK£2.5tUK£2.0tUK£138.5b15.6x18.1x1.2x
Fri, 31 Jan 2025UK£2.5tUK£2.1tUK£123.5b15.9x20.2x1.2x
Sun, 29 Dec 2024UK£2.4tUK£2.0tUK£122.5b15.9x19.6x1.2x
Tue, 26 Nov 2024UK£2.4tUK£2.0tUK£123.9b16.3x19.7x1.2x
Thu, 24 Oct 2024UK£2.4tUK£2.0tUK£119.2b16.2x20.2x1.2x
Sat, 21 Sep 2024UK£2.4tUK£2.0tUK£118.0b17x20.5x1.2x
Mon, 19 Aug 2024UK£2.4tUK£2.0tUK£121.8b16.8x20.1x1.2x
Wed, 17 Jul 2024UK£2.4tUK£2.0tUK£129.9b16.8x18.6x1.2x
Fri, 14 Jun 2024UK£2.5tUK£2.0tUK£129.8b16.6x18.9x1.2x
Sun, 12 May 2024UK£2.5tUK£2.1tUK£136.5b16.9x18.4x1.2x
Tue, 09 Apr 2024UK£2.4tUK£2.1tUK£145.9b16.1x16.5x1.1x
Thu, 07 Mar 2024UK£2.3tUK£2.0tUK£142.2b15.6x16.3x1.1x
Sat, 03 Feb 2024UK£2.3tUK£2.1tUK£183.4b14.8x12.5x1.1x
Mon, 01 Jan 2024UK£2.3tUK£2.1tUK£193.5b15.1x12.1x1.1x
Wed, 29 Nov 2023UK£2.3tUK£2.1tUK£192.8b14.4x11.7x1.1x
Fri, 27 Oct 2023UK£2.2tUK£2.2tUK£188.7b13.4x11.9x1x
Sun, 24 Sep 2023UK£2.3tUK£2.2tUK£186.8b14.6x12.1x1x
Tue, 22 Aug 2023UK£2.2tUK£2.1tUK£184.1b14.1x12.2x1x
Thu, 20 Jul 2023UK£2.4tUK£2.2tUK£206.6b14.2x11.5x1.1x
Sat, 17 Jun 2023UK£2.4tUK£2.2tUK£207.5b14.3x11.5x1.1x
Mon, 15 May 2023UK£2.4tUK£2.2tUK£211.7b14.4x11.5x1.1x
Wed, 12 Apr 2023UK£2.4tUK£2.2tUK£180.0b13.8x13.6x1.1x
Fri, 10 Mar 2023UK£2.5tUK£2.2tUK£190.1b13.7x13.3x1.1x
Price to Earnings Ratio

13.3x


Total Market Cap: UK£2.5tTotal Earnings: UK£190.1bTotal Revenue: UK£2.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 17x202420252026
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 17.0x.
Past Earnings Growth
  • The earnings for companies in the British industry have declined 7.3% per year over the last three years.
  • Revenues have also declined 3.7% 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 Market1.95%
Tech3.83%
Financials3.63%
Materials3.21%
Energy2.98%
Utilities2.87%
Consumer Discretionary1.89%
Industrials1.78%
Telecom1.11%
Healthcare0.55%
Real Estate0.17%
Consumer Staples-0.99%
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 53.3x.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 17.6%, which is higher than its past year's earnings growth of 7.7% per year.
Forecasted Growth
  • Analysts are most optimistic on the Telecom sector, expecting annual earnings growth of 31% over the next 5 years.
  • This is better than its past earnings growth rate of 5.1% per year.
  • In contrast, the Industrials sector is expected to see its earnings grow by 8.4% 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
SHEL ShellUK£31.325.6%
+UK£9.3b		17.9%PE13.3xEnergy
HSBA HSBC HoldingsUK£13.323.0%
+UK£6.6b		41.3%PB1.5xFinancials
REL RELXUK£25.7514.4%
+UK£5.8b		-32.8%PE22.4xIndustrials
LSEG London Stock Exchange GroupUK£87.7613.9%
+UK£5.4b		-25.3%PE35.4xFinancials
BA. BAE SystemsUK£22.414.9%
+UK£3.1b		39.1%PE32.3xIndustrials
See more

Market Insights

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In many ways, the market is upside down. This new setting might offer some unexpected opportunities for investors.
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Alternatives part 2: 2026 and beyond 🔭

Latest News

HSBA
UK£13.32
HSBC Holdings
7D
3.0%
1Y
41.3%
BARC
UK£4.37
Barclays
7D
-5.5%
1Y
40.6%
MRO
UK£5.59
Melrose Industries
7D
-16.5%
1Y
-14.6%
LSEG
UK£87.76
London Stock Exchange Group
7D
13.9%
1Y
-25.3%
BA.
UK£22.41
BAE Systems
7D
4.9%
1Y
39.1%
REL
UK£25.75
RELX
7D
14.4%
1Y
-32.8%

AI Cost Pressures And Data Regulation Risks Will Shape A Cautious But Constructive Outlook

Catalysts About RELX RELX provides information based analytics and decision tools across risk, scientific research, legal and exhibitions markets. What are the underlying business or industry changes driving this perspective?
STAN
UK£17.35
Standard Chartered
7D
-4.4%
1Y
36.8%
DGE
UK£16.09
Diageo
7D
-13.4%
1Y
-25.7%
GLEN
UK£5.34
Glencore
7D
4.2%
1Y
65.2%

GLEN: Fair Outlook Balances Ended Megamerger Talks With Refined Earnings Assumptions

Analysts have lifted their price target on Glencore to £5.50 per share from £5.25, citing updated assumptions around fair value, revenue growth, discount rate and future P/E that together support a modestly higher valuation. Analyst Commentary Recent Street research on Glencore has been active, with several major banks updating their price targets and ratings in quick succession.
AZN
UK£152.52
AstraZeneca
7D
-0.6%
1Y
28.1%
TSCO
UK£4.77
Tesco
7D
-4.5%
1Y
26.1%

TSCO: Execution On Store Partnerships And Margins Will Shape Future Returns

Narrative Update Analysts have trimmed their Tesco price target to £4.80 from £5.00, reflecting slightly lower discount rate and future P/E assumptions while keeping their broader positive stance on the shares intact. Analyst Commentary Bullish and bearish analysts are reacting to the revised £4.80 price target with a focus on how Tesco can execute against its current valuation, rather than a wholesale change in view on the company.
RIO
UK£73.36
Rio Tinto Group
7D
2.4%
1Y
50.4%

Rio Tinto (RIO): Cash Machine with a China Beta Problem — and a Copper Glow-Up

If I had to summarise Rio Tinto in one line, I would describe it as a world-class iron ore franchise that is now being forced to adapt to a changing China and a changing commodity landscape. For years, Rio’s investment case has been built on the strength of its Pilbara iron ore operations.
SHEL
UK£31.32
Shell
7D
5.6%
1Y
17.9%
BP.
UK£4.88
BP
7D
2.9%
1Y
12.7%

BP.: Future Returns Will Reflect Portfolio Sales Refining Strength And CEO Transition

Analysts have trimmed their average price target on BP by £0.10, citing more cautious revenue growth assumptions, a slightly higher discount rate, and continued sector wide downgrades that have only been partially offset by firmer margin expectations. Analyst Commentary Recent Street research on BP points to a mixed backdrop, with several downgrades and price target cuts offset by a smaller group of more constructive voices focusing on balance sheet strength and refining exposure.
ULVR
UK£53.26
Unilever
7D
-2.5%
1Y
4.3%

ULVR: Raised Fair Value Hinges On Margin Delivery And Cost Execution

Analysts have nudged their fair value estimate for Unilever higher to about £60 from roughly £59, citing slightly firmer margin assumptions and a modestly higher future P/E. This comes even as several firms have shifted to Hold or Neutral ratings and highlighted a more balanced risk and reward profile at current levels.
LLOY
UK£1.00
Lloyds Banking Group
7D
-3.7%
1Y
38.1%

LLOY: Buybacks And Progressive Dividend Policy Will Shape A Balanced Return Outlook

Analysts have raised their fair value estimate for Lloyds Banking Group from £1.08 to about £1.11, reflecting updated assumptions on the discount rate, revenue growth, profit margin and future P/E. What's in the News The Board has authorized a new share buyback plan dated January 30, 2026, indicating formal approval for additional capital returns via repurchases (Key Developments).