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U.K. (FTSE) Market Analysis & Valuation

UpdatedMay 25, 2026
DataAggregated Company Financials
Companies1090
  • 7D1.5%
  • 3M-2.3%
  • 1Y19.4%
  • YTD5.3%

The market is up 1.5% in the last 7 days, led by the Financials and Industrials sectors. As for the past 12 months, the market is up 19%. Looking forward, earnings are forecast to grow by 12% annually.

Trending IndustriesOil and GasGoldBiotechSoftwareRenewable Energy

Market Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 26 May 2026UK£3.0tUK£2.0tUK£165.8b16.1x17.8x1.5x
Thu, 23 Apr 2026UK£3.0tUK£2.0tUK£157.5b16x18.8x1.5x
Sat, 21 Mar 2026UK£2.8tUK£2.0tUK£156.7b14.8x17.8x1.4x
Mon, 16 Feb 2026UK£3.0tUK£1.9tUK£145.6b16.7x20.6x1.5x
Wed, 14 Jan 2026UK£2.9tUK£2.0tUK£138.0b16.5x21x1.5x
Fri, 12 Dec 2025UK£2.8tUK£2.0tUK£138.1b15.9x20.1x1.4x
Sun, 09 Nov 2025UK£2.8tUK£2.0tUK£138.1b16.1x20.1x1.4x
Tue, 07 Oct 2025UK£2.7tUK£1.9tUK£135.3b16.6x20.2x1.4x
Thu, 04 Sep 2025UK£2.7tUK£2.0tUK£135.8b16x19.6x1.4x
Sat, 02 Aug 2025UK£2.6tUK£2.0tUK£134.0b16.1x19.6x1.3x
Mon, 30 Jun 2025UK£2.5tUK£1.9tUK£126.7b16.7x19.6x1.3x
Wed, 28 May 2025UK£2.5tUK£1.9tUK£125.8b16.4x19.8x1.3x
Fri, 25 Apr 2025UK£2.4tUK£2.0tUK£134.8b15.3x17.8x1.2x
Sun, 23 Mar 2025UK£2.5tUK£2.0tUK£136.4b15.7x18.1x1.2x
Tue, 18 Feb 2025UK£2.5tUK£2.0tUK£139.1b16.4x18.2x1.3x
Thu, 16 Jan 2025UK£2.4tUK£2.1tUK£124.8b15.7x19.5x1.2x
Sat, 14 Dec 2024UK£2.5tUK£2.0tUK£122.5b16.3x20.2x1.2x
Mon, 11 Nov 2024UK£2.4tUK£2.0tUK£118.2b16.3x20.2x1.2x
Wed, 09 Oct 2024UK£2.4tUK£2.0tUK£118.7b16.3x20.2x1.2x
Fri, 06 Sep 2024UK£2.4tUK£2.0tUK£118.9b16.9x20.4x1.2x
Sun, 04 Aug 2024UK£2.4tUK£2.0tUK£124.9b16.7x19.3x1.2x
Tue, 02 Jul 2024UK£2.4tUK£2.0tUK£132.1b16.3x18.2x1.2x
Thu, 30 May 2024UK£2.4tUK£2.1tUK£129.4b17.1x18.9x1.2x
Sat, 27 Apr 2024UK£2.4tUK£2.1tUK£143.6b16x16.9x1.2x
Mon, 25 Mar 2024UK£2.4tUK£2.1tUK£147.6b16.3x16.4x1.1x
Wed, 21 Feb 2024UK£2.3tUK£2.0tUK£146.9b15.3x15.6x1.1x
Fri, 19 Jan 2024UK£2.3tUK£2.1tUK£193.5b14.7x11.7x1.1x
Sun, 17 Dec 2023UK£2.3tUK£2.1tUK£193.7b15.1x11.9x1.1x
Tue, 14 Nov 2023UK£2.2tUK£2.2tUK£195.0b14x11.5x1x
Thu, 12 Oct 2023UK£2.3tUK£2.2tUK£185.8b14x12.6x1.1x
Sat, 09 Sep 2023UK£2.3tUK£2.2tUK£185.4b14.5x12.4x1.1x
Mon, 07 Aug 2023UK£2.4tUK£2.2tUK£189.4b14.6x12.4x1.1x
Wed, 05 Jul 2023UK£2.3tUK£2.2tUK£208.0b14.2x11.2x1.1x
Fri, 02 Jun 2023UK£2.3tUK£2.2tUK£211.4b14.2x11.1x1.1x
Price to Earnings Ratio

11.1x


Total Market Cap: UK£2.3tTotal Earnings: UK£211.4bTotal Revenue: UK£2.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 17.4x202420252026
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 17.4x.
Past Earnings Growth
  • The earnings for companies in the British industry have declined 8.1% per year over the last three years.
  • Revenues have also declined 2.9% 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 Market1.42%
Utilities3.93%
Industrials3.62%
Tech3.14%
Financials2.78%
Real Estate2.74%
Healthcare1.58%
Consumer Discretionary0.69%
Materials0.58%
Telecom0.28%
Consumer Staples-0.04%
Energy-2.65%
Sector PE
  • Investors favour the Telecom sector the most for future growth which is trading above its 3-year average PE ratio.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 29.9%, which is higher than its past year's earnings growth of 4.6% 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 10.1x.
Forecasted Growth
  • Analysts are most optimistic on the Telecom sector, expecting annual earnings growth of 30% over the next 5 years.
  • This is better than its past earnings growth rate of 4.6% per year.
  • In contrast, the Consumer Staples sector is expected to see its earnings grow by 6.8% 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£12.497.9%
+UK£7.5b		49.4%PE17.7xIndustrials
HSBA HSBC HoldingsUK£13.742.7%
+UK£6.3b		58.2%PB1.6xFinancials
BA. BAE SystemsUK£19.946.0%
+UK£3.2b		8.2%PE27.4xIndustrials
AZN AstraZenecaUK£139.161.5%
+UK£3.2b		33.3%PE27.9xHealthcare
BARC BarclaysUK£4.464.6%
+UK£2.6b		37.9%PB0.8xFinancials
See more

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Latest News

BT.A
UK£2.25
BT Group
7D
-3.3%
1Y
29.9%
BP.
UK£5.51
BP
7D
-2.8%
1Y
54.7%
LLOY
UK£1.00
Lloyds Banking Group
7D
4.6%
1Y
28.0%
AZN
UK£139.16
AstraZeneca
7D
1.5%
1Y
33.3%
CPG
US$31.13
Compass Group
7D
-4.9%
1Y
-14.3%
Analysis Article • May 23

With EPS Growth And More, Compass Group (LON:CPG) Makes An Interesting Case

The excitement of investing in a company that can reverse its fortunes is a big draw for some speculators, so even...
SHEL
UK£32.05
Shell
7D
-2.6%
1Y
32.4%
Narrative Update • May 21

SHEL: Future Returns Will Reflect Middle East Risk Driven Cash Flows

Shell's analyst fair value estimate has increased by about £1.15 per share as analysts factor in higher cash flow expectations, modestly stronger revenue and margins, and updated P/E assumptions following recent price target changes and views on the ARC Resources deal. Analyst Commentary Recent research on Shell presents a mixed picture, with a cluster of higher price targets and rating upgrades sitting alongside fresh downgrades and trimmed targets.
NG.
UK£12.81
National Grid
7D
4.0%
1Y
17.4%
Analysis Article • May 21

We Think That There Are Some Issues For National Grid (LON:NG.) Beyond Its Promising Earnings

National Grid plc's ( LON:NG. ) healthy profit numbers didn't contain any surprises for investors. We think this is due...
RR.
UK£12.49
Rolls-Royce Holdings
7D
7.9%
1Y
49.4%
BA.
UK£19.94
BAE Systems
7D
6.0%
1Y
8.2%
Narrative Update • May 19

BA.: Firmer Defence Backdrop Will Offset Softer 2026 Guidance Risks

Analysts have lifted BAE Systems' blended price target to £2,438, reflecting slightly firmer revenue growth and margin assumptions, along with recent target increases from several research houses. Analyst Commentary Recent research activity around BAE Systems has clustered around incremental price target moves, with some analysts highlighting execution and growth questions even as headline targets sit above current levels.
III
UK£23.10
3i Group
7D
11.0%
1Y
-43.9%
Analysis Article • May 19

Growth Investors: Industry Analysts Just Upgraded Their 3i Group plc (LON:III) Revenue Forecasts By 13%

Shareholders in 3i Group plc ( LON:III ) may be thrilled to learn that the analysts have just delivered a major upgrade...
FRES
UK£32.36
Fresnillo
7D
-2.9%
1Y
185.6%
Narrative Update • May 18

FRES: Production Slippage And Diverging Street Views Will Pressure Future Returns

Fresnillo’s updated analyst price target has shifted to reflect mixed recent moves, including a £4.00 increase at Citi and several reductions of £1.00 to £4.00 at other firms, as analysts factor in revised assumptions for discount rate, revenue growth, profit margin, and future P/E. Analyst Commentary Recent Street research on Fresnillo shows a split view, with some higher price targets sitting alongside a series of reductions.
HSBA
UK£13.74
HSBC Holdings
7D
2.7%
1Y
58.2%
BARC
UK£4.46
Barclays
7D
4.6%
1Y
37.9%
BATS
UK£48.75
British American Tobacco
7D
-1.0%
1Y
46.2%
IMB
UK£27.95
Imperial Brands
7D
-3.3%
1Y
-0.7%
REL
UK£24.47
RELX
7D
-2.3%
1Y
-40.5%
Narrative Update • May 08

REL: Q4 Earnings Resilience And Buybacks Will Support Future Multiple

Analysts have slightly reduced their fair value estimate for RELX to £36.18 from £36.42. This change reflects modestly lower revenue growth assumptions and a marginally lower future P/E multiple, while still pointing to Q4 earnings resilience and limited observable impact from AI concerns.