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U.K. (FTSE) Market Analysis & Valuation

UpdatedMar 12, 2026
DataAggregated Company Financials
Companies1091
  • 7D-2.1%
  • 3M6.9%
  • 1Y21.6%
  • YTD4.0%

Over the past 7 days, the market has dropped 2.1% with the Consumer Staples sector contributing the most to the decline. Meanwhile, the Energy sector has outperformed, gaining 5.6% in that time. As for the longer term, the market has actually risen by 22% in the last year. Looking forward, earnings are forecast to grow by 12% annually.

Trending IndustriesOil and GasGoldBiotechSoftware

Market Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 12 Mar 2026UK£2.9tUK£2.0tUK£155.2b16x18.9x1.5x
Sat, 07 Feb 2026UK£3.0tUK£1.9tUK£140.7b16.9x21.1x1.5x
Mon, 05 Jan 2026UK£2.8tUK£2.0tUK£138.0b16.3x20.6x1.5x
Wed, 03 Dec 2025UK£2.8tUK£2.0tUK£139.9b16.2x20.1x1.4x
Fri, 31 Oct 2025UK£2.8tUK£2.0tUK£137.6b16.5x20.4x1.4x
Sun, 28 Sep 2025UK£2.7tUK£1.9tUK£135.9b16.6x19.7x1.4x
Tue, 26 Aug 2025UK£2.7tUK£1.9tUK£134.1b16.1x20.1x1.4x
Thu, 24 Jul 2025UK£2.6tUK£1.9tUK£126.9b16.1x20.1x1.3x
Sat, 21 Jun 2025UK£2.5tUK£1.9tUK£127.6b16.4x19.5x1.3x
Mon, 19 May 2025UK£2.5tUK£2.0tUK£133.0b16.5x18.6x1.3x
Wed, 16 Apr 2025UK£2.3tUK£2.0tUK£134.8b15.2x17.4x1.2x
Fri, 14 Mar 2025UK£2.4tUK£2.0tUK£137.3b15x17.8x1.2x
Sun, 09 Feb 2025UK£2.5tUK£2.0tUK£123.9b16x20.3x1.2x
Tue, 07 Jan 2025UK£2.4tUK£2.0tUK£123.0b15.9x19.7x1.2x
Thu, 05 Dec 2024UK£2.4tUK£2.0tUK£122.6b16.4x20x1.2x
Sat, 02 Nov 2024UK£2.4tUK£2.0tUK£118.3b16.3x20.4x1.2x
Mon, 30 Sep 2024UK£2.5tUK£2.0tUK£117.8b17x20.8x1.2x
Wed, 28 Aug 2024UK£2.5tUK£2.0tUK£119.2b17x20.6x1.2x
Fri, 26 Jul 2024UK£2.4tUK£2.0tUK£129.7b16.3x18.6x1.2x
Sun, 23 Jun 2024UK£2.4tUK£2.0tUK£132.0b16.7x18.4x1.2x
Tue, 21 May 2024UK£2.5tUK£2.0tUK£125.5b17.2x20.1x1.2x
Thu, 18 Apr 2024UK£2.4tUK£2.1tUK£148.3b15.7x16x1.1x
Sat, 16 Mar 2024UK£2.3tUK£2.0tUK£144.3b16.1x16.1x1.1x
Mon, 12 Feb 2024UK£2.3tUK£2.0tUK£144.7b15.2x15.6x1.1x
Wed, 10 Jan 2024UK£2.3tUK£2.1tUK£193.5b15x12x1.1x
Fri, 08 Dec 2023UK£2.3tUK£2.1tUK£193.9b14.7x11.7x1.1x
Sun, 05 Nov 2023UK£2.2tUK£2.1tUK£193.8b14x11.6x1x
Tue, 03 Oct 2023UK£2.3tUK£2.2tUK£186.7b14.3x12.5x1.1x
Thu, 31 Aug 2023UK£2.3tUK£2.1tUK£183.3b14.5x12.6x1.1x
Sat, 29 Jul 2023UK£2.4tUK£2.1tUK£191.6b14.3x12.5x1.1x
Mon, 26 Jun 2023UK£2.3tUK£2.2tUK£208.4b14.1x11.1x1.1x
Wed, 24 May 2023UK£2.4tUK£2.2tUK£216.7b14.3x11.2x1.1x
Fri, 21 Apr 2023UK£2.5tUK£2.2tUK£178.8b14.1x13.8x1.1x
Sun, 19 Mar 2023UK£2.2tUK£2.2tUK£182.4b13.6x12.3x1x
Price to Earnings Ratio

12.3x


Total Market Cap: UK£2.2tTotal Earnings: UK£182.4bTotal 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 18.9x 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 5.2% per year over the last three years.
  • Revenues have also declined 3.0% 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 Market-2.07%
Energy5.61%
Utilities-0.93%
Financials-1.79%
Industrials-1.95%
Tech-2.12%
Telecom-2.17%
Consumer Discretionary-2.17%
Healthcare-3.73%
Consumer Staples-4.42%
Materials-4.59%
Real Estate-5.19%
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 53.4x.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 17.0%, 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 33% over the next 5 years.
  • This is better than its past earnings growth rate of 2.9% per year.
  • In contrast, the Consumer Staples sector is expected to see its earnings grow by 6.7% 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
AV. AvivaUK£6.28-6.0%
UK£18.0b		16.5%PE50xFinancials
SHEL ShellUK£32.445.9%
+UK£10.1b		26.3%PE13.8xEnergy
BP. BPUK£5.146.8%
+UK£5.0b		23.3%PE1963.1xEnergy
RTO Rentokil InitialUK£4.679.8%
+UK£1.1b		46.0%PE54.4xIndustrials
ADM Admiral GroupUK£31.6010.5%
+UK£908.9m		5.3%PE12.8xFinancials
See more

Market Insights

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Latest News

AV.
UK£6.28
Aviva
7D
-6.0%
1Y
16.5%
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7D
-3.5%
1Y
37.6%
EXPN
UK£27.72
Experian
7D
3.2%
1Y
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EXPN: Data Partnerships And AI Integration Will Support Future Upside

Analysts have trimmed their average fair value estimate for Experian by a small amount to align with recent cuts in published price targets, including moves to around £4,100 and similar reductions from major banks. Analyst Commentary Recent price target cuts around £4,100 suggest analysts are recalibrating their expectations for Experian while still seeing room for execution to support the current valuation.
REL
UK£25.94
RELX
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Analysts have made a small adjustment to their fair value view on RELX to £37.33. This reflects a slightly higher discount rate, modestly lower revenue growth and profit margin assumptions, and a marginally higher future P/E, alongside mixed but generally steady recent price target updates on the stock.
ADM
UK£31.60
Admiral Group
7D
10.5%
1Y
5.3%

ADM: Future Returns Will Hinge On Earnings Discipline And Dividend Sustainability

The analyst price target for Admiral Group has been lifted slightly, with recent Street research moving the range of published targets to between roughly £27.50 and £38.00 as analysts factor in updated assumptions on revenue growth, profit margins and future P/E multiples. Analyst Commentary Recent research on Admiral Group reflects a split view, with some analysts nudging price targets higher while others trim expectations and adjust ratings downward.
AZN
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7D
-4.0%
1Y
24.3%
RIO
UK£67.91
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7D
-5.5%
1Y
44.8%
RKT
UK£53.88
Reckitt Benckiser Group
7D
-10.9%
1Y
0.5%
KAP
US$82.10
National Atomic Company Kazatomprom JSC
7D
3.7%
1Y
118.1%

KAP: Long Term Uranium Contracts And 2026 Guidance Will Support Stronger Outlook

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RTO
UK£4.67
Rentokil Initial
7D
9.8%
1Y
46.0%
BP.
UK£5.14
BP
7D
6.8%
1Y
23.3%

BP.: Future Returns Will Reflect Mixed Oil Cycle Risks And CEO Transition

Our updated view lifts BP's fair value estimate slightly, supported by a higher blended analyst price target moving toward the £5.20 to £5.40 range as several firms cite valuation support for integrated oil names despite a mix of recent upgrades, downgrades, and target tweaks. Analyst Commentary Recent Street research on BP shows a split view, with some major firms lifting targets and others turning more cautious as they reassess risks around commodities, capital allocation, and leadership changes.
BARC
UK£4.10
Barclays
7D
-4.7%
1Y
40.4%
ULVR
UK£48.46
Unilever
7D
-5.3%
1Y
-6.0%

ULVR: Margin Delivery By FY26 Will Drive Upside Case

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RR.
UK£13.01
Rolls-Royce Holdings
7D
-4.6%
1Y
66.5%
HSBA
UK£12.73
HSBC Holdings
7D
-1.4%
1Y
50.1%

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SHEL
UK£32.44
Shell
7D
5.9%
1Y
26.3%

SHEL: Future Returns Will Balance LNG Expansion With Cost Discipline And Asset Sales

Our analyst fair value estimate for Shell edges up from £30.96 to £31.76. This reflects a series of higher Street price targets in the £2,950 to £3,600 range, as analysts point to valuation support for integrated energy names and company specific drivers such as cost discipline, higher shareholder returns and LNG growth expectations.