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U.K. (FTSE) Market Analysis & Valuation

UpdatedAug 13, 2026
DataAggregated Company Financials
Companies1076
  • 7D-0.3%
  • 3M4.2%
  • 1Y18.3%
  • YTD9.1%

The market has been flat in the last week, however the Consumer Staples sector is down 3.6%. More promisingly, the market is up 18% over the past 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, 13 Aug 2026UK£3.1tUK£2.1tUK£173.9b16.1x17.6x1.4x
Sat, 11 Jul 2026UK£2.9tUK£2.0tUK£164.5b15.6x17.9x1.5x
Mon, 08 Jun 2026UK£2.9tUK£2.0tUK£165.1b15.9x17.7x1.4x
Wed, 06 May 2026UK£2.9tUK£2.0tUK£160.6b15.9x18x1.4x
Fri, 03 Apr 2026UK£2.9tUK£2.0tUK£158.4b15.1x18.5x1.5x
Sun, 01 Mar 2026UK£3.1tUK£2.0tUK£151.3b17x20.5x1.6x
Tue, 27 Jan 2026UK£2.9tUK£1.9tUK£136.7b16.8x21.4x1.5x
Thu, 25 Dec 2025UK£2.8tUK£2.0tUK£138.7b16.1x20.4x1.4x
Sat, 22 Nov 2025UK£2.7tUK£2.0tUK£139.0b16x19.7x1.4x
Mon, 20 Oct 2025UK£2.7tUK£1.9tUK£135.4b16.4x19.9x1.4x
Wed, 17 Sep 2025UK£2.7tUK£1.9tUK£135.1b16.4x19.7x1.4x
Fri, 15 Aug 2025UK£2.7tUK£1.9tUK£133.9b15.9x19.9x1.4x
Sun, 13 Jul 2025UK£2.5tUK£1.9tUK£127.3b16.1x19.8x1.3x
Tue, 10 Jun 2025UK£2.5tUK£1.9tUK£127.3b16.5x19.6x1.3x
Thu, 08 May 2025UK£2.4tUK£2.0tUK£130.6b16x18.7x1.2x
Sat, 05 Apr 2025UK£2.3tUK£2.0tUK£136.6b14.5x16.8x1.1x
Mon, 03 Mar 2025UK£2.5tUK£2.0tUK£139.0b15.7x18.2x1.2x
Wed, 29 Jan 2025UK£2.5tUK£2.1tUK£123.6b16x20.1x1.2x
Fri, 27 Dec 2024UK£2.4tUK£2.0tUK£123.1b15.9x19.4x1.2x
Sun, 24 Nov 2024UK£2.4tUK£2.1tUK£124.0b16.4x19.6x1.2x
Tue, 22 Oct 2024UK£2.4tUK£2.0tUK£119.0b16.3x20.4x1.2x
Thu, 19 Sep 2024UK£2.4tUK£2.0tUK£118.7b16.7x20.4x1.2x
Sat, 17 Aug 2024UK£2.4tUK£2.0tUK£121.7b16.8x20.1x1.2x
Mon, 15 Jul 2024UK£2.4tUK£2.0tUK£129.8b17x18.8x1.2x
Wed, 12 Jun 2024UK£2.4tUK£2.0tUK£129.8b16.5x18.7x1.2x
Fri, 10 May 2024UK£2.5tUK£2.1tUK£136.4b16.8x18.3x1.2x
Sun, 07 Apr 2024UK£2.4tUK£2.1tUK£146.0b16x16.4x1.1x
Tue, 05 Mar 2024UK£2.3tUK£2.0tUK£141.9b15.2x16.2x1.1x
Thu, 01 Feb 2024UK£2.3tUK£2.1tUK£191.9b14.9x12x1.1x
Sat, 30 Dec 2023UK£2.4tUK£2.1tUK£193.5b15x12.2x1.1x
Mon, 27 Nov 2023UK£2.3tUK£2.1tUK£193.6b14.4x11.7x1.1x
Wed, 25 Oct 2023UK£2.3tUK£2.2tUK£187.3b13.4x12x1x
Fri, 22 Sep 2023UK£2.4tUK£2.2tUK£186.2b14.6x12.7x1.1x
Sun, 20 Aug 2023UK£2.2tUK£2.1tUK£184.1b14.2x12.2x1x
Price to Earnings Ratio

12.2x


Total Market Cap: UK£2.2tTotal Earnings: UK£184.1bTotal Revenue: UK£2.1tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 17.9x202420252026
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 17.9x.
Past Earnings Growth
  • Both revenue and earnings for British listed companies have remained mostly flat over the last three years.
  • This means sales and the cost of doing business have remained relatively consistent over this period and subsequently, so have profits.

Sector Trends

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

GB Market-0.31%
Energy2.18%
Utilities1.60%
Telecom1.47%
Materials0.97%
Tech0.49%
Financials0.24%
Industrials-0.33%
Consumer Discretionary-0.59%
Real Estate-1.44%
Healthcare-2.25%
Consumer Staples-3.62%
Sector PE
  • Investors favour the Tech sector the most for future growth, which is trading close to its 3-year average PE ratio of 51.0x.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 18.1%, which is higher than its past year's earnings growth of 7.6% per year.
  • The Energy sector is the least preferred by investors for future growth, which is trading below its 3-year average of 17.6x.
Forecasted Growth
  • Analysts are most optimistic on the Telecom sector, expecting annual earnings growth of 25% over the next 5 years.
  • This is better than its past earnings growth rate of 3.1% per year.
  • In contrast, the Energy industry is expected to see its earnings growth to stay flat 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£15.381.8%
+UK£4.7b		61.0%PB1.8xFinancials
BA. BAE SystemsUK£22.705.3%
+UK£3.2b		31.1%PE30.4xIndustrials
BP. BPUK£5.313.1%
+UK£2.4b		26.9%PE20.4xEnergy
SHEL ShellUK£33.231.3%
+UK£2.2b		24.5%PE9.6xEnergy
DGE DiageoUK£17.325.5%
+UK£2.0b		-14.9%PE29.9xConsumer Staples
See more

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Latest News

BATS
UK£41.50
British American Tobacco
7D
-5.2%
1Y
-1.2%
BA.
UK£22.70
BAE Systems
7D
5.3%
1Y
31.1%
SSE
UK£24.31
SSE
7D
3.8%
1Y
37.7%
FRES
UK£30.16
Fresnillo
7D
9.8%
1Y
77.3%
Narrative Update • Aug 12

FRES: Improving Fundamentals And Dividend Capacity Will Support Higher Future Multiple

The analyst fair value estimate for Fresnillo has moved from about £28.64 to about £33.30 as analysts factor in a mix of adjusted price targets across the Street, with expectations for improving fundamentals, changes in assumed revenue growth and margins, and a higher future P/E multiple. Analyst Commentary Recent Street research on Fresnillo shows a split view on the stock, with some analysts pointing to potential upside based on earnings power and others highlighting valuation and execution risks.
CCH
UK£46.04
Coca-Cola HBC
7D
-8.2%
1Y
19.6%
GSK
UK£18.69
GSK
7D
-2.4%
1Y
30.2%
BP.
UK£5.31
BP
7D
3.1%
1Y
26.9%
Analysis Article • Aug 11

Shareholders Will Be Pleased With The Quality of BP's (LON:BP.) Earnings

BP p.l.c.'s ( LON:BP. ) earnings announcement last week was disappointing for investors, despite the decent profit...
SHEL
UK£33.23
Shell
7D
1.3%
1Y
24.5%
DGE
UK£17.32
Diageo
7D
5.5%
1Y
-14.9%
AZN
UK£117.02
AstraZeneca
7D
-2.8%
1Y
2.3%
ULVR
UK£45.71
Unilever
7D
-4.3%
1Y
-11.1%
HSBA
UK£15.38
HSBC Holdings
7D
1.8%
1Y
61.0%
RR.
UK£15.46
Rolls-Royce Holdings
7D
-1.6%
1Y
42.9%
Narrative Update • Aug 06

RR.: Defence Strength And Cash Returns Will Support Measured Re Rating Potential

Analysts have raised their fair value estimate for Rolls-Royce Holdings to £16.27 from £14.72, reflecting higher price targets and expectations for stronger margins, which offset slightly more conservative growth and discount rate assumptions. Analyst Commentary Recent Street research on Rolls-Royce Holdings points to a firmly constructive tone, with several large banks lifting price targets and reassessing the company’s execution and earnings power.
REL
UK£25.41
RELX
7D
-6.4%
1Y
-27.4%
Narrative Update • Aug 03

REL: AI Data Assets And Buybacks Will Support Future Earnings Multiple

Analysts have nudged their fair value estimate for RELX lower to about £33.91 from roughly £35.83, reflecting slightly higher discount rate assumptions alongside updated views on revenue growth, profit margins and future P/E multiples, informed by recent price target increases and positive commentary on the durability of growth in key divisions and the role of new AI products. Analyst Commentary Recent Street research on RELX shows a mix of optimism about growth durability and AI opportunities, with some caution around valuation and segment level risks.
VOD
UK£1.19
Vodafone Group
7D
4.3%
1Y
38.4%
TSCO
UK£4.53
Tesco
7D
-5.9%
1Y
9.1%