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U.K. (FTSE) Market Analysis & Valuation

UpdatedOct 30, 2023
DataAggregated Company Financials
Companies1497
  • 7D-1.3%
  • 3M-6.3%
  • 1Y-1.1%
  • YTD-7.7%

Over the last 7 days, the market has dropped 1.3%, driven by declines in the Consumer Staples and Financials sectors of 3.0% and 2.7%, respectively. On the other hand, the Materials has risen by 3.3%. Overall the market has been flat in the last year. Earnings are forecast to grow by 10% annually.

Market Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 31 Oct 2023UK£2.3tUK£2.4tUK£211.8b13.4x10.8x1x
Thu, 28 Sep 2023UK£2.4tUK£2.4tUK£213.1b14.4x11.4x1x
Sat, 26 Aug 2023UK£2.4tUK£2.4tUK£209.7b14.4x11.2x1x
Mon, 24 Jul 2023UK£2.5tUK£2.4tUK£232.4b14.1x10.7x1x
Wed, 21 Jun 2023UK£2.4tUK£2.4tUK£233.6b14.3x10.5x1x
Fri, 19 May 2023UK£2.5tUK£2.4tUK£242.3b14.4x10.4x1x
Sun, 16 Apr 2023UK£2.6tUK£2.4tUK£205.2b14x12.4x1.1x
Tue, 14 Mar 2023UK£2.5tUK£2.4tUK£213.2b13.3x11.7x1x
Thu, 09 Feb 2023UK£2.6tUK£2.3tUK£210.3b13.9x12.4x1.1x
Sat, 07 Jan 2023UK£2.5tUK£2.3tUK£210.7b13.7x12.1x1.1x
Mon, 05 Dec 2022UK£2.5tUK£2.3tUK£210.7b13.6x11.9x1.1x
Wed, 02 Nov 2022UK£2.4tUK£2.4tUK£216.5b12.4x11x1x
Fri, 30 Sep 2022UK£2.3tUK£2.4tUK£217.4b11.8x10.6x1x
Sun, 28 Aug 2022UK£2.5tUK£2.3tUK£211.0b13.6x11.9x1.1x
Tue, 26 Jul 2022UK£2.5tUK£2.3tUK£197.4b13.9x12.8x1.1x
Thu, 23 Jun 2022UK£2.4tUK£2.3tUK£195.2b14.2x12.5x1.1x
Sat, 21 May 2022UK£2.5tUK£2.2tUK£184.1b15.3x13.6x1.2x
Mon, 18 Apr 2022UK£2.6tUK£2.0tUK£188.0b16.7x14x1.3x
Wed, 16 Mar 2022UK£2.5tUK£2.0tUK£192.4b16.1x12.9x1.2x
Fri, 11 Feb 2022UK£2.8tUK£1.8tUK£166.8b18.3x16.7x1.5x
Sun, 09 Jan 2022UK£2.8tUK£1.9tUK£163.4b19.5x17.1x1.5x
Tue, 07 Dec 2021UK£2.7tUK£1.9tUK£163.5b19.4x16.5x1.4x
Thu, 04 Nov 2021UK£2.8tUK£1.8tUK£152.5b21.3x18.2x1.5x
Sat, 02 Oct 2021UK£2.7tUK£1.8tUK£143.0b22.1x18.9x1.5x
Mon, 30 Aug 2021UK£2.8tUK£1.8tUK£138.8b24.6x19.8x1.5x
Tue, 06 Jul 2021UK£2.7tUK£1.8tUK£138.4b23.9x19.2x1.5x
Fri, 09 Apr 2021UK£2.5tUK£1.7tUK£90.7b23.2x27.6x1.5x
Thu, 31 Dec 2020UK£2.3tUK£1.7tUK£52.7b22.6x44.5x1.4x
Price to Earnings Ratio

50.8x


Total Market Cap: UK£2.0tTotal Earnings: UK£39.3bTotal Revenue: UK£1.7tTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Market Price to Earnings3Y Average 18.9x202120222023
Current Market PE
  • Investors are pessimistic on the British market, indicating that they anticipate earnings will not grow as fast as they have historically.
  • The market is trading at a PE ratio of 10.8x which is lower than its 3-year average PE of 18.9x.
Past Earnings Growth
  • The earnings for British listed companies have grown 75% per year over the last three years.
  • Revenues for these companies have grown 12% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Sector Trends

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

GB Market-1.27%
Materials3.27%
Utilities1.82%
Consumer Discretionary0.43%
Telecom0.11%
Tech-1.02%
Real Estate-1.18%
Industrials-1.23%
Energy-1.52%
Healthcare-2.36%
Financials-2.75%
Consumer Staples-3.04%
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 133x.
    • 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 9.1% per year.
Forecasted Growth
  • Analysts are most optimistic on the Real Estate sector, expecting annual earnings growth of 67% over the next 5 years.
  • This is better than its past earnings decline of 36% per year.
  • In contrast, the Energy sector is expected to see its earnings decline by 5.4% 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
RIO Rio Tinto GroupUK£52.397.1%
+UK£5.6b
15.5%PE12xMaterials
ENPL En+ Group InternationalUS$9.30n/a
US$4.7b
-8.8%PE2.2xMaterials
GLEN GlencoreUK£4.515.2%
+UK£2.7b
-9.7%PE6.9xMaterials
AZN AstraZenecaUK£102.181.2%
+UK£1.8b
-0.4%PE31.3xHealthcare
EVR EVRAZUK£0.81n/a
UK£1.2b
-86.2%PE0.4xMaterials
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Latest News

HSBA

UK£5.87

HSBC Holdings

7D

-4.1%

1Y

31.3%

NWG

UK£1.78

NatWest Group

7D

-17.3%

1Y

-24.1%

GLEN

UK£4.51

Glencore

7D

5.2%

1Y

-9.7%

BARC

UK£1.31

Barclays

7D

-9.3%

1Y

-11.6%

STAN

UK£6.20

Standard Chartered

7D

-13.5%

1Y

19.3%

BA.

UK£11.03

BAE Systems

7D

3.3%

1Y

35.4%

RIO

UK£52.39

Rio Tinto Group

7D

7.1%

1Y

15.5%

RKT

UK£55.40

Reckitt Benckiser Group

7D

-7.0%

1Y

-4.2%

AZN

UK£102.18

AstraZeneca

7D

1.2%

1Y

-0.4%

PRU

UK£8.62

Prudential

7D

3.8%

1Y

6.3%

SHEL

UK£26.87

Shell

7D

-1.6%

1Y

11.8%

EVR

UK£0.81

EVRAZ

7D

n/a

1Y

-86.2%

ENPL

US$9.30

En+ Group International

7D

n/a

1Y

-8.8%