United Kingdom Stock Market: current P/E Ratio

15.63
Last update: 20 December 2024

The estimated P/E Ratio for United Kingdom Stock Market is 15.63, calculated on 20 December 2024.

Considering the last 5 years, an average P/E interval is [10.54 , 13.76]. For this reason, the current P/E can be considered Expensive

P/E Ratio is calculated on the EWU Etf, whose benchmark is the United Kingdom Stock Market.

Historical P/E Ratio

When evaluating the P/E Ratio, it's important to not only look at its absolute value but also compare it to the average of previous periods. This allows for a more comprehensive understanding of the index/market valuation.

The following chart shows how the United Kingdom Stock Market P/E Ratio has changed over time. Furthermore, for some trailing timeframes, you can view the average P/E and standard deviation.

20 December 2024 · P/E Ratio: 15.63
20 December 2024 · P/E Ratio: 15.63 · 1Y Average: 13.75 · 1 Std Dev range: [11.56 , 15.94] · 2 Std Dev range: [9.37 , 18.13]
20 December 2024 · P/E Ratio: 15.63 · 5Y Average: 12.15 · 1 Std Dev range: [10.54 , 13.76] · 2 Std Dev range: [8.93 , 15.37]
20 December 2024 · P/E Ratio: 15.63 · 10Y Average: 13.14 · 1 Std Dev range: [11.71 , 14.57] · 2 Std Dev range: [10.28 , 16.00]
20 December 2024 · P/E Ratio: 15.63 · 20Y Average: 12.15 · 1 Std Dev range: [10.71 , 13.59] · 2 Std Dev range: [9.27 , 15.03]
Methodology
The Average P/E (μ) and the Standard Deviation (σ) are calculated excluding 20% outliers (i.e. over a range of values excluding 10% of observations from the top and 10% from the bottom of the dataset).
A P/E between (μ - σ) and (μ + σ) is considered "Fair", over a specific timeframe.
A P/E greater than (μ + σ) is defined "Overvalued", greater than (μ + 2σ) is defined "Expensive".
A P/E less than (μ - σ) is defined "Undervalued", less than (μ - 2σ) is defined "Cheap".
20 December 2024 · P/E Ratio: 15.63 · Last Periods metrics
Show all periods
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Range
Analysis
Period Average P/E
(μ)
Std Dev
(σ)
Std Dev Range
[ μ-2σ · μ-σ , μ+σ · μ+2σ ]
vs Current P/E
( 15.63 )
Deviation
vs μ
Valuation
Last 1Y 13.75 2.19 [9.37 · 11.56 , 15.94 · 18.13]
+0.86 σ
Fair
Last 2Y 11.87 1.90 [8.07 · 9.97 , 13.77 · 15.67]
+1.98 σ
Overvalued
Last 3Y 11.04 1.25 [8.54 · 9.79 , 12.29 · 13.54]
+3.66 σ
Expensive
Last 4Y 11.59 1.39 [8.81 · 10.20 , 12.98 · 14.38]
+2.90 σ
Expensive
Last 5Y 12.15 1.61 [8.93 · 10.54 , 13.76 · 15.37]
+2.16 σ
Expensive
Last 6Y 12.09 1.33 [9.44 · 10.77 , 13.42 · 14.74]
+2.67 σ
Expensive
Last 7Y 12.26 1.25 [9.75 · 11.00 , 13.51 · 14.76]
+2.69 σ
Expensive
Last 8Y 12.55 1.33 [9.90 · 11.23 , 13.88 · 15.21]
+2.31 σ
Expensive
Last 9Y 12.85 1.40 [10.05 · 11.45 , 14.25 · 15.66]
+1.98 σ
Overvalued
Last 10Y 13.14 1.43 [10.28 · 11.71 , 14.57 · 16.00]
+1.73 σ
Overvalued
Last 11Y 13.13 1.31 [10.51 · 11.82 , 14.43 · 15.74]
+1.91 σ
Overvalued
Last 12Y 12.96 1.31 [10.35 · 11.66 , 14.27 · 15.58]
+2.04 σ
Expensive
Last 13Y 12.69 1.43 [9.82 · 11.25 , 14.12 · 15.56]
+2.05 σ
Expensive
Last 14Y 12.44 1.56 [9.33 · 10.89 , 14.00 · 15.55]
+2.05 σ
Expensive
Last 15Y 12.30 1.60 [9.10 · 10.70 , 13.91 · 15.51]
+2.07 σ
Expensive
Last 16Y 12.18 1.57 [9.04 · 10.61 , 13.76 · 15.33]
+2.19 σ
Expensive
Last 17Y 12.04 1.59 [8.86 · 10.45 , 13.63 · 15.23]
+2.25 σ
Expensive
Last 18Y 12.04 1.52 [9.01 · 10.53 , 13.56 · 15.08]
+2.36 σ
Expensive
Last 19Y 12.06 1.46 [9.14 · 10.60 , 13.51 · 14.97]
+2.45 σ
Expensive
Last 20Y 12.15 1.44 [9.27 · 10.71 , 13.59 · 15.03]
+2.41 σ
Expensive

P/E Comparison

How is the United Kingdom Stock Market P/E Ratio, compared to other global ratios?

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Deviation vs μ
Trend P/E 1Y 5Y 10Y 20Y
United Kingdom 15.63
+0.86 σ +2.16 σ +1.73 σ +2.41 σ
All World 20.46
+0.66 σ +1.89 σ +2.96 σ +3.83 σ
Developed ex-US 15.24
-0.08 σ +0.27 σ +0.86 σ +1.52 σ

United Kingdom Stock Market Trend

Trend is evaluated considering the price of the EWU Etf and its 200/50-day moving averages (SMA).

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Trend Indicator Valuation Margin
Long Term Price vs SMA200 -5.35% 20 Dec
Short Term Price vs SMA50 -5.40% 20 Dec
The 200-day moving average is a long-term indicator that takes into account the average price of a stock over the past 200 trading days. It is considered a significant level of support or resistance, meaning that when the stock price is above the 200-day moving average (i.e. margin vs moving average is positive), it is generally viewed as bullish, while when it is below, it is viewed as bearish.

The 50-day moving average, on the other hand, is a shorter-term indicator that measures the average price of a stock over the past 50 trading days. It is also viewed as a significant level of support or resistance and can be used to identify shorter-term trends.