The London market discount is about performance, not geography

  • 📰 FT
  • ⏱ Reading Time:
  • 18 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 11%
  • Publisher: 51%

Brasil Notícia Notícia

Brasil Últimas Notícias,Brasil Manchetes

Lower average profitability explains much of why UK companies are lower-valued than their US peers

Politicians, regulators and City grandees are all focused on revitalising the UK’s struggling stock market. The problem is two-fold: companies are disappearing and not enough new ones are arriving to make up for the losses. The market is shrinking at a pace that will dislodge the UK from its top spot in Europe, amid fears of a terminal decline. This phenomenon is a result of multiple factors.

Yet the market’s perceived discount remains as big as ever: the FTSE All-Share index trades on just 11 times forward earnings or near a 40 per cent discount to the rest of the developed world’s stock markets. This is down, in no small way, to the boom in US tech stocks amid a frenzy over artificial intelligence. The bald discount is hard to deny.

 

Obrigado pelo seu comentário. Seu comentário será publicado após ser revisado.
Resumimos esta notícia para que você possa lê-la rapidamente. Se você se interessou pela notícia, pode ler o texto completo aqui. Consulte Mais informação:

 /  🏆 113. in BR

Brasil Últimas Notícias, Brasil Manchetes