First Trust Bloomberg Artificial Intelligence… (FAI) Valuation
FAI valuation today
Holdings combined · company data as of Oct 26, 2026- P/E (TTM)
- 30.9 trailing earnings
- Forward P/E
- 23.6 analyst estimates
- Price / sales
- 8.86
- Price / book
- 9.57
- EV / EBITDA
- 21.3
- Earnings yield
- 3.24% inverse of P/E
- Dividend yield
- 0.36% of the holdings
- Return on equity
- 31.0% combined
- Net margin
- 28.7% combined
- Beta
- 1.59 weighted, vs S&P 500
FAI valuation vs other stock ETFs
| ETF | P/E | Fwd P/E | P/S | P/B | Div. yield | ROE | Net margin | Loss-makers |
|---|---|---|---|---|---|---|---|---|
| FAI | 30.9 | 23.6 | 8.86 | 9.57 | 0.36% | 31.0% | 28.7% | 5.7% |
| SPY | 25.9 | 19.9 | 3.67 | 5.47 | 1.08% | 21.1% | 14.2% | 1.9% |
| QQQ | 34.2 | 23.4 | 5.93 | 9.27 | 0.58% | 27.1% | 17.4% | 6.9% |
| DIA | 20.9 | 18.4 | 3.16 | 5.52 | 1.55% | 26.4% | 15.1% | 0.0% |
| VTI | 28.2 | 19.4 | 3.31 | 5.00 | 1.07% | 17.7% | 11.8% | 4.6% |
| IWM | n/m | 13.9 | 1.25 | 2.03 | 1.38% | −1.7% | −1.0% | 28.1% |
Same method for every fund. n/m = not meaningful (combined trailing earnings below zero or close to it). Loss-makers = weight of holdings with negative trailing earnings.
FAI valuation by sector
| Sector | Weight | P/E | Fwd P/E | P/S | P/B | Div. yield | ROE |
|---|---|---|---|---|---|---|---|
| Technology | 77.7% | 36.6 | 23.4 | 10.89 | 11.80 | 0.43% | 32.2% |
| Communication Services | 12.8% | 19.5 | 22.6 | 8.81 | 7.02 | 0.27% | 36.0% |
| Consumer Cyclical | 8.5% | 20.1 | 23.6 | 3.48 | 4.87 | 0.00% | 24.2% |
| Industrials | 1.4% | n/m | 200.0 | 83.53 | 15.37 | 0.00% | −6.8% |
FAI earnings yield vs bond yields
Earnings yield = earnings ÷ price (1 ÷ P/E). The gap to bond yields is a rough gauge of the extra return stocks are priced to deliver.
How FAI weight splits by P/E
Share of the covered weight in companies with a trailing P/E in each range.
FAI largest holdings: valuation
| Symbol | Company | Weight | P/E | Fwd P/E | P/S | Div. yield | Share of earnings |
|---|---|---|---|---|---|---|---|
| MSFT | Microsoft Corporation | 9.10% | 29.5 | 25.1 | 11.8 | 0.74% | 10.98% |
| AMZN | Amazon.com, Inc. | 8.54% | 20.1 | 23.6 | 3.5 | — | 15.11% |
| AVGO | Broadcom Inc. | 8.27% | 43.3 | 19.4 | 17.6 | 0.79% | 6.79% |
| GOOGL | Alphabet Inc. | 8.11% | 17.1 | 22.8 | 9.3 | 0.26% | 16.89% |
| NVDA | NVIDIA Corporation | 8.02% | 27.1 | 24.9 | 17.1 | 0.47% | 10.54% |
| PLTR | Palantir Technologies Inc. | 4.36% | 160.4 | 85.5 | 72.6 | — | 0.97% |
| META | Meta Platforms, Inc. | 4.15% | 26.7 | 22.1 | 7.9 | 0.30% | 5.52% |
| 2330 | Taiwan Semiconductor Manufacturing Co. Ltd. | 3.99% | — | — | — | — | — |
| ASML | ASML Holding N.V. | 3.74% | — | — | — | — | — |
| AMD | Advanced Micro Devices, Inc. | 3.71% | 134.9 | 39.5 | 20.9 | — | 0.98% |
| MU | Micron Technology, Inc. | 3.70% | 11.8 | 7.0 | 7.5 | 0.07% | 11.14% |
| ORCL | Oracle Corporation | 3.53% | 20.1 | 17.8 | 5.4 | 1.56% | 6.25% |
| MRVL | Marvell Technology, Inc. | 3.15% | 72.3 | 62.1 | 21.7 | 0.11% | 1.55% |
| 000660 | SK Hynix Inc | 2.83% | — | — | — | — | — |
| NOW | ServiceNow, Inc. | 2.29% | 88.7 | 27.8 | 10.0 | — | 0.92% |
| CRWD | CrowdStrike Holdings, Inc. | 1.80% | — | 208.3 | 43.1 | — | 0.02% |
| SHOP | Shopify Inc. | 1.67% | 114.5 | 58.8 | 16.6 | — | 0.52% |
| ADBE | Adobe Inc. | 1.63% | 13.7 | 8.7 | 3.7 | — | 4.23% |
| SNOW | Snowflake Inc. | 1.58% | — | 169.5 | 19.9 | — | −0.58% |
| SPCX | Space Exploration Technologies Corp. | 1.45% | — | 200.0 | 83.5 | — | −0.23% |
| QCOM | QUALCOMM Incorporated | 1.44% | 19.9 | 19.6 | 4.2 | 2.14% | 2.58% |
| ANET | Arista Networks, Inc. | 1.43% | 55.8 | 39.2 | 21.2 | — | 0.91% |
| 2454 | MediaTek Inc | 1.39% | — | — | — | — | — |
| DDOG | Datadog, Inc. | 1.29% | 494.2 | 84.7 | 22.4 | — | 0.09% |
| INTU | Intuit Inc. | 0.70% | 19.8 | 12.7 | 4.1 | 1.70% | 1.26% |
Share of earnings = the holding's part of the fund's combined trailing profit. Green: earns more than its weight; orange: less. Symbol links go to each company's key metrics.
About FAI valuation
Adding up its 40 holdings with company data, FAI trades at 30.9 times trailing earnings and 23.6 times analysts' forward estimates, with a price-to-book ratio of 9.57 and a dividend yield of 0.36%. Its earnings yield of 3.24% is 2.09 percentage points below the 5.33% yield to maturity of the U.S. bond market (AGG).
The ten largest holdings are 62.0% of the fund and earn 85.2% of its combined profit. By sector, Technology is the most expensive at 36.6 times earnings and Communication Services the cheapest at 19.5. Companies that lost money over the past year are 5.7% of the covered weight.
How these figures are calculated. Each ratio treats the fund as one company: the earnings, sales and book value of every holding are added up in proportion to its weight and divided into the fund's price. In practice that is a weighted harmonic mean, so a single stock with a very high P/E cannot distort the result, and loss-making companies reduce the fund's earnings instead of being dropped. Covers 86.4% of the fund's weight (U.S.-listed stocks with company data); company figures as of October 26, 2026.
Related: FAI chart, FAI performance, FAI holdings.
FAI valuation FAQ
What is the P/E ratio of FAI?
Based on its holdings, FAI has a trailing P/E of 30.9 and a forward P/E of 23.6 (earnings of all covered holdings combined in proportion to their weights, as of October 26, 2026).
What is the earnings yield of FAI?
The trailing earnings yield is 3.24% (1 ÷ P/E) and the forward earnings yield 4.23%. For comparison the U.S. bond market (AGG) yields 5.33% to maturity and T-bills about 3.91%.
Is FAI more expensive than the S&P 500?
FAI trades at 30.9 times trailing earnings versus 25.9 for the S&P 500 (SPY); on forward estimates the figures are 23.6 and 19.9.
What is the price-to-book ratio of FAI?
The holdings of FAI trade at 9.57 times book value, with a combined return on equity of 31.0%.
Which sector in FAI has the highest P/E?
Technology has the highest P/E at 36.6 and Communication Services the lowest at 19.5.