Vanguard Mega Cap ETF (MGC) Valuation

NYSE Arca: MGCP/E, earnings yield and other ratios of the holdings combined.

MGC valuation today

Holdings combined · company data as of Oct 26, 2026

P/E (TTM): 26.2
Forward P/E: 21.0
Price / sales: 4.88
Price / book: 6.53
EV / EBITDA: 18.3
Earnings yield: 3.82%
Dividend yield: 0.95%
Return on equity: 24.9%
Net margin: 18.7%
Beta: 1.21

MGC valuation vs other stock ETFs

P/E (TTM)Forward P/E

MGC valuation compared with other stock ETFs
ETF	P/E	Fwd P/E	P/S	P/B	Div. yield	ROE	Net margin	Loss-makers
MGC	26.2	21.0	4.88	6.53	0.95%	24.9%	18.7%	1.6%
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.

MGC valuation by sector

P/E (TTM)Forward P/E

MGC valuation by sector
Sector	Weight	P/E	Fwd P/E	P/S	P/B	Div. yield	ROE
Technology	45.6%	32.6	23.6	10.84	14.44	0.52%	44.4%
Communication Services	11.6%	17.9	19.3	5.37	5.18	0.69%	29.0%
Financial Services	10.8%	16.1	15.1	4.04	2.42	1.45%	15.1%
Healthcare	9.2%	36.5	17.5	2.16	5.81	1.73%	15.9%
Consumer Cyclical	8.4%	26.3	27.1	3.78	7.56	0.50%	28.8%
Industrials	5.1%	29.4	24.5	3.18	7.89	1.31%	26.9%
Consumer Defensive	4.1%	29.4	24.4	2.34	10.10	2.16%	34.4%
Energy	2.5%	21.2	14.6	2.24	2.43	2.59%	11.4%
Basic Materials	1.0%	29.1	20.5	4.79	5.98	1.07%	20.6%
Real Estate	0.9%	43.4	40.5	10.93	4.06	2.52%	9.4%
Utilities	0.6%	19.0	17.0	3.98	2.29	3.30%	12.0%

MGC earnings yield vs bond yields

MGC earnings yield (forward)

4.75%

MGC earnings yield (trailing)

3.82%

MGC dividend yield

0.95%

Bond market yield (AGG)

5.33%

T-bill yield (BIL)

3.91%

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 MGC weight splits by P/E

Share of the covered weight in companies with a trailing P/E in each range.

MGC largest holdings: valuation

MGC largest holdings valuation
Symbol	Company	Weight	P/E	Fwd P/E	P/S	Div. yield	Share of earnings
NVDA	NVIDIA Corporation	9.54%	27.1	24.9	17.1	0.47%	9.24%
AAPL	Apple Inc.	9.36%	39.4	35.2	10.7	0.31%	6.23%
MSFT	Microsoft Corporation	7.32%	29.5	25.1	11.8	0.74%	6.51%
AMZN	Amazon.com, Inc.	4.57%	20.1	23.6	3.5	—	5.96%
GOOGL	Alphabet Inc.	3.67%	17.1	22.8	9.3	0.26%	5.63%
AVGO	Broadcom Inc.	3.07%	43.3	19.4	17.6	0.79%	1.86%
GOOG	Alphabet Inc.	3.07%	16.9	21.8	9.2	0.26%	4.76%
META	Meta Platforms, Inc.	2.93%	26.7	22.1	7.9	0.30%	2.87%
MU	Micron Technology, Inc.	2.11%	11.8	7.0	7.5	0.07%	4.69%
AMD	Advanced Micro Devices, Inc.	1.86%	134.9	39.5	20.9	—	0.36%
LLY	Eli Lilly and Company	1.81%	42.2	24.4	14.1	0.55%	1.13%
TSLA	Tesla, Inc.	1.75%	328.4	158.7	13.5	—	0.14%
JPM	JPMorgan Chase & Co.	1.65%	14.2	13.5	4.7	1.94%	3.04%
BRK.B	Berkshire Hathaway Inc.	1.50%	13.4	22.7	3.0	—	2.94%
XOM	Exxon Mobil Corporation	1.28%	23.0	14.8	2.0	2.30%	1.46%
JNJ	Johnson & Johnson	1.22%	38.8	21.0	6.2	2.10%	0.82%
V	Visa Inc.	1.08%	34.3	24.0	17.0	0.67%	0.83%
INTC	Intel Corporation	1.02%	—	63.3	8.3	—	−0.63%
WMT	Walmart Inc.	0.88%	43.0	38.0	1.3	0.83%	0.53%
ABBV	AbbVie Inc.	0.84%	80.6	16.4	7.8	2.42%	0.27%
MA	Mastercard Incorporated	0.80%	34.0	24.2	15.4	0.56%	0.61%
AMAT	Applied Materials, Inc.	0.76%	35.3	23.4	10.5	0.52%	0.57%
LRCX	Lam Research Corporation	0.76%	45.8	33.7	14.2	0.50%	0.44%
PLTR	Palantir Technologies Inc.	0.75%	160.4	85.5	72.6	—	0.12%
COST	Costco Wholesale Corporation	0.72%	47.6	40.3	1.4	0.59%	0.40%

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 MGC valuation

Adding up its 163 holdings with company data, MGC trades at 26.2 times trailing earnings and 21.0 times analysts' forward estimates, with a price-to-book ratio of 6.53 and a dividend yield of 0.95%. Its earnings yield of 3.82% is 1.51 percentage points below the 5.33% yield to maturity of the U.S. bond market (AGG).

The ten largest holdings are 47.5% of the fund and earn 48.1% of its combined profit. By sector, Real Estate is the most expensive at 43.4 times earnings and Financial Services the cheapest at 16.1. Companies that lost money over the past year are 1.6% 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 99.4% of the fund's weight (U.S.-listed stocks with company data); company figures as of October 26, 2026.

MGC valuation FAQ

What is the P/E ratio of MGC?

Based on its holdings, MGC has a trailing P/E of 26.2 and a forward P/E of 21.0 (earnings of all covered holdings combined in proportion to their weights, as of October 26, 2026).

What is the earnings yield of MGC?

The trailing earnings yield is 3.82% (1 ÷ P/E) and the forward earnings yield 4.75%. For comparison the U.S. bond market (AGG) yields 5.33% to maturity and T-bills about 3.91%.

Is MGC more expensive than the S&P 500?

MGC trades at 26.2 times trailing earnings versus 25.9 for the S&P 500 (SPY); on forward estimates the figures are 21.0 and 19.9.

What is the price-to-book ratio of MGC?

The holdings of MGC trade at 6.53 times book value, with a combined return on equity of 24.9%.

Which sector in MGC has the highest P/E?

Real Estate has the highest P/E at 43.4 and Financial Services the lowest at 16.1.