First Trust Indxx Aerospace & Defense ETF (MISL) Valuation
MISL valuation today
Holdings combined · company data as of Oct 26, 2026- P/E (TTM)
- 40.1 trailing earnings
- Forward P/E
- 26.8 analyst estimates
- Price / sales
- 2.67
- Price / book
- 5.73
- EV / EBITDA
- 21.4
- Earnings yield
- 2.50% inverse of P/E
- Dividend yield
- 0.71% of the holdings
- Return on equity
- 14.3% combined
- Net margin
- 6.7% combined
- Beta
- 0.90 weighted, vs S&P 500
MISL valuation vs other stock ETFs
| ETF | P/E | Fwd P/E | P/S | P/B | Div. yield | ROE | Net margin | Loss-makers |
|---|---|---|---|---|---|---|---|---|
| MISL | 40.1 | 26.8 | 2.67 | 5.73 | 0.71% | 14.3% | 6.7% | 15.5% |
| 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.
MISL valuation by sector
| Sector | Weight | P/E | Fwd P/E | P/S | P/B | Div. yield | ROE |
|---|---|---|---|---|---|---|---|
| Industrials | 74.3% | 40.4 | 26.9 | 2.70 | 5.57 | 0.79% | 13.8% |
| Technology | 11.7% | 37.9 | 26.4 | 2.53 | 6.99 | 0.26% | 18.5% |
MISL 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 MISL weight splits by P/E
Share of the covered weight in companies with a trailing P/E in each range.
MISL largest holdings: valuation
| Symbol | Company | Weight | P/E | Fwd P/E | P/S | Div. yield | Share of earnings |
|---|---|---|---|---|---|---|---|
| BA | The Boeing Company | 8.46% | 67.9 | 49.5 | 1.6 | — | 5.87% |
| GCP | General Electric Company | 8.21% | — | — | — | — | — |
| RTX | RTX Corporation | 8.06% | 34.1 | 24.6 | 2.8 | 1.51% | 11.12% |
| SPCX | Space Exploration Technologies Corp. | 7.49% | — | 200.0 | 83.5 | — | −1.55% |
| PLTR | Palantir Technologies Inc. | 7.32% | 160.4 | 85.5 | 72.6 | — | 2.15% |
| NOC | Northrop Grumman Corporation | 4.52% | 16.5 | 17.0 | 1.7 | 1.90% | 12.89% |
| GD | General Dynamics Corporation | 4.36% | 21.0 | 18.5 | 1.7 | 1.85% | 9.78% |
| LMT | Lockheed Martin Corporation | 4.26% | 20.3 | 16.2 | 1.7 | 2.61% | 9.86% |
| LHX | L3Harris Technologies, Inc. | 4.18% | 25.1 | 17.9 | 2.0 | 2.01% | 7.86% |
| HEI | HEICO Corporation | 4.15% | 51.6 | 42.6 | 8.4 | 0.08% | 3.79% |
| TDG | TransDigm Group Incorporated | 4.07% | 34.6 | 23.1 | 6.3 | — | 5.55% |
| HONAV | Honeywell Aerospace Inc. Common Stock When Issued | 4.07% | — | — | — | — | — |
| HWM | Howmet Aerospace Inc. | 3.97% | 47.6 | 36.0 | 9.7 | 0.25% | 3.93% |
| RKLB | Rocket Lab USA, Inc. | 3.19% | — | — | 42.3 | — | −0.75% |
| WWD | Woodward, Inc. | 2.16% | 36.5 | 31.6 | 4.6 | 0.39% | 2.78% |
| CW | Curtiss-Wright Corporation | 2.06% | 34.6 | 28.4 | 5.1 | 0.21% | 2.81% |
| FTAI | FTAI Aviation Ltd. | 1.84% | 35.8 | 13.5 | 5.4 | 1.22% | 2.42% |
| NPA | New Providence Acquisition Corp | 1.73% | — | — | — | — | — |
| LDOS | Leidos Holdings, Inc. | 1.69% | 11.7 | 9.6 | 0.9 | 1.38% | 6.83% |
| CACI | CACI International Inc | 1.53% | 25.4 | 17.8 | 1.4 | — | 2.83% |
| TXT | Textron Inc. | 1.47% | 14.3 | 10.4 | 0.9 | 0.11% | 4.83% |
| MOG.A | Moog Inc. | 1.22% | 31.1 | 31.7 | 2.7 | 0.33% | 1.85% |
| HII | Huntington Ingalls Industries, Inc. | 1.15% | 16.2 | 12.6 | 0.8 | 2.03% | 3.34% |
| 2VZ | LEONARDO DRS INC. DL-01 | 0.97% | — | — | — | — | — |
| KTOS | Kratos Defense & Security Solutions, Inc. | 0.82% | 237.8 | 45.2 | 5.0 | — | 0.16% |
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 MISL valuation
Adding up its 40 holdings with company data, MISL trades at 40.1 times trailing earnings and 26.8 times analysts' forward estimates, with a price-to-book ratio of 5.73 and a dividend yield of 0.71%. Its earnings yield of 2.50% is 2.83 percentage points below the 5.33% yield to maturity of the U.S. bond market (AGG).
The ten largest holdings are 61.0% of the fund and earn 67.3% of its combined profit. By sector, Industrials is the most expensive at 40.4 times earnings and Technology the cheapest at 37.9. Companies that lost money over the past year are 15.5% 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 85.0% of the fund's weight (U.S.-listed stocks with company data); company figures as of October 26, 2026.
Related: MISL chart, MISL performance, MISL holdings, MISL dividends.
MISL valuation FAQ
What is the P/E ratio of MISL?
Based on its holdings, MISL has a trailing P/E of 40.1 and a forward P/E of 26.8 (earnings of all covered holdings combined in proportion to their weights, as of October 26, 2026).
What is the earnings yield of MISL?
The trailing earnings yield is 2.50% (1 ÷ P/E) and the forward earnings yield 3.73%. For comparison the U.S. bond market (AGG) yields 5.33% to maturity and T-bills about 3.91%.
Is MISL more expensive than the S&P 500?
MISL trades at 40.1 times trailing earnings versus 25.9 for the S&P 500 (SPY); on forward estimates the figures are 26.8 and 19.9.
What is the price-to-book ratio of MISL?
The holdings of MISL trade at 5.73 times book value, with a combined return on equity of 14.3%.
Which sector in MISL has the highest P/E?
Industrials has the highest P/E at 40.4 and Technology the lowest at 37.9.