Parametric Equity Premium Income ETF (PAPI) Valuation
PAPI valuation today
Holdings combined · company data as of Oct 26, 2026- P/E (TTM)
- 22.7 trailing earnings
- Forward P/E
- 14.2 analyst estimates
- Price / sales
- 1.30
- Price / book
- 2.40
- EV / EBITDA
- 11.2
- Earnings yield
- 4.40% inverse of P/E
- Dividend yield
- 2.86% of the holdings
- Return on equity
- 10.6% combined
- Net margin
- 5.7% combined
- Beta
- 0.70 weighted, vs S&P 500
PAPI valuation vs other stock ETFs
| ETF | P/E | Fwd P/E | P/S | P/B | Div. yield | ROE | Net margin | Loss-makers |
|---|---|---|---|---|---|---|---|---|
| PAPI | 22.7 | 14.2 | 1.30 | 2.40 | 2.86% | 10.6% | 5.7% | 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.
PAPI valuation by sector
| Sector | Weight | P/E | Fwd P/E | P/S | P/B | Div. yield | ROE |
|---|---|---|---|---|---|---|---|
| Technology | 13.6% | 22.0 | 15.0 | 1.51 | 3.09 | 1.86% | 14.0% |
| Consumer Cyclical | 11.9% | 21.1 | 13.5 | 0.80 | 2.63 | 3.41% | 12.5% |
| Healthcare | 11.8% | 30.6 | 15.4 | 1.17 | 3.74 | 1.91% | 12.2% |
| Energy | 11.3% | 17.4 | 13.1 | 1.73 | 2.08 | 3.08% | 11.9% |
| Consumer Defensive | 9.5% | 256.0 | 14.5 | 1.06 | 2.16 | 3.87% | 0.8% |
| Industrials | 9.5% | 23.7 | 18.1 | 1.06 | 3.66 | 2.63% | 15.4% |
| Financial Services | 9.3% | 11.9 | 11.0 | 1.68 | 1.65 | 3.62% | 13.9% |
| Utilities | 8.9% | 19.4 | 16.2 | 2.63 | 1.72 | 3.54% | 8.8% |
| Basic Materials | 7.3% | 62.6 | 15.8 | 1.45 | 2.20 | 2.21% | 3.5% |
| Communication Services | 4.7% | 15.1 | 10.7 | 1.46 | 2.11 | 3.00% | 13.9% |
PAPI 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 PAPI weight splits by P/E
Share of the covered weight in companies with a trailing P/E in each range.
PAPI largest holdings: valuation
| Symbol | Company | Weight | P/E | Fwd P/E | P/S | Div. yield | Share of earnings |
|---|---|---|---|---|---|---|---|
| DINO | HF Sinclair Corporation | 0.86% | 11.9 | 10.0 | 0.7 | 1.68% | 1.69% |
| VLO | Valero Energy Corporation | 0.85% | 18.5 | 10.2 | 1.0 | 1.08% | 1.07% |
| ACN | Accenture plc | 0.84% | 16.9 | 12.4 | 1.9 | 2.98% | 1.17% |
| CTSH | Cognizant Technology Solutions Corporation | 0.80% | 14.2 | 9.4 | 1.4 | 2.00% | 1.33% |
| PSX | Phillips 66 | 0.79% | 16.8 | 9.7 | 0.8 | 1.81% | 1.11% |
| CRM | Salesforce, Inc. | 0.75% | 22.0 | 14.0 | 4.5 | 0.73% | 0.80% |
| MSFT | Microsoft Corporation | 0.72% | 29.5 | 25.1 | 11.8 | 0.74% | 0.57% |
| SWKS | Skyworks Solutions, Inc. | 0.68% | 41.3 | 17.8 | 4.7 | — | 0.38% |
| YZ8 | Permian Resources Corporation | 0.67% | — | — | — | — | — |
| RPRX | Royalty Pharma plc | 0.67% | 32.4 | 29.4 | 13.9 | 1.54% | 0.48% |
| DLB | Dolby Laboratories, Inc. | 0.66% | 25.5 | 12.6 | 4.1 | 2.40% | 0.61% |
| HAS | Hasbro, Inc. | 0.65% | 17.8 | 13.5 | 2.8 | 2.84% | 0.86% |
| ABBV | AbbVie Inc. | 0.63% | 80.6 | 16.4 | 7.8 | 2.42% | 0.18% |
| QGEN | Qiagen N.V. | 0.63% | 23.4 | 13.5 | 4.5 | 0.76% | 0.63% |
| TGT | Target Corporation | 0.62% | 16.0 | 15.6 | 0.7 | 3.01% | 0.91% |
| ADP | Automatic Data Processing, Inc. | 0.62% | 26.4 | 22.0 | 5.2 | 2.35% | 0.55% |
| INSW | International Seaways, Inc. | 0.62% | 7.0 | 15.1 | 4.3 | 7.44% | 2.07% |
| FOXA | Fox Corporation | 0.61% | 16.7 | 11.1 | 1.6 | 0.90% | 0.87% |
| GILD | Gilead Sciences, Inc. | 0.61% | — | 15.6 | 6.4 | 2.10% | −0.25% |
| HPQ | HP Inc. | 0.61% | 11.5 | 9.9 | 0.5 | 4.00% | 1.26% |
| KDP | Keurig Dr Pepper Inc. | 0.61% | 35.0 | 12.5 | 2.3 | 2.66% | 0.41% |
| SNX | TD SYNNEX Corporation | 0.61% | 15.0 | 12.7 | 0.3 | 0.78% | 0.96% |
| XOM | Exxon Mobil Corporation | 0.61% | 23.0 | 14.8 | 2.0 | 2.30% | 0.62% |
| PTEN | Patterson-UTI Energy, Inc. | 0.61% | — | 35.7 | 0.9 | 3.48% | −0.30% |
| BDX | Becton, Dickinson and Company | 0.61% | 44.6 | 13.7 | 2.3 | 2.19% | 0.32% |
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 PAPI valuation
Adding up its 185 holdings with company data, PAPI trades at 22.7 times trailing earnings and 14.2 times analysts' forward estimates, with a price-to-book ratio of 2.40 and a dividend yield of 2.86%. Its earnings yield of 4.40% is 0.92 percentage points below the 5.33% yield to maturity of the U.S. bond market (AGG).
The ten largest holdings are 7.6% of the fund and earn 9.2% of its combined profit. By sector, Consumer Defensive is the most expensive at 256.0 times earnings and Financial Services the cheapest at 11.9. 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 98.8% of the fund's weight (U.S.-listed stocks with company data); company figures as of October 26, 2026.
Related: PAPI chart, PAPI performance, PAPI holdings, PAPI dividends.
PAPI valuation FAQ
What is the P/E ratio of PAPI?
Based on its holdings, PAPI has a trailing P/E of 22.7 and a forward P/E of 14.2 (earnings of all covered holdings combined in proportion to their weights, as of October 26, 2026).
What is the earnings yield of PAPI?
The trailing earnings yield is 4.40% (1 ÷ P/E) and the forward earnings yield 7.04%. For comparison the U.S. bond market (AGG) yields 5.33% to maturity and T-bills about 3.91%.
Is PAPI more expensive than the S&P 500?
PAPI trades at 22.7 times trailing earnings versus 25.9 for the S&P 500 (SPY); on forward estimates the figures are 14.2 and 19.9.
What is the price-to-book ratio of PAPI?
The holdings of PAPI trade at 2.40 times book value, with a combined return on equity of 10.6%.
Which sector in PAPI has the highest P/E?
Consumer Defensive has the highest P/E at 256.0 and Financial Services the lowest at 11.9.