Vanguard Real Estate ETF (VNQ) Valuation
VNQ valuation today
Holdings combined · company data as of Oct 26, 2026- P/E (TTM)
- 40.1 trailing earnings
- Forward P/E
- 29.4 analyst estimates
- Price / sales
- 4.80
- Price / book
- 2.61
- EV / EBITDA
- 18.6
- Earnings yield
- 2.50% inverse of P/E
- Dividend yield
- 3.62% of the holdings
- Return on equity
- 6.5% combined
- Net margin
- 12.0% combined
- Beta
- 0.98 weighted, vs S&P 500
VNQ valuation vs other stock ETFs
| ETF | P/E | Fwd P/E | P/S | P/B | Div. yield | ROE | Net margin | Loss-makers |
|---|---|---|---|---|---|---|---|---|
| VNQ | 40.1 | 29.4 | 4.80 | 2.61 | 3.62% | 6.5% | 12.0% | 3.8% |
| 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.
VNQ valuation by sector
| Sector | Weight | P/E | Fwd P/E | P/S | P/B | Div. yield | ROE |
|---|---|---|---|---|---|---|---|
| Real Estate | 84.7% | 39.9 | 29.5 | 4.81 | 2.61 | 3.64% | 6.5% |
| Communication Services | 0.3% | 135.0 | 11.7 | 2.48 | 1.72 | 0.00% | 1.3% |
| Energy | 0.1% | 72.2 | 21.6 | 28.34 | 6.85 | 0.59% | 9.5% |
| Industrials | 0.0% | 74.3 | 89.3 | 7.77 | 0.93 | 0.00% | 1.3% |
VNQ 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 VNQ weight splits by P/E
Share of the covered weight in companies with a trailing P/E in each range.
VNQ largest holdings: valuation
| Symbol | Company | Weight | P/E | Fwd P/E | P/S | Div. yield | Share of earnings |
|---|---|---|---|---|---|---|---|
| VRTPX | Vanguard REIT II Index Fund Institutional Plus Shares | 14.27% | — | — | — | — | — |
| WELL | Welltower Inc. | 9.26% | 105.3 | 78.1 | 13.3 | 1.45% | 4.28% |
| PLD | Prologis, Inc. | 6.58% | 27.7 | 29.2 | 12.4 | 3.40% | 11.55% |
| EQIX | Equinix, Inc. | 5.93% | 63.4 | 52.1 | 9.8 | 2.09% | 4.55% |
| AMT | American Tower Corporation | 4.40% | 25.5 | 24.6 | 7.9 | 3.86% | 8.40% |
| SPG | Simon Property Group, Inc. | 3.78% | 14.5 | 30.7 | 11.2 | 4.33% | 12.70% |
| DLR | Digital Realty Trust, Inc. | 3.53% | 85.4 | 66.2 | 9.8 | 2.77% | 2.01% |
| O | Realty Income Corporation | 2.97% | 40.6 | 33.7 | 8.7 | 5.81% | 3.56% |
| PSA | Public Storage | 2.80% | 28.5 | 27.2 | 11.4 | 4.02% | 4.78% |
| EQR | Equity Residential | 2.49% | — | — | — | — | — |
| VTR | Ventas, Inc. | 2.44% | 159.0 | 128.2 | 6.9 | 2.42% | 0.75% |
| CBRE | CBRE Group, Inc. | 2.22% | 30.5 | 14.9 | 0.9 | — | 3.54% |
| IRM | Iron Mountain Incorporated | 1.84% | 80.4 | 58.5 | 4.4 | 3.07% | 1.12% |
| CCI | Crown Castle Inc. | 1.73% | 33.4 | 21.2 | 8.4 | 5.17% | 2.52% |
| EXR | Extra Space Storage Inc. | 1.54% | 30.8 | 29.0 | 8.8 | 4.64% | 2.42% |
| VICI | VICI Properties Inc. | 1.46% | 9.2 | 7.8 | 6.3 | 7.80% | 7.71% |
| ESS | Essex Property Trust, Inc. | 0.97% | 41.9 | 43.9 | 9.4 | 3.85% | 1.13% |
| SBAC | SBA Communications Corporation | 0.92% | 20.2 | 19.4 | 6.9 | 2.67% | 2.22% |
| HST | Host Hotels & Resorts, Inc. | 0.88% | 16.2 | 22.2 | 2.7 | 3.34% | 2.64% |
| KIM | Kimco Realty Corporation | 0.82% | 27.0 | 27.5 | 7.0 | 4.89% | 1.48% |
| INVH | Invitation Homes Inc. | 0.81% | 24.8 | 30.4 | 5.6 | 4.43% | 1.59% |
| WPC | W. P. Carey Inc. | 0.81% | 22.3 | 24.2 | 8.2 | 5.83% | 1.77% |
| JLL | Jones Lang LaSalle Incorporated | 0.80% | 14.7 | 10.4 | 0.5 | — | 2.67% |
| WY | Weyerhaeuser Company | 0.79% | 30.2 | 29.1 | 2.1 | 4.28% | 1.28% |
| DOC | Healthpeak Properties, Inc. | 0.78% | 54.2 | 169.5 | 4.6 | 6.43% | 0.70% |
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 VNQ valuation
Adding up its 134 holdings with company data, VNQ trades at 40.1 times trailing earnings and 29.4 times analysts' forward estimates, with a price-to-book ratio of 2.61 and a dividend yield of 3.62%. 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 56.0% of the fund and earn 56.1% of its combined profit. By sector, Communication Services is the most expensive at 135.0 times earnings and Real Estate the cheapest at 39.9. Companies that lost money over the past year are 3.8% 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 82.9% of the fund's weight (U.S.-listed stocks with company data); company figures as of October 26, 2026.
Related: VNQ chart, VNQ performance, VNQ holdings, VNQ dividends.
VNQ valuation FAQ
What is the P/E ratio of VNQ?
Based on its holdings, VNQ has a trailing P/E of 40.1 and a forward P/E of 29.4 (earnings of all covered holdings combined in proportion to their weights, as of October 26, 2026).
What is the earnings yield of VNQ?
The trailing earnings yield is 2.50% (1 ÷ P/E) and the forward earnings yield 3.41%. For comparison the U.S. bond market (AGG) yields 5.33% to maturity and T-bills about 3.91%.
Is VNQ more expensive than the S&P 500?
VNQ trades at 40.1 times trailing earnings versus 25.9 for the S&P 500 (SPY); on forward estimates the figures are 29.4 and 19.9.
What is the price-to-book ratio of VNQ?
The holdings of VNQ trade at 2.61 times book value, with a combined return on equity of 6.5%.
Which sector in VNQ has the highest P/E?
Communication Services has the highest P/E at 135.0 and Real Estate the lowest at 39.9.