Technology Select Sector SPDR Fund (XLK) Valuation
XLK valuation today
Holdings combined · company data as of Oct 26, 2026- P/E (TTM)
- 34.2 trailing earnings
- Forward P/E
- 23.3 analyst estimates
- Price / sales
- 8.49
- Price / book
- 11.60
- EV / EBITDA
- 25.2
- Earnings yield
- 2.92% inverse of P/E
- Dividend yield
- 0.56% of the holdings
- Return on equity
- 33.9% combined
- Net margin
- 24.8% combined
- Beta
- 1.54 weighted, vs S&P 500
XLK valuation vs other stock ETFs
| ETF | P/E | Fwd P/E | P/S | P/B | Div. yield | ROE | Net margin | Loss-makers |
|---|---|---|---|---|---|---|---|---|
| XLK | 34.2 | 23.3 | 8.49 | 11.60 | 0.56% | 33.9% | 24.8% | 3.2% |
| 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.
XLK valuation by sector
| Sector | Weight | P/E | Fwd P/E | P/S | P/B | Div. yield | ROE |
|---|---|---|---|---|---|---|---|
| Technology | 100.1% | 34.2 | 23.3 | 8.49 | 11.60 | 0.56% | 33.9% |
XLK 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 XLK weight splits by P/E
Share of the covered weight in companies with a trailing P/E in each range.
XLK largest holdings: valuation
| Symbol | Company | Weight | P/E | Fwd P/E | P/S | Div. yield | Share of earnings |
|---|---|---|---|---|---|---|---|
| NVDA | NVIDIA Corporation | 15.47% | 27.1 | 24.9 | 17.1 | 0.47% | 19.55% |
| AAPL | Apple Inc. | 15.05% | 39.4 | 35.2 | 10.7 | 0.31% | 13.07% |
| MSFT | Microsoft Corporation | 11.48% | 29.5 | 25.1 | 11.8 | 0.74% | 13.32% |
| AVGO | Broadcom Inc. | 4.71% | 43.3 | 19.4 | 17.6 | 0.79% | 3.72% |
| AMD | Advanced Micro Devices, Inc. | 4.65% | 134.9 | 39.5 | 20.9 | — | 1.18% |
| MU | Micron Technology, Inc. | 3.90% | 11.8 | 7.0 | 7.5 | 0.07% | 11.29% |
| PLTR | Palantir Technologies Inc. | 2.72% | 160.4 | 85.5 | 72.6 | — | 0.58% |
| INTC | Intel Corporation | 2.68% | — | 63.3 | 8.3 | — | −2.16% |
| CSCO | Cisco Systems, Inc. | 2.47% | 32.2 | 19.8 | 6.7 | 1.56% | 2.62% |
| AMAT | Applied Materials, Inc. | 1.89% | 35.3 | 23.4 | 10.5 | 0.52% | 1.83% |
| LRCX | Lam Research Corporation | 1.83% | 45.8 | 33.7 | 14.2 | 0.50% | 1.37% |
| PANW | Palo Alto Networks, Inc. | 1.83% | 855.0 | 94.3 | 24.4 | — | 0.07% |
| TXN | Texas Instruments Incorporated | 1.59% | 42.1 | 27.5 | 13.0 | 2.20% | 1.29% |
| CRWD | CrowdStrike Holdings, Inc. | 1.50% | — | 208.3 | 43.1 | — | 0.01% |
| IBM | International Business Machines Corporation | 1.38% | 20.6 | 17.4 | 3.2 | 2.91% | 2.29% |
| CRM | Salesforce, Inc. | 1.30% | 22.0 | 14.0 | 4.5 | 0.73% | 2.02% |
| ORCL | Oracle Corporation | 1.28% | 20.1 | 17.8 | 5.4 | 1.56% | 2.18% |
| MRVL | Marvell Technology, Inc. | 1.15% | 72.3 | 62.1 | 21.7 | 0.11% | 0.55% |
| KLAC | KLA Corporation | 1.14% | 45.3 | 34.8 | 15.9 | 0.56% | 0.86% |
| ANET | Arista Networks, Inc. | 1.14% | 55.8 | 39.2 | 21.2 | — | 0.70% |
| QCOM | QUALCOMM Incorporated | 1.12% | 19.9 | 19.6 | 4.2 | 2.14% | 1.92% |
| ADI | Analog Devices, Inc. | 1.11% | 47.0 | 23.2 | 13.8 | 1.11% | 0.81% |
| SNDK | Sandisk Corporation | 1.09% | 17.6 | 8.0 | 9.3 | — | 2.12% |
| APH | Amphenol Corporation | 1.06% | 39.7 | 24.6 | 6.7 | 0.63% | 0.91% |
| NOW | ServiceNow, Inc. | 0.99% | 88.7 | 27.8 | 10.0 | — | 0.38% |
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 XLK valuation
Adding up its 75 holdings with company data, XLK trades at 34.2 times trailing earnings and 23.3 times analysts' forward estimates, with a price-to-book ratio of 11.60 and a dividend yield of 0.56%. Its earnings yield of 2.92% is 2.41 percentage points below the 5.33% yield to maturity of the U.S. bond market (AGG).
The ten largest holdings are 65.0% of the fund and earn 65.0% of its combined profit. Companies that lost money over the past year are 3.2% 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 100.0% of the fund's weight (U.S.-listed stocks with company data); company figures as of October 26, 2026.
Related: XLK chart, XLK performance, XLK holdings, XLK dividends.
XLK valuation FAQ
What is the P/E ratio of XLK?
Based on its holdings, XLK has a trailing P/E of 34.2 and a forward P/E of 23.3 (earnings of all covered holdings combined in proportion to their weights, as of October 26, 2026).
What is the earnings yield of XLK?
The trailing earnings yield is 2.92% (1 ÷ P/E) and the forward earnings yield 4.30%. For comparison the U.S. bond market (AGG) yields 5.33% to maturity and T-bills about 3.91%.
Is XLK more expensive than the S&P 500?
XLK trades at 34.2 times trailing earnings versus 25.9 for the S&P 500 (SPY); on forward estimates the figures are 23.3 and 19.9.
What is the price-to-book ratio of XLK?
The holdings of XLK trade at 11.60 times book value, with a combined return on equity of 33.9%.